--- description: With Google deprecating third-party cookies, UK marketers are using this data more than ever. How do they use these cookies and how can they adapt? image: https://gdm-localsites-assets-gfprod.imgix.net/images/capterra/og_logo-e5a8c001ed0bd1bb922639230fcea71a.png?auto=format%2Cenhance%2Ccompress title: Facing a cookieless future, how do UK marketers use cookies? --- # How are UK marketers using third-party cookies, and how does a cookieless future affect them? Canonical: https://www.capterra.co.uk/blog/4510/third-party-cookie-use Published on 08/02/2024 | Written by Eduardo Garcia. ![How are UK marketers using third-party cookies, and how does a cookieless future affect them?](https://images.ctfassets.net/63bmaubptoky/7thuP4WWNG9KXEr9Fk4cPQ/7b98c317016922f19400ae363bc645f7/Facing_a_cookieless_future__how_do_UK_marketers_use_cookies-_UK-_Capterra_-_Header.png) > As Google prepares to phase out third-party cookies, we explore how important cookies are for marketers, how companies are using these tools, and what implications these changes might have on them. ----- ## Article Content As Google prepares to phase out third-party cookies, we explore how important cookies are for marketers, how companies are using these tools, and what implications these changes might have on them.In this articleThird-party cookies play a key role in tracking user behaviourThird-party cookie usage contributes significantly to marketing campaignsDigital marketers use various methods to access third-party cookies and segment their audiencesHow can companies ensure compliance when collecting data?There has been a rising significance of third-party cookie data in marketingIn 2024 Google Chrome joined Safari and Firefox in phasing out third-party cookies. Consequently, marketing teams in UK SMEs will need to adapt to a cookieless landscape. In January, Google turned off third-party cookies for 1% of Chrome browser users, amounting to approximately 30 million users, via a new feature called Tracking Protection. This shift will require a nuanced approach to data collection and utilisation for marketing teams who may find new challenges in delivering advertising campaigns to their ideal audience.We surveyed 138 UK employees who perform marketing tasks in their current job to understand how their organisations leverage cookies in their digital marketing strategies and evaluate the implications of the forthcoming cookieless future. The respondents, integral to companies with established digital marketing strategies that include using third-party cookies for data collection, were specifically chosen for their familiarity with Google's forthcoming third-party cookie deprecation.You can find the full methodology at the end of the article.Third-party cookies play a key role in tracking user behaviourThird-party cookies can be important for businesses as they can collect valuable information from potential customer’s browsing behaviour. Consumers encounter cookies on most websites they visit. But, what exactly are they?What are cookies?Cookies are tiny code fragments stored on a computer’s hard disk by websites the computer user has visited. Websites can then recognise that user’s device and store information about user preferences or past actions. These markers allow advertisers to track online activity and target users with tailored ads.On the plus side, third-party cookies can facilitate personalised content delivery and holistic user behaviour analysis across sites.However, they raise user privacy concerns and can be vulnerable to security breaches and malicious activities where cookies are exploited to gather sensitive information.There are two main types of cookies: First-party cookies are set by the website a user visits. These cookies are primarily used for site functionality, remembering user preferences, and improving user experience. Third-party cookies are set by domains other than the ones the user is visiting. These cookies are often used for tracking and advertising by external entities. This tracking allows them to collect information about a user's online behaviour across different websites.To understand the implications of third-party cookie deprecation, we asked our surveyed marketers to detail the core practices of this data utilisation.The responses illustrate diverse strategies employed by these SMEs, ranging from tracking user behaviour in order to comprehend how audiences engage with digital content, to crafting predictive models and delivering personalised ads. Notably, 86% of respondents said their company uses third-party cookies to collect general user information. Collecting this information helps companies build profiles of their website visitors and potential customers in order to deliver personalised offerings. Additionally, the data collected with third-party cookies can be highly valuable to companies, according to the marketers we surveyed. Two-thirds (66%) said that data collected with third-party cookies is very useful in their marketing strategy. A further 30% found this collected data to be moderately useful. Although third-party cookies are valuable for data gathering, their phase-out means companies must find alternative, more direct methods. We will explore alternative ways companies can collect this data later in the article.Third-party cookie usage contributes significantly to marketing campaignsOne of the concerns companies could have from missing out on third-party cookies is how this might affect their campaign planning. We asked our respondents to disclose the proportion of their company’s campaigns that are based on data collected with third-party cookies. More than half (53%) of respondents indicated that over a fifth of their company’s campaigns are based on data collected with third-party cookies. This proportion emphasises a notable dependency on cookie-driven strategies in marketing campaigns. However, 45% said that less than 20% of their company’s campaigns come from third-party cookie data collection. This sheds some light on how some businesses already seek opportunities to diversify their marketing campaigns with strategies that are less dependent on third-party cookies.Digital marketers use various methods to access third-party cookies and segment their audiencesSeeing the importance third-party cookies have on digital marketing strategies, how do marketers obtain this third-party data for their advertising campaigns? SMEs generally don’t collect third-party data themselves. Instead, they buy it, typically through marketplaces that sell this data. When we asked our respondents which types of external data providers their companies used for third-party data, the four most common ones were:Analytical solutions - These solutions, adopted by  64% of respondents, offer comprehensive insights into website traffic and user behaviour. They can leverage third-party cookies to track user interaction across different websites. Technology Providers -  59% of surveyed marketers use these tools to collect and manage user consent for third-party cookie usage to ensure compliance with data protection laws. Social media plugins - These plugins allow users to save or share items using different services. This sharing data can then be purchased by advertisers.  42% of surveyed marketers leverage this plugins to track user’s social media preferences, enabling personalised offerings. Research companies - 42% of surveyed marketers use research companies that specialise in market research, consumer insights and data analytics. The data they gather includes third-party cookies that can then be shared with advertisers as insights for product development, marketing strategies and consumer segmentation. The varied sources provide data that can help marketers understand more about their potential customers and segment their audiences based on the data they collect. The three main ways our surveyed marketers segment their audience were:Using behavioural data, such as browsing history, purchase history, and click-through rates (CTR) Used by 78% of surveyed marketers, behavioural data, like browsing history and purchase patterns, can help marketers understand what consumers like and how they engage. It can also help segment audiences by grouping users based on their actions, interests, and preferences. By analysing click-through rates, they can also measure the level of interest in product offerings, which can help with creating personalised marketing campaigns and strategies.Did you know?With the phasing out of third-party cookies, there are other tools marketers can leverage to understand user behaviour better. Web analytics tools can help track website user behaviour and provide insights into page views and visitor journeys. Heatmap tools can also visualise user interactions on a website and highlight areas of high engagement and interest.2. Employing demographic data, including age, gender and location, Demographic data is a key form of audience segmentation. This explains why 76% of surveyed marketers use this data in their marketing strategies. This data can help marketers comprehend a diverse customer base. By categorising individuals based on their age, gender, or location, marketers can tailor their messages and promotions to help ensure that their content resonates with the unique characteristics and preferences of a specific demographic group. Social media analytics platforms can provide demographic insights about followers and audiences on various social media channels. On websites, data collection can occur through online surveys or by encouraging users to create customer profiles. These surveys and profiles can collect information on preferences, behaviour, and demographics that can then be used to aid in tailoring marketing strategies and improving user experience.3. Employing predictive analytics techniques, including machine learning and artificial intelligence, to anticipate audience behaviour and outcomes. 73% of marketers leverage predictive analytics tools to help them in their marketing strategies. By leveraging technology like machine learning and artificial intelligence, marketers can go beyond analysing historical data and proactively analyse data patterns to try to anticipate future behaviour. This can then aid marketers in planning proactive, data-driven marketing strategies. How can companies ensure compliance when collecting data?Before Google’s decision to begin eradicating third-party cookies from its browsers, digital privacy had already undergone significant changes under recent GDPR regulations. For example, since 2018, websites must obtain explicit consent from users before storing or accessing cookies on their devices, leading to the adoption of cookie consent banners in the UK and the EU. This has directly affected the use of third-party cookies. As concerns about user privacy escalated, different approaches were carried out to address user consent and privacy issues. There are some measures companies can take to secure user consent for compliant data collection:Leverage third-party tools or servicesThe vast majority (83%) of respondents said that their company employs third-party tools such as cookie banners, consent management platforms, and data privacy software to streamline consent processes and ensure compliance with privacy regulations. These tools help present clear information to users about data collection practices, ensuring that users can easily provide or withhold consent based on informed choices. Use transparent notices and opt-out options Three quarters (75%) of surveyed marketers said their company uses transparent notices to inform website visitors about privacy policies and provided opt-out options. Providing notices that explain privacy policies in simple language enhances user understanding. Including explicit opt-out policies in these notices also empowers users to control their data. This transparency also helps build trust and helps businesses comply with regulations by ensuring that users are well-informed about data collection practices.Restrict data collection to only necessary user informationAccording to our surveyed marketers, 64% of companies demonstrated compliance by limiting data collection to only essential user information. Companies should articulate clear reasons for collecting specific data and refrain from gathering excessive or irrelevant information. This approach respects user privacy and demonstrates an effort to minimise the scope of data collection and maintain data security.Apply secure storage and transfer methods49% of surveyed marketers implemented secure methods for storing and transferring user data, using pseudonymisation or encryption tools to protect sensitive information, further emphasising the importance of data security. Although cookies are being phased out, companies should adhere to legal data protection frameworks and obtain consent for data collection. By adopting these strategies, businesses demonstrate awareness of their legal obligations and foster user trust.Building and maintaining user trust is crucial in an environment where consumers are concerned about how their data is handled. Consequently, businesses should prioritise compliance measures when planning their digital marketing strategies.There has been a rising significance of third-party cookie data in marketingDespite the changes looming for third-party cookies, we wanted to know how data collection via cookies has evolved over recent years to help us understand how big of an impact this change will have on marketing strategies.A substantial 78% of companies acknowledge the growing importance of third-party cookie data in their marketing strategies over the last few years. This insight underscores the need for SMEs to recalibrate their approach to data utilisation. As cookieless data will ascend in significance, businesses are compelled to stay attuned to these changes to remain competitive in their digital marketing strategies.With the deprecation of third-party cookies, fewer cookies may deliver fewer data inputs for advertisers. However, this may signal a shift from quantitative data collection to qualitative data collection. In this case, customer relationship management (CRM) software can collect first-party data and user profiles to help marketers understand their audience better and develop personalised marketing campaigns.A final step businesses can take is to try to anticipate audience visitor patterns and outcomes with predictive analytics that can align with the evolving nature of cookieless data.  How prepared are businesses for a cookieless future, and what measures are they taking to address their concerns regarding this change? In the second part of this series, we will explore these issues and highlight the investments companies are planning to make in a cookieless digital marketing strategy. Looking for data collection software? Check out our catalogue\! ## Disclaimer > MethodologyTo collect this data, Capterra surveyed 138 UK citizens in December 2023. The candidates had to fulfil the following criteria:UK resident Above the age of 18Be employed full-time or part-time for over a year and in a mid-level role or higher in a company with over 2 employees that has a digital marketing strategy in place. Must perform marketing tasks in their current job and have some involvement or awareness of digital marketing strategies in their company. Must be familiar with Google’s third-party cookie deprecation policy. ## About the author ### Eduardo Garcia Eduardo is a Content Analyst for the UK. Providing research and digital tech tips for SMBs. MA in Journalism and in Diplomatic Studies. Animal loving, sea revering, Mancunian. ## Related Categories - [Advertising Agency Software](https://www.capterra.co.uk/directory/30736/advertising-agency/software) - [Email Marketing Software](https://www.capterra.co.uk/directory/30013/email-marketing/software) - [Marketing Automation Software](https://www.capterra.co.uk/directory/6/marketing-automation/software) - [SMS Marketing Software](https://www.capterra.co.uk/directory/30842/sms-marketing/software) - [Social Media Marketing Tools](https://www.capterra.co.uk/directory/30781/social-media-marketing/software) ## Related Articles - [UK to see the largest increase in AI-generated social media marketing content](https://www.capterra.co.uk/blog/6543/uk-largest-increase-generative-ai-social-media-marketing-content) - [5 differences between an online marketplace & an eCommerce website](https://www.capterra.co.uk/blog/2989/difference-between-online-marketplaces-and-ecommerce-websites) - [Live shopping: UK SMEs should include discounts and offers in their live stream events](https://www.capterra.co.uk/blog/4080/uk-consumer-insight-live-shopping) - [The benefits of market segmentation for companies](https://www.capterra.co.uk/blog/1783/benefits-of-market-segmentation-for-business) - [Online reviews used for marketing by 89% of British SME owners](https://www.capterra.co.uk/blog/1792/online-reviews-used-for-marketing-by-58-of-british-sme-owners) ## Links - [View on Capterra](https://www.capterra.co.uk/blog/4510/third-party-cookie-use) - [Blog](https://www.capterra.co.uk/blog) - [Home](https://www.capterra.co.uk/) ----- ## Structured Data