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Wednesday-3: Google has announced it will stop selling advertisements based on user’s search patterns and behaviors, a change that threatens to shake up the entire online advertising industry.
The search engine brand has been working on suggestions to phase out third-party cookies in Chrome.
What are cookies?
Cookies are snippets of code used by a website to record the users’ activities to display personalized ads.
Google has promised not to develop new strategies to track individual users across the web after clearing cookies on its Chrome browsers. Digital marketing experts poise the change to shake up the online advertising industry.
David Temkin, Google’s product manager, said, “If digital advertising doesn’t evolve to address the growing concerns people have about their privacy and how their personal identity is being used, we risk the future of the free and open web. People shouldn’t have to accept being tracked across the web in order to get the benefits of relevant advertising.”
Chrome is the market leader in the global browser industry, and competitors, such as Microsoft Edge, run on Google’s Chromium technology.
James Rosewell, CEO of Marketers for an Open Web, a group of media and advertising companies lobbying against the changes, believes that even though the moves aim to tighten up on privacy, Google will still be able to track users of its services.
Rosewell on Google’s changes: “What they’re not saying is that people are logged into our products all the time’ [and give consent to be tracked when they use Search, Maps, Gmail or YouTube], What they’re not saying is, ‘we’re going to stop all of that.’”
The proposed change might not have a monumental impact on Facebook, the only other significant party in global PPC marketing, but is likely to squeeze out the small and medium-sized companies that competed for a piece of the pie distributed by the two tech giants, claims Rosewell.
The CEO of Marketers for an Open Web further added that edging out of small and medium-sized enterprises could mean higher prices for online ads because Google “is the only game in town” for Pay per click marketing.
Over the past decade, the global tech sector has been forced to converge towards privacy as users and policy-makers have voiced their grave concern over user data abuse and negligence.
Since December-2020, Apple has mandated all the developers on its iOS platform to provide “nutrition labels” the type of data collected, such as browsing history, contacts, and financial data. Conversely, Google hasn’t offered labels for most of its apps.
Another change spearheaded by the most valuable tech firm requires developers to seek permission to gather user data and track applications and websites. The change is earmarked to roll out in the coming months.
Google is reportedly considering a less “stringent” approach to giving users options about app tracking in its Android operating system.
The search giant is working in a broader array of technologies, such as anonymized, group-based interest tracking, to further deliver on its privacy promise.
“Advances in aggregation, anonymization, on-device processing, and other privacy-preserving technologies offer a clear path to replacing individual identifiers. In fact, our latest tests of FLoC show one way to effectively take third-party cookies out of the advertising equation and instead hide individuals within large crowds of people with common interests.
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