The depreciation of the cookie presents marketers with an opportunity to experiment with new targeting strategies using emerging AI-powered adtech, enabling brands to authentically engage with their audiences and establish a strong brand presence. Josh Rosen delves into this topic.
The era of the cookie has come to an end. In 2024, Google initiated the process by disabling cookies for one percent of Chrome users and introducing Tracking Protection to safeguard their data from third-party cookies.
This development raises a critical question for digital advertisers: how can they effectively reach their target audience?
The answer lies in seizing the opportunity to return to fundamental brand-building strategies. Moreover, with the assistance of AI, advertisers can navigate this transition with greater precision and effectiveness.
The power of contextual targeting with emotional AI
In 2023, AI dominated headlines as the most significant story in the tech realm, offering potential benefits across various industries. Particularly in marketing, emotional AI has emerged as a solution for navigating a future without cookies, providing brands with a means to establish genuine emotional connections with their target audience, rather than solely focusing on sales.
Emotional AI technology essentially gauges the sentiment of the content viewers consume to display the most relevant ads. For instance, consider a scenario where a husband is shopping for vehicles, prioritizing family-friendly options with high safety ratings for his wife and kids, while also browsing for sporty two-door cars for himself. If he’s watching a review of SUV safety features and encounters an ad for a sports car, the brand misses a significant opportunity to emotionally engage with him. It’s no longer sufficient to merely place a car ad during car-related content; context and sentiment are crucial factors.
The demise of the cookie compels the industry to reconsider old tactics and embrace a return to contextual targeting. Marketers aspire to capture consumers’ attention and interaction with their ads organically, and achieving this optimal response entails appearing in the right contextual environments.
Make contextual targeting even more effective with first and zero-party data
The marketing industry now has access to a wealth of first-party and zero-party data, surpassing any other period in history. With advancements in technology, analytics, and AI, contextual targeting can be seamlessly integrated with first and zero-party data in digital advertising, leading to improved ad relevance.
First-party data comprises information collected directly by a company from its customers. By leveraging insights obtained from customer interactions, brands can tailor their advertisements to match the interests, preferences, and behaviors of their audience. For instance, a cosmetic company armed with first-party data regarding a customer’s purchase history can strategically position ads in front of that customer based on when they are likely to run out of a product. This approach significantly enhances the likelihood of the customer engaging with the ad.
On the other hand, zero-party data refers to information that customers willingly provide, such as when they sign up for a music platform and select their favorite categories. Advertisers can utilize such data to craft highly personalized and relevant ad experiences. Contextual targeting in this context transitions from inference to directly incorporating a customer’s preferences, resulting in exceptionally accurate and emotionally resonant experiences that foster a strong connection between the brand and the consumer.
Finally, back to concentrating on the customer instead of cost, clicks and conversions
For years, there has been a prevailing trend towards prioritizing quantity over quality in advertising, where advertisers aimed to garner the highest number of clicks at the lowest cost, often employing broad targeting strategies. However, this approach has led to a skewed emphasis on certain metrics solely because they are readily available and easily reportable.
A notable example is the recent Snoop Dogg smokeless Solo Stove campaign, which was perceived as a failure by Solo because it measured success solely based on sales. Had Solo considered a broader range of metrics—such as website traffic increase, market reach, salience, overall ad recall, and impressions—the campaign would have been viewed as highly successful. This highlights the importance of evaluating advertising effectiveness through a multifaceted lens rather than solely relying on one metric.
It is crucial for advertisers to reassess their fixation on metrics and instead invest in thoughtful strategies that prioritize building meaningful connections with their audience. This requires a shift away from the mindset of seeking the lowest-cost options and towards recognizing that cultivating genuine engagement requires time, creativity, and strategic planning. This shift in approach is in line with the broader trend towards contextual targeting and reflects the evolving landscape of post-cookie advertising culture.
The right targeting tools boost brand awareness and engagement
Cookies have long been criticized as an inadequate solution for digital advertising: they track individuals without their consent, contribute to irrelevant ad saturation, and raise concerns about brand safety. Therefore, when Google initially announced the impending demise of cookies, it catalyzed innovation within the industry. Adtech companies recognized the urgent need for alternative solutions and began developing new approaches.
Emerging ad targeting technologies, such as emotional AI, have emerged as promising alternatives. These tools have demonstrated effectiveness, increasing attention rates by up to 20 percent. By leveraging emotional AI and similar innovations, brands can position themselves where their customers are most likely to engage with their ads. This shift towards metrics centered around engagement represents a significant advancement for brands in the digital advertising landscape.