{"id":297270,"date":"2021-07-22T10:12:56","date_gmt":"2021-07-22T10:12:56","guid":{"rendered":"https:\/\/integralads.com\/insider\/while-cookies-burnt-contextual-solutions-are-baking\/"},"modified":"2023-07-11T13:09:49","modified_gmt":"2023-07-11T13:09:49","slug":"while-cookies-burnt-contextual-solutions-are-baking","status":"publish","type":"post","link":"https:\/\/integralads.com\/apac\/insider\/while-cookies-burnt-contextual-solutions-are-baking\/","title":{"rendered":"While Cookies are Getting Burnt, Contextual Solutions and Others are Baking"},"content":{"rendered":"\n<p>At an invite-only roundtable hosted by Campaign in partnership with Integral Ad Science, APAC\u2019s top marketing leaders discussed the growth of contextual adverts, the downsides of fragmentation, and debated which metrics will ultimately prove the best measures of success.<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/integralads.com\/wp-content\/uploads\/2023\/06\/unnamed-file.jpeg\" alt=\"Attendees at the roundtable, (from top left, clockwise): Colleen Ngo, VP of partnerships &amp; investment, APAC, Xaxis; Laura Quigley, SVP APAC, Integral Ad Science; Mitch Waters, SVP - Southeast Asia, Australia &amp; New Zealand, The Trade Desk; Isabel Castro, VP digital marketing, Gojek; Jessica Beaton, director, APAC media &amp; digital marketing, Disney; Peter Mitchell, global comms and media lead IFCN, Reckitt Benckiser; Jessica Goodfellow, deputy editor &amp; tech lead at Campaign Asia\"\/><\/figure>\n\n\n\n<p>While Google announced a delay to the deprecation of third-party cookies until late 2023 &#8212; to allow advertisers, publishers, and regulators to forge their plans &#8212; marketers are keenly aware that the industry is making a seismic shift away from third-party data.<\/p>\n\n\n\n<p>Research and testing of alternatives are ongoing, and the industry continues to prepare for a cookie-less world with different approaches. Marketers are turning to a mix of solutions, with universal identifiers, first-party data, and contextual targeting all rising to prominence. But how will these work together, and can alternative solutions scale to provide the precision and results that behavioural targeting could, while prioritising consumer privacy and consent?<\/p>\n\n\n\n<p>These questions were discussed during an engaging and wide-ranging roundtable, hosted in June by Campaign in partnership with Integral Ad Science. The event invited some of APAC\u2019s top marketing leaders to share where they are on their journey away from cookies. It was moderated by Campaign Asia\u2019s deputy editor &amp; technology lead Jess Goodfellow and co-hosted by Laura Quigley, senior vice president for APAC at Integral Ad Science.<\/p>\n\n\n\n<p><strong>Planning the move away from cookies<\/strong><\/p>\n\n\n\n<p>Isabel Castro, vice president of digital marketing at GoJek, explained how the company is focusing less on a post-cookie future and more on navigating the chaotic landscape that ensued following Apple\u2019s iOS 14.5 update. This new operating system prompts users to opt-in for tracking via IDFA, making it harder to target audiences. Flurry Analytics, a Verizon-owned measurement firm, estimates that <a href=\"https:\/\/www.fastcompany.com\/90633965\/ios-14-5-tracking-opt-out-rate\">just 11% of iOS 14.5 users worldwide<\/a> have opted-in to tracking.<\/p>\n\n\n\n<p>\u201cGoJek is app-only, and we\u2019re already experiencing difficulties in markets where iOS is more prevalent,\u201d says Castro. \u201cWe\u2019re about 90% Android in Indonesia, so we\u2019re not too worried about targeting yet, but we will be when Android follows suit.\u201d<\/p>\n\n\n\n<p>Castro says GoJek still has a \u201chuge amount of first-party data\u201d to call on, and the company can maintain a rich picture of its audience across multiple services, including rideshare, food delivery, and digital payments. Targeting users within its ecosystem through notifications has traditionally been favoured.&nbsp;<\/p>\n\n\n\n<p>\u201cHowever, during the pandemic, we\u2019ve learned there\u2019s a limitation to how much we can talk to consumers in our channels \u2013 some of them have uninstalled their app or switched off their notifications,\u201d she adds.&nbsp;<\/p>\n\n\n\n<p>Peter Mitchell, Global Comms and Media Lead for Infant and Child Nutrition at Reckitt Benckiser, agrees that brands with a wealth of first-party data will find the upcoming challenges of a cookie-less ecosystem less daunting.&nbsp;<\/p>\n\n\n\n<p>\u201cIn markets such as Latin America and the US, I have between 70% and 90% of all mothers on my database, and PII data on all of them. That is a very enviable position to be in for what is coming up in the next couple of years,\u201d says Mitchell.&nbsp;<\/p>\n\n\n\n<p>Reckitt Benckiser is taking a sideways step by entering into relationships with non-competitive brands such as Kimberly-Clark to expand its reach.&nbsp;<\/p>\n\n\n\n<p>\u201cThey [Kimberly-Clark] are into diapers, we\u2019re into infant formula, and we\u2019re trying to get hold of the same mums,\u201d says Mitchell. \u201cWe are implementing new ways of sharing data. If we can get an extra 20% or 30% reach of PII data, and vice versa, that\u2019s good for what comes in 2023.\u201d&nbsp;<\/p>\n\n\n\n<p><strong>Ringing the changes<\/strong>&nbsp;<\/p>\n\n\n\n<p>In anticipation of upcoming changes, Xaxis has assessed the potential impacts of third-party data loss in APAC.&nbsp;<\/p>\n\n\n\n<p>\u201cWe are about 70%-80% on-apps, and around 70% Android heavy,\u201d says <strong>Colleen Ngo, Vice President of Partnerships and Investment, APAC, at Xaxis.<\/strong> \u201cCookie dependency is not there within that app environment. So I think from a generalised Asia-Pacific perspective, the impact is not going to be as drastic as some other regions.\u201d&nbsp;<\/p>\n\n\n\n<p>This may buy the region some time but doesn\u2019t negate the need to find solutions. Assessments by Xaxis have thrown up solutions ranging from \u201cpeer alternative identity one-for-one replacement to aggregating audiences, contextual, and valuing first-party data a lot more,\u201d says Ngo. \u201cA lot of clients don\u2019t know how to navigate the entire landscape.\u201d<\/p>\n\n\n\n<p>There was consensus among speakers that APAC is behind other regions, particularly the US and Europe when testing<strong> <\/strong>solutions.&nbsp;<\/p>\n\n\n\n<p>Ngo posits that this is fuelled by many companies having headquarters in London, New York or the Bay Area, while Mitch Waters, senior vice president of Southeast Asia, Australia &amp; New Zealand at The Trade Desk, adds that the simplicity of having one regional language in the US is also a contributing factor.&nbsp;<\/p>\n\n\n\n<p>\u201cI would say APAC as a region is starting to take the lead in trying new things,\u201d adds Ngo. \u201cBeing innovative and pushing partners to look at the region as an equal contributor to the revenue dictates how we get prioritised in the testing calendar.\u201d&nbsp;<\/p>\n\n\n\n<p>Waters says that The Trade Desk had been working on their identity solution Unified ID 2.0 since October 2020, but Google\u2019s announcement had \u201clit the fire\u201d underneath it.&nbsp;<\/p>\n\n\n\n<p>\u201cIt\u2019s been positive because it brought out a conversation that everyone knew we had to have, but no one wanted to,\u201d he adds. \u201cThe way we\u2019re looking at it is stepping back and saying cookies were not perfect. They were built for a 20-30-year-old internet that looks nothing like it does today.\u201d<\/p>\n\n\n\n<p>Unified ID 2.0 will not be the only ID solution that emerges, Waters acknowledges. To increase transparency and reduce the perception of commercial gain, the source code has been put on GitHub for developers to pull down, hack and adapt.&nbsp;<\/p>\n\n\n\n<p>Cookies were far from perfect, but they were the enemy the industry knew. The future looks much more fragmented without a universal ID that vendors can agree on. Google\u2019s proposed browser standard FLoC has been roundly rejected by major browsers and Amazon.<\/p>\n\n\n\n<p>With no standard from the industry and no professional body in place to take responsibility, it will fall on marketers to make solutions work. This has the potential to create a system that was even less standardised than it was before, particularly with FANG companies vying for dominance.<\/p>\n\n\n\n<p><strong>Where does contextual fit in?<\/strong><\/p>\n\n\n\n<p><strong>IAS\u2019s Quigley <\/strong>highlighted that many companies are testing contextual targeting and avoidance solutions bolstered by new technology.&nbsp;<\/p>\n\n\n\n<p>&#8220;Contextual strategies are the future. It isn\u2019t just about avoiding unsuitable content. Contextual targeting delivers advertisers unprecedented precision for targeting content that is contextually relevant for a given brand or campaign to increase recognition and engagement. With the death of cookies looming, <a href=\"https:\/\/go.integralads.com\/contextual-Bench-media-case-study.html?utm_campaign=WC-Contextual-Bench-Media-Case-Study-GLB&amp;utm_medium=eventsponsorship&amp;utm_source=sales&amp;utm_content=brand-suitability&amp;utm_term=bench-media-case-study-contextual-toolkit\">marketers can drive outcomes<\/a> with contextual targeting while future-proofing a cookieless targeting strategy&#8221;<\/p>\n\n\n\n<p>GoJek\u2019s Castro adds that for general reach and frequency campaigns, contextual is very effective. \u201cWe don\u2019t necessarily absolutely need to target very specific people in our audience. As long as we appear contextually relevant to your product, that\u2019s great. Unique identifiers are more important for CPA-measured campaigns.\u201d<\/p>\n\n\n\n<p>The panel touched upon the fact that, while the iOS 14.5 update made headlines, Safari has prevented cross-site tracking for years \u2013 and that perhaps the change may bring better solutions to fill this blank spot.&nbsp;<\/p>\n\n\n\n<p>A shift towards contextual advertising could certainly increase CPMs eventually, speculates Quigley. \u201cIt\u2019s an advantage to publishers to be sitting on a wealth of [first-party] data and charge for that.\u201d&nbsp;<\/p>\n\n\n\n<p>\u201cI think where users have chosen to opt-in for ad tracking on apps, that type of inventory will become even more premium,\u201d says Ngo. \u201cI feel like there\u2019s going to be a lot more technology involved: there\u2019s a lot of buzz around artificial intelligence, machine learning<strong> <\/strong>and different ways of expanding the audiences. I think there will also be more expectation around the creative itself.\u201d<\/p>\n\n\n\n<p><strong>Privacy by design?<\/strong><\/p>\n\n\n\n<p>In points that were agreed on by many in the group, The Trade Desk\u2019s Waters argues that privacy and consent have been \u201cweaponised\u201d by tech giants such as Apple and Google, but there is less discussion around the fact that tracking funds content.<\/p>\n\n\n\n<p><strong>\u201c<\/strong>That angle is very damaging for the very fabric of what keeps a large class of the internet open for people that don\u2019t want to spend a lot on subscriptions or meet paywalls,\u201d he says. \u201cWe\u2019ve approached IAB on this: we need to create playbooks that tell publishers how to ask for consent in a way that gets a larger percentage of people to go: \u2018Okay, that\u2019s fine.\u2019\u201d&nbsp;<\/p>\n\n\n\n<p>Some attendees admitted they\u2019d considered opting out of tracking on certain apps in the latest iOS, as communication around what data would be collected was not clear.&nbsp;<\/p>\n\n\n\n<p>This nails into the beating heart of the problem: if consumers feel their privacy is respected, they are more willing to opt-in. \u201cThat\u2019s the bit that I don\u2019t think we\u2019re doing a good job of addressing,\u201d says Waters.<\/p>\n\n\n\n<p>Until testing is completed, it\u2019s hard to know how success will be measured in the cookie-less landscape. \u201cWe will have to make some adjustments,\u201d says Ngo. \u201cWhether it\u2019s going to be a higher unique reach cost per user or a higher cost per view, we don\u2019t know. But the outcome should not change \u2013 we\u2019re still trying to drive sales and reach users.\u201d&nbsp;<\/p>\n\n\n\n<p>Taking a step away from hyper-granular targeting could be a refreshing change of pace for an industry that is becoming riddled with data paralysis and data wastage.&nbsp;<\/p>\n\n\n\n<p>\u201cWe forget that that contextual is something that we\u2019ve been doing forever,\u201d says Castro. \u201cWhether it\u2019s TV or print or outdoor, it\u2019s all contextual, right? It\u2019s about being relevant to the consumer.\u201d<\/p>\n\n\n\n<p><em>This article was first published on <a href=\"https:\/\/www.campaignasia.com\/article\/while-cookies-are-getting-burnt-contextual-solutions-and-others-are-baking\/471139\">Campaign in Asia<\/a><\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>At an invite-only roundtable hosted by Campaign in partnership with Integral Ad Science, APAC\u2019s top marketing leaders discussed the growth of contextual adverts, the downsides of fragmentation, and debated which metrics will ultimately prove the best measures of success. While&#8230;<\/p>\n","protected":false},"author":1,"featured_media":297272,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[214,193],"tags":[],"class_list":["post-297270","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-contextual-targeting-apac","category-in-the-media-apac"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.5 (Yoast SEO v27.5) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>While Cookies are Getting Burnt, Contextual Solutions and Others are Baking - Integral Ad Science<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/integralads.com\/apac\/insider\/while-cookies-burnt-contextual-solutions-are-baking\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"While Cookies are Getting Burnt, Contextual Solutions and Others are Baking\" \/>\n<meta property=\"og:description\" content=\"At an invite-only roundtable hosted by Campaign in partnership with Integral Ad Science, APAC\u2019s top marketing leaders discussed the growth of contextual adverts, the downsides of fragmentation, and debated which metrics will ultimately prove the best measures of success. 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