Singapore – Last April 28, MARKETECH APAC, in partnership with Oracle, gathered marketing leaders from the Southeast Asia region in the webinar, ‘The Future of Marketing: Loyalty-led strategies in a cookie-less world’, to discuss and uncover how loyalty-led strategies can help brands thrive in digital advertising amidst the elimination of third-party cookies.
Lisa Collins, director of strategy, Oracle Customer Experience, through a keynote presentation, shared how web 3.0 will transform the way consumers interact and engage with brands and the implications on data collection in this new world. She further explained how loyalty marketing seamlessly fits into the picture as a viable alternative to obtaining quality data sans third-party cookies.
Collins shared how the present evolution in digital advertising presents opportunities for loyalty programs to be transformed as a key to achieving healthy data exchange. Where loyalty only used to mean rewards and points at best, Collins shared the different innovative ways that brands can deliver them now amidst the increasing popularity of NFTs and cryptocurrency.
Meanwhile, the topic was further delved into with a panel discussion that was participated by marketing heads from Malaysia and the Philippines. Together with Collins; Norsiah Juriani Johari, vice president for product marketing at Astro Malaysia, and Anvey Factora, head of marketing communications, e-commerce and retail at Canon Philippines, shared their expert views and insights into implementing first-party data strategies and data’s role in developing loyalty marketing for the future.
Each of the panellists also highlighted the trends they believe will have the biggest impact on performance and loyalty marketing in 2-3 years, resulting in an insightful discussion about NFTs, ‘revenge’ travel, and the ‘revolution’ of e-commerce.
The webinar drew 153 marketing professionals from a variety of industries, including retail and e-commerce, media and entertainment and CPG. Most attendees hailed from the markets of the Philippines, Singapore and Malaysia, and those who took part were from companies Bosch, Estee Lauder, Hmlet, Loob Holding, Mastercard, Sanofi, Sunway Malls, The Ascott Limited, True Digital Group, and Xendit.
On the webinar, Collins commented, “Providing delightful contextual customer journeys [is] critical to customer acquisition, retention and loyalty. As marketers, we’ve always relied on a rich array of data signals to inform these journeys. However, with the imminent demise of third party cookies, a key ingredient for consistent personalised targeting hangs in the balance.”
“But let’s take a step back to understand the root cause of this issue: Consumers are fed up with giving over their personal and behavioural data with their only reward being more personalised advertising. This was arguably what led to a raft of privacy changes and also why the web3 ethos is resonating so strongly: people want to feel meaningfully rewarded for consuming content, for engagement, and for their own creative contribution,” Collins added.
Meanwhile, Shaina Teope, regional editor of MARKETECH APAC, and also moderator of the panel, remarked, “With the rapid changes in digital, we made sure that with this webinar, we covered good ground on such developments, so it’s not just about discussing cookies, but how these privacy changes will affect brands as we enter a more decentralised internet.”
“With the combined presence of our marketing leaders, we were able to get into what the future looks like in digital advertising, web 3.0, and loyalty marketing. We’re confident that with this discussion, we’ve become more ready to sail uncharted waters,” added Teope.
On-demand access to the webinar is now available. Get your access HERE.
Nobody can deny that the pace and degree of digital transformation is accelerating in the wake of the pandemic, creating mounting pressure to meet customers wherever they are. Those who were once never online are now navigating the digital world with a new sense of confidence.
This new world has also brought its fair share of challenges as well. Consumers, for one, are increasingly skeptical when it comes to their privacy and the privacy of their data, in particular. Their expectations of brands are also changing. They want more personalised and relevant experiences. Essentially, if they provide their data, then they expect to benefit from an enhanced experience.
Recently, I had the opportunity to speak at the Digital Leadership Forum (DLF), conducted in partnership with BPP, where we discussed the above digital customer trends in the APAC region. From what today’s consumers want to privacy, cookies and more, this is the information all marketers need as they tiptoe into a future without third-party cookies.
The privacy paradox
Thanks to digital acceleration, consumers are becoming increasingly careful, informed, sophisticated, and demanding in their shopping interactions. At the same time, they’re also far less tolerant of sub-standard shopping experiences, both online and in-store.
Their digital expectations have also risen exponentially, causing brands everywhere to face their biggest challenge yet — balancing customers’ desires for personalised interactions while fiercely protecting customer privacy.
It’s what we’re calling the privacy paradox. Consumers are really skeptical about how brands are using their data. Facebook has only added fuel to the fire with the controversy surrounding it in recent years. At Cheetah Digital, we’re finding more and more consumer sentiment around social channels becoming negative.
In Australia, our 2022 Digital Consumer Trends Index revealed that 63% of consumers do not trust these platforms with their data. Now, of course, that doesn’t mean they’re not using these platforms. They’re just treating them with a healthy dose of skepticism.
For example, when asked, a whopping 86% of consumers said they wanted to see brands spend more on their loyalty offering and less on Facebook advertising. Interestingly, there has also been a large positive sentiment for brands that have pulled ads from Facebook altogether because of concerns about the rise of harmful content. Consumers know the value of their data, as a result, they’re being increasingly protective of it.
When I think of a really tremendous example of digital transformation and acceleration, I think of our customer Purebaby. In a very short period of time, the Australian company underwent an incredible transformation.
Previously, Purebaby relied heavily on brick-and-mortar stores to drive revenue. Its online offering was just a secondary thought. That is until COVID-19 came to be. When it hit, Purebaby rapidly and successfully pivoted, resulting in roughly 90% of its revenue coming in from online sales. It has completely changed the brand’s business and business model forever.
The great thing about this transformation success story is that to bolster its online experience, Purebaby shifted from focusing on purely promotional marketing to building up robust lifecycle programs. To give you some context, Purebaby set up 22 email programs within the space of just 18 months.
The brand did this to ensure the online experience was seamless for its new demanding digital customers. Purebaby provided different touchpoints that were more triggered and personal than ever before. So when you look at how digital acceleration is changing the way consumers engage, it essentially comes down to the fact that they’re becoming more careful, and therefore, require brands to earn their trust.
Beefed up GDPR (General Data Protection Regulation)
Life is about to change big time for APAC marketers. As we all know, the General Data Protection Regulation (GDPR) is a regulation in EU law on data protection and privacy. The model is being adopted for the APAC region as well, leading to the death of the cookie.
This means brands and companies are at risk of facing regulatory penalties and lawsuits if they don’t adhere to the new privacy requirements. Even more, companies can no longer assume that if they cannot identify someone through an IP address that the law won’t apply to them. Because it will. As marketers, we need to be more cautious than ever in our approach to treating unknown users.
The question is, are we ready for this change? According to Forrester, probably not. Its research revealed that 43% of marketers say their current practices rely on third-party cookies. Even more, 59% of marketers in APAC say they only fulfil the minimum requirements to comply with data privacy regulations. That means there is a large portion of people who still don’t feel like they’re meeting minimum requirements.
With customers’ demands going beyond those minimum requirements, how can we make sure that we meet them in a place that keeps them happy and comfortable? Apple CEO Tim Cook said it best — “Technology does not need vast troves of personal data, stitched together across dozens of websites and apps in order to succeed. Advertising existed and thrived for decades without it.”
He continues, “If a business is built on misleading users, on data exploitation, on choices that are no choices at all; it does not deserve our praise. It deserves reform.” Case in point: Business owners and marketers cannot get away with what they’ve done in the past anymore.
Look at Apple’s mail privacy protection functionality that came into play in September last year. The update essentially allows users to turn off their opening tracking, hide IP addresses, and in some cases, hide email addresses. So it’s a lot more difficult to judge how a consumer is interacting with the communication you’ve sent them. This is some of the “fun” that we as marketers have to accept in this new cookie-less world.
As the cookie crumbles
We’ve been discussing the death of the cookie for a long time. Google announced plans to entirely phase out third-party cookies within two years. And although Google’s privacy pivot is a win for privacy-conscious consumers; it’s a headache for marketers and businesses who rely on these third-party cookies to advertise effectively. Next year will be here before we know it; so we need to be ready. We need to find a new way to satisfy our “sweet tooth” because the cookie is truly crumbling.
At Cheetah Digital, our goal is to always get brands to focus on building out a zero-party data strategy. And the reason is simple: this preference data comes directly from the consumer so there are no intermediaries — no guesswork. They’re telling you exactly what their preference is. It’s psychographic data that includes your customers’ values, attitudes, interests, and personality traits.
The only thing to be cognizant of is this will change over time. Unlike first-party data like first and last names and mobile numbers, which remain pretty static, zero-party data relating to attitudes and life stages continually evolves. So you have to keep understanding and collecting.
Cosying up with consumer expectations
We’ve established that consumers have the expectation for brands to know them. But what they’re comfortable with is a different story. Our research shows that most people actually want a consistent experience regardless of whether they interact online or in-store.
Consumers want messages that recognise their shopping history. They want their data to be used in ways that make them feel comfortable and like an individual. So don’t send them irrelevant content or offers based on information they haven’t directly shared with you — that’s considered creepy.
At the end of the day, it’s essentially a value exchange. Our research reveals that 55% of consumers are comfortable with sharing data with brands in exchange for better service. So if you want to know more about the consumer, figure out what you can give them in return for that information. At Cheetah Digital, we find that consumers respond positively to discounts, coupons, loyalty points, and rewards.
Use those aspects to gain additional insight into your consumer, understand your audience better, and then target them, using the data in a way that they find relevant and useful. Also understand that consumers have high expectations for brands. All it takes is one misstep or one bad experience for them to go elsewhere because, with today’s bustling online world, they have more options than ever before right at their fingertips.
For marketers who are struggling to meet the needs of consumers and their various demands, it’s time to update their toolkits to include new strategies and tactics to thrive. They need to market to an individual with authenticity, relevance, and accuracy and that requires an entirely new way of thinking.
Take a look below for five ways to thrive in a world with no third-party cookies.
5 ways to survive a cookie-less future:
1. Stop renting data: Build your own databases through direct-consumer relationships. Have a robust data-collection strategy to support this. And know that the data you need to market to individuals with the right level of relevance and privacy doesn’t come easily. It requires a strategy that incentivises consumers to tell you about themselves willingly, with the permission to use that data.
2. “Know them and show them”: Consumers expect digital interactions that are immediate and highly relevant to them. They have real-time expectations and think you should “know them and show them” how well you understand them. This requires a single view of the customer with preferences and insights that can be used for decisioning in the moment to drive engaging experiences anywhere your customer interacts with you.
3. Devise a loyalty initiative: Not every brand needs a loyalty program. But every brand does have to provide some sort of value exchange. Well-executed interactions across channels help customers feel a connection, and that connection leads to them reciprocating with purchases and eventually, loyalty to your brand.
4. Know the rules of engagement: Consumers expect to engage with you on different devices. In fact, today’s consumers use an average of nearly six touchpoints, with half of them regularly using more than four when engaging with a brand.
5. Create a craving: When customers want to participate in your loyalty program, you need to do more than incentivise transactions. You want to reward them for behaviours as well. Loyalty program management is vital to keep customers coming back for more.
Don’t take my word for it. Market research by Twilio’s Segment reveals that 44% of consumers will likely become repeat buyers and 32% will likely leave a positive review after a personalised shopping experience. There is life after the death of the cookie, and if you’re prepared, it has the potential to be even sweeter.
And talking about a ‘sweet’ success story – check out how Bakers Delight increased its basket size by more than 20% when its ‘Dough Getters’ loyalty program launched in the first half of 2021.
The key takeaway is, when you know individuals and can market to them with personalised experiences that they welcome — not because you snooped on them — magical things happen.
This article was written by Alexandra Smit, digital marketing & automation specialist at Cheetah Digital. Cheetah Digital is a cross-channel customer engagement solution provider that enables marketers to create personalised experiences, cross-channel messaging, and loyalty strategies.
Singapore – Ever since tech juggernauts such as Google and Apple have announced that they are putting down an iron fist on privacy, the world of digital advertising has been shaken with brands and marketers suddenly thrust to the challenge of uncompromised campaigns even with the absence of what have been their cornerstone – third-party cookies.
Due to this looming challenge, conversations around viable solutions spurred, but the industry, looking ahead to being crippled by an end of an era, would need more definitive answers to break down the perplexity of a cookie-less world.
This is why MARKETECH APAC, the digital media for the marketing and advertising industry in APAC, in partnership with Oracle, is taking the wheel to steer the discussion into what presents to be a top effective strategy for this dilemma – loyalty marketing. Happening on April 28, 2022, the webinar ‘The Future of Marketing: Loyalty-led strategies in a cookie-less world’, aims to unravel the practicability and sensibility of loyalty-focused solutions on keeping the quality of brands’ marketing intact amid a more privacy-driven digital landscape.
We have gathered marketing leaders in the region from the industries of media, imaging, and technology, to help shine light on how loyalty, put at the heart of our marketing arsenal, can help us thrive in this entirely new environment.
Joining the industry discussion are Norsiah Juriani Johari, the vice president of product marketing at Astro Malaysia; Anvey Factora, the head of marketing communications, e-commerce and retail of Canon Philippines; and Lisa Collins, the director of customer experience strategy at Oracle.
Each of them will be sharing their expert views on why loyalty is never dead, and why it matters in a cookie-less world as well as the personalisation strategies that work best to boost brand loyalty in Southeast Asia markets. Furthermore, they will also be discussing the role of data in creating future-ready loyalty marketing.
Shaina Teope, the regional editor of MARKETECH APAC, commented, “I believe that as we put an end to what has been a fixture in our marketing gameplans, we are called to be overprepared and be more than ready for such tricky independence. This is the worthy price to pay for a much safer digital landscape, and we’re here to show you how loyalty marketing can warrant an answer.”
As the usage of third-party data gradually moves out of the picture, this affects the way marketers approach industry disciplines, and this is across the board – from changing the way brands implement audience targeting and retargeting, the demands in order to keep every marketing funnel in optimum shape has greatly transformed.
David Harling, the former CMO and now the managing director of MoneySmart, enlightens us on one particular area – growth marketing. In an interview with Harling, he identifies the weak spots as well as strength areas of a brand’s growth marketing strategies now that the digital environment is about to fully transition to a cookieless and first-party data world.
Customer acquisition vs. customer retention
According to Harling, now that the industry is preparing to adopt first-party data strategies, the cost of customer acquisition will now increase, hence where brands are overly-dependent on gaining new customers, they must now shift the focus to customer retention.
“I think one of the main challenges that most brands are experiencing at the moment, and [something] we’ll find more challenging moving into a cookieless world this year is being too overly dependent on customer acquisition, and [not having] put enough focus into customer ownership, retention, and engagement,” said Harling.
There is no complex reason as to why lessen the focus on customer acquisition other than continued dependence will make the “ability to grow to cost more.”
“And so clearly with third-party data going away, the targeting abilities and the ability to scale and grow customer acquisition will be more expensive. And so the overall unit economics mix of that in order to try and grow would be more challenging,” said Harling.
Balancing performance-based marketing and brand investment
One of the challenges as well, Harling cites, in growth marketing presently is striking the balance between focusing on performance-based marketing and brand investment, where as of the present, there’s more focus on the former.
In relation to putting more attention to brands’ customer retention efforts, Harling says that it’s important, therefore, to reevaluate ad budget investment to performance-based marketing and brand investment as brands would need to double down on the latter in order to successfully keep and retain customers.
From an internal view, a qualitative study reflects Harling’s insight. According to a report by NEON leaders, marketers are actually revealing their fears of losing a generation of strategic marketing leaders, all because of the heavy precedence on output-heavy and metric-based marketing.
“I think another big challenge is how do brands begin to be comfortable again with investing into their brand profile. Clearly, that’s harder to account for or to measure, but in terms of future growth, it’s so important to get the balance between performance-based marketing and brand investments,” shared Harling.
He adds that brands must take action despite brand and customer experience taking much more time and being a lifetime value discipline.
“Being visible and driving awareness around products and brands is as important, but more challenging and difficult to measure. And again, it becomes more important as you move into a customer retention model,” said Harling.
Much like in a sense of doing the big things well so that the small things can take care of themselves–having a good customer onboarding strategy in place, Harling believes, is key, in order to fully make the focus on customer retention work. And effective customer onboarding can be achieved when marketing and user experience work in concert.
According to a recent 2021 study by Qualtrics, poor customer experiences cost businesses in Singapore US$11b annually, where it was found that 51% of customers in the market have cut spending after a single bad experience with a company.
“And so whatever user journeys or platform experience, or product experience you’re providing, you know, marketing and user experience need to work tighter. Once you have a good discipline to get customer onboarding, you’re making the efficiency of your customer acquisition costs stronger because you won’t need to recruit customers somewhere else,” said Harling.
Driving CRM and loyalty initiatives
Within growth marketing, Harling also shares his insights on the top strategies in successfully building CRM and loyalty initiatives. And he swears by the power of the basics – understanding your customer better.
“Investing into good customer profiling and looking at the exchange of value that you provide to your customers in order to make them comfortable to provide you with certain things,” said Harling.
Certainly all the pivot in marketing disciplines will take place in accordance with the shift to a cookieless digital environment, and Harling believes that investment in tech such as customer data platforms (CDP) will be one of the best approaches as it puts more emphasis on first-party data as a strategy.
“CDP underpins that first-party strategy and drives good sort of contextual engagement, which again, allows brands to become more dependent or I guess grow their customer base and clearly grow their business based on retaining customers,” said Harling.
“The customer experience and customer relationship discipline – I think if you get that right, you have a good ability to profile your customers and get to know them, and I think your engagements in your CRM become more contextualized and more meaningful to get an outcome,” he added.
In addition, Harling also advises that moving forward, there will be much stronger need for the integration of marketing and product teams. While a lot of companies have jumped into the said unification, many are still not doing it right such as having disconnected KPIs and lack of common goals.
“There’s a lot of brands that say, hey, my product team is so integrated with my marketing team. And actually, if you look at it, it’s nonsense, right? And so this [needs] proper integration [and] accountability, and having common goals. I mean, you’d find a lot of these teams don’t have a joined-up or shared KPIs [and] they’re very separate in the way that they’re accountable,” Harling says.
Harling concludes that among targeted marketing strategies that brands can focus on at this period, it is starting to define their first-party data strategy that would prove to lay a strong foundation.
“And so I think any advice I could give any marketer moving into  is really [to] get their heads around first-party data as a strategic driver, and really understand the relationship between good media activation of that data and also good customer onboarding,” Harling said.
He continues, “And then [figuring out] how do you use that data [to] profile your customers, and really begin to prioritize retention-based marketing, to grow your business. And I can assure any brand that takes that strategic direction, although it’s not easy, and requires a bit of time, you’ll find that you’ll grow your business based on good customer engagement.”
“Good loyalty in terms of customers coming back and driving repeat behaviors and repeat purchases – it will be less dependent on the cost of acquisition model, which I think a lot of brands are still strategically dependent on,” adds Harling.
This article is written based on an interview with David Harling, managing director of financial comparison platform MoneySmart.
The article is published as part of MARKETECH APAC’s thought leadership series What’s NEXT.This features marketing leaders sharing their marketing insights and predictions for the upcoming year. The series aims to equip marketers with actionable insights to future-ready their marketing strategies.
If you are a marketing leader and have insights that you’d like to share with regards to the upcoming trends and practices in marketing, please reach out to [email protected] for an opportunity to have your thought-leadership published on the platform.
It’s a stressful time for marketers. Many believe that their lives will be disrupted to the nth degree without cookies. Meanwhile, consumers are more protective of their personal data than ever. In the Australian Community Attitudes to Privacy Survey 2020, 7 in 10 respondents nominated privacy as a major concern for them, while 87% wanted more control and choice over the collection and use of their personal information.
Experts like Lauren Solomon, CEO of Consumer Policy Research Centre, further notes how data processes are clunky and outdated.
According to research from the Consumer Policy Research Centre, 70 percent of consumers accept consent terms, even if they are not comfortable with them. When asked why, three quarters of consumers said it’s because it’s the only way to access the product.
Meanwhile, the research further revealed more than 90 percent of Australian consumers are uncomfortable with how their data is collected and shared – and they’re disempowered to do anything about it.
“They want the government to intervene and protect them,” Lauren says.
“There also isn’t actually any way for consumers to express the preferences that they have and to acquire products that meet those preferences – because it’s a take it or leave it proposition,” added Lauren.
What is the solution?
Companies need to stop ‘renting data’ and build their own database through direct-to-consumer relationships. The key to future success is building a loyalty initiative that offers mutual value exchange. Customers can willingly offer their personal details, in exchange for a better customer experience.
With the death of the cookies, the ‘value exchange’ between businesses and their customers’ willingness to share personal data has never been so important. Activating cookie-less data, using it to enhance customer experience and derive insights is a craft and skill that marketers need to invest in and develop.
Unlocking the value of loyalty in a cookieless future
The importance of loyalty programs should not be overlooked as a critical part of a marketer’s toolkit. Loyalty programs are the perfect replacement for connecting customers with brands in new and innovative ways now and beyond a cookie-less world. They give organizations a clear, zero-party data approach to unlock deeper insights into their customers, unlock fresh CX opportunities, and open powerful new ways to forge more long-lasting and meaningful customer relationships.
But what makes a great loyalty program? Adam Posner, CEO and Founder of The Point of Loyalty, shares the seven zones that make up the ‘wheel of loyalty fortune’. Organizations need to implement each one of these points to ensure they have a strong, steadfast loyalty program that will benefit both customers and brands.
1. Business: First and foremost a business must be profitable and sustainable.
2. Members: Organizations should understand their loyalty member’s behaviors, beliefs, and belongings.
3. Program: The loyalty program needs to be meaningful and desirable to consumers.
4. Team: The organization’s employees need to buy-in for the loyalty program and be willing to endorse it.
5. Technology: The technology should be fit-for-future rather than fit-for-now.
6. Data: Ensuring the loyalty program captures the data necessary for analysis and for relevant action.
7. Dialogue: Any company dialogue to the customer needs to be dynamic and personal at all times.
It’s time for a new marketing recipe
There is life after the death of the cookie. Zero-party data can help marketers connect with their customers. This preference data comes directly from the consumer. There are no intermediaries and no guesswork — it’s psychographic data that includes the customers’ values, attitudes, interests, and personality traits.
Marketers will need to survive, lead and stay relevant in a cookie-less society – a reality that is right around the corner. Leading with loyalty and adopting a Zero Party Data strategy will help marketers survive by creating long-lasting customer relationships with a clear and concise value exchange.
This is the era of privacy. The modern consumer expects truly personalized experiences on whatever touchpoint they engage with your brand. Challenge accepted. But here’s the kicker, they want this complemented by heightened privacy, tighter data controls, and the right to have the information erased with the click of a button.
During the past three years, major technology companies have been announcing their removal of third-party cookie plans. Their decisions have been influenced heavily by the Facebook and Cambridge Analytica scandal which emerged in early 2018.
Since March 2018, when Chris Wiley blew the whistle on the Cambridge Analytica and Facebook scandal, governments have been investing in regulations. The European Union was the first to tighten the General Data Protection Regulations GDPR in May 2018. Less than two years later in January 2020, the state of California passed the California Consumer Privacy Act.
In January of 2020, Google announced plans to phase out support for third-party cookies within a year. Since then, browsers such as Mozilla Firefox and Apple’s Safari have announced they will be stepping away from cookies too. However, the timelines changed in June 2021, when Google explained that third-party cookies will not be eradicated until 2023.
They moved out the timeline for phasing out cookies, giving a new period of grace for advertisers and publishers that we’ll see in late 2022. Stage two, which is the phasing out of cookies, will start in mid-2023, and then end in late 2023.
A consumer’s perspective
In the past, consumers surrendered their data in exchange for convenience, however with all these changes coming in the next couple of years, the consumer has never been more aware of how they are being tracked online. We can certainly see more consumer awareness around what marketing tactics are considered creepy versus cool.
According to a 2021 Consumer Trends Index Report by consumer engagement Cheetah Digital, 73% of global respondents said they were okay to receive recommendations from brands based on past purchases. The report showed 54% of consumers were also ok to receive an email reminder about an abandoned cart, however, 66% said they do not like adverts that follow them across devices.
Furthermore, 69% of respondents said adverts relating to something they talked about near a smart device are ‘creepy’, while 72% said they do not want advertisements from companies they don’t know based on their location data.
There’s a big difference between targeting a golden audience segment with a silver bullet of an offer versus going through a consumer’s proverbial trash by analyzing their browsing history.
A marketer’s perspective
Consumers want more personalization and more privacy, this is the paradox marketers are grappling with right now. We can see marketers are primarily using segments or cohort-based personalization, versus true one-to-one personalization.
As we get closer to the cliff edge of the deprecation of third-party cookies, we’re going to see marketers ramp up and hopefully get more people into using advanced personalization at a one-to-one level using known data.
How to thrive from the death of the cookie
As brands and marketers start to address what they’re going to do in this cookie-less future, many are starting to build first-party relationships and incentivize direct engagement.
The entities in the advertising and marketing supply chain that have first-party relationships are the brand marketers and publishers. Everybody else in the middle of that is an intermediary, from the big agency holding companies to supply-side tech platforms to data management platforms. These are all intermediaries without a relationship to an end consumer.
Those entities, over the next two years, need to be able to leverage any element of advertising transaction, whether it’s through programmatic channels, automated channels, private marketplaces, or direct type deals. Many other marketers, including the analysts, are promoting zero-party data as a sensible strategy, given the need to balance privacy and personalization. This is data that a consumer willingly gives a brand in return for getting better, personalized products, content, or services.
While marketers can take advantage of free services and personalized discounts to get the best direct engagement, the best way for organizations to engage with customers directly without the need for cookies is through loyalty programs. And as the cookie begins to ‘crumble’, marketers need to reduce their reliance on third-party tracking and look towards the future of first-party data sources such as loyalty brands to ensure they can build a harmonious relationship between the brand and the consumer.
Loyalty programs that when done well govern the value exchange between brands and consumers, not just for a single interaction, but for direct engagement over the customer lifetime. With contextually differentiated, personalized experiences, they can be the conduit for the one-to-one relationships that build customer lifetime value.
This article is written by Billy Loizou, VP for Go To Market for APAC at consumer engagement solution Cheetah Digital.
The article is published as part of MARKETECH APAC’s thought leadership series What’s NEXT.This features marketing leaders sharing their marketing insights and predictions for the upcoming year. The series aims to equip marketers with actionable insights to future-ready their marketing strategies.
If you are a marketing leader and have insights that you’d like to share with regards to the upcoming trends and practices in marketing, please reach out to [email protected]for an opportunity to have your thought-leadership published on the platform.
Singapore – Quantcast, global adtech company, has announced that its cookieless solution for the Quantcast Platform is now available in Southeast Asia. The company will now be able to assist marketers in the region in finding new audiences in cookieless environments, including Safari and Firefox.
The new cookieless solution was formally launched last September. The solution allows for cookieless activation with just one click and leverages multiple signals for a holistic view of the open internet. Ara™, Quantcast’s unique AI and machine learning engine, makes sense of complex multiple signal sets to understand behavioral patterns, which allows marketers to find, activate and measure audiences without third-party cookies.
Andrew Double, Quantcast’s managing director for APAC, believes that now is the time to begin testing and activating on cookieless environments ahead of cookies deprecation in 2023.
“We have enabled cookieless capabilities to allow customers around the world to reach, influence, and acquire new audiences on cookieless inventory and go beyond the competition for limited cookie-based impressions and inventory,” said Double.
In the first half of the year, Google, which has been eyeing cookie deprecation for 2021, has delayed such for another year. Similarly, tech giant Apple has also tightened its privacy features with an update that’s been designed to conceal a user’s identity amid browsing in Safari.
Singapore – While a privacy-first internet is the pot of gold at the end of the rainbow, advertisers and companies are not withheld from disclosing the real pains of transitioning and adapting to a cookieless digital space when Google dropped the news of cookie deprecation in 2020.
Advertisers were, however, granted a breather, when the cookies phase-out, originally eyed by the tech giant in 2022 had been delayed a bit further into 2022.
Shortly after the announcement, data solutions provider Lotame released a poll among 200 Singapore-based senior decision-makers in digital media and marketing to further learn their sentiments on the future of cookieless internet.
First off, half, or 55%, said they were happy with Google’s decision to delay citing that they needed “more time to prepare.”
A top concern among digital media professionals is losing revenue amid weakened ad-targeting opportunities, where about57% of marketers believe in reduced ad-targeting opportunities, with over two-thirds (66%) expecting a 10% to 25% drop in revenues as a result of the loss of third-party cookies. Meanwhile, almost 60% (57%) of publishers anticipate a reduction in the workforce brought by revenue loss.
In adopting new identity solutions, the primary reason for Singapore-based marketers is to support audience targeting (59%), while among publishers, 64% would foremost adopt identity solutions for data privacy.
With the optimal number of ID solutions, 36% of Singapore marketers were open to using any number, while 35% of publishers cited two, with 30% saying three.
“A cookieless future is closer on the horizon and whether or not the industry ‘feels prepared,’ the end result is inevitable,” said Luke Dickens, Lotame’s managing director for ANZ.
Dickens adds, “Digital advertising is changing, and identity solutions will be part of that new future. Addressability and connectivity are at greatest threat in the post-cookie world.”
With a stronger call for privacy, Apple, aside from Google, had digital media players also rethinking their ad strategies with an update on its privacy features earlier this year.
Apple’s new iCloud Private Relay has been designed to protect users’ privacy by ensuring that when browsing the web in Safari, no single party, including Apple itself, can see a user’s identity and the sites he or she is visiting.
The same survey found that 53% of Singapore-based respondents are concerned about their ability to monetize the email channel amid Apple’s new privacy feature, while 46% said they are concerned for the impact on email hash identifiers.
Relatedly, email-based identity solutions (69%) were the most popular choice when asked what types of ID solutions marketers and publishers were planning to test in the next six months to one year. Contextual (44%) was in second place, followed by cohorts (33%) and probabilistic (27%).
The current report ‘Beyond the Cookie: Identity Solution Adoption & Testing Among Marketers and Publishers’ is part two of Lotame’s cookie-focused study, where the pilot study was released in February and examined how organizations are beginning to plan for the phase-out of third-party cookies.
Australia – Martech landscape is getting complex, and the demise of the cookie is causing more confusion for marketers than ever before, and with this, Cheetah Digital, the cross-channel customer engagement solution provider for the modern marketer, has launched a new campaign, aimed at approaching conversations around the post-cookie world.
Ahead of the company’s flagship Signals21 event, Cheetah Digital engaged Wayne Knight, best known for his role as the snoopy ‘Newman’ from Seinfeld to play the hilarious, snoopy ‘Dennis’ whose hand gets ‘caught in the cookie jar.’ In the in-house created campaign, Knight appears in a series of YouTube clips as ‘Dennis’ being sneaky and snooping on customers, as well as the human embodiment of cookies.
The new campaign follows on from a 2020 campaign Cheetah Digital ran for their Signals event, where the martech company partnered with rockstar Tommy Lee from Mötley Crüe and his wife Brittany Furlan-Lee. The husband and wife duo emceed the event and were also featured in a series of comedic promotional videos in the lead-up to the event.
Tim Glomb, Cheetah Digital’s vice president of content and data, shared that the campaign creatively “humanises the technical process behind the scenes of cookie tracking.”
Billy Loizou, Cheetah Digital’s vice president of go-to-market for APAC, noted the importance of being ahead of the curve when it comes to making martech accessible and relatable is critical in today’s complex and content saturated B2B environment.
“That’s why ahead of Signals, Cheetah Digital decided to go a more ‘Super Bowl Sunday’ route and have a bit of fun with our messaging. It’s great to be able to do something different and ‘think outside the cookie jar’ to enliven conversations and debate around the future of marketing beyond the cookie,” said Loizou.
Cheetah Digital created the campaign after it ran a survey polling over 5,000 global respondents that found 70% of consumers don’t trust social media with their data due to privacy issues, with 37% deleting cookies from their web browser.
London, United Kingdom – With the eventual ‘death’ of third-party data in favor of privacy-centric advertising strategies, global location-based programmatic advertising company Blis puts focus on this dilemma businesses in the future may face by launching a global campaign that likens this ‘data drought’ to an actual drought in real life.
The campaign, which features Blis’ CEO Gregor Isbister, demonstrates the metaphor of being alone in the desert during a drought is aligned with the fact that businesses should migrate as soon as possible with advertising strategies with privacy at its core, unless they wait to be affected by the changes on data-centric advertising.
Furthermore, Blis demonstrates that businesses can ‘escape’ this ‘drought’ by implying privacy-centric ad strategies, including their commercial message of location-powered behavioral data that can provide marketers and media planners with real-world behavior data.
Other messages include location data that can help brands understand the real purchase journey and through an interactive and visual tool that combines data from the company’s global panel with precise location data and anonymized rich third-party signals, discovering and activating audiences is quick and easy.
“The scarcity of data in the post-cookie world does not remove the ability to engage and connect with your digital audience. Brands can still reach their online prospects at scale via privacy-compliant personalized advertising. Even though at Blis we work in the B2B space, we are still marketing to people, and especially during this exceptional time in history, we want to engage our audiences and leave them with a positive and memorable impression, by speaking to them not as robots, but as actual real humans with needs and wants,” Ed Burleigh, head of marketing for Asia at Blis shared to MARKETECH APAC.
When asked why they used the metaphor of a drought in the desert to represent the campaign, Burleigh stated that the desert is an ‘extreme metaphor’ for what may happen when cookies disappear entirely from the digital advertising ecosystem, adding also the new landscape where Apple’s ID for Advertisers (IDFA) update eliminates ad tracking.
“In the desert, there are limited options to survive. However, Blis believes by applying the power of location data, and a myriad of rich and anonymized data signals, brands can reach the right people at the right time. We know that marketers are concerned about the removal of the Chrome cookie. However, we believe a data drought can be avoided,” he stated.
Burleigh added, “We’ve done this by addressing a key industry issue – that is facing all of us – with a sense of clever playfulness. One way we’ve achieved this is by putting a face on the brand, which is a great way to humanize it. Our new company video features our CEO Greg as the lead ‘character’ on a personal journey to beat the data drought. It’s authentic, believable, and fun.”
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