Big tech companies have been forced to reevaluate their strategies to minimise the impact that new and upcoming cookie changes will have on advertising and analytics.
As described in a previous blog, Digital Marketing and Advertising Without Cookies, big tech companies, including Google, Meta and Apple are forced to address their concerns as we edge towards a cookie-less world.
Ever since the iPhone iOS 14 update in September 2020, which allowed users to opt out of having their data collected, there has been unstable ad revenue generated from Meta ads, due its reliance on customer data for targeting and tracking. In 2022 alone, this new update has reported to lose Meta as much as 16 million dollars, or around 13 million pounds.
As a retaliation, in April 2021 Mark Zuckerberg CEO of Meta claimed that they will:
“build the best privacy enhancing technologies to provide accurate targeting and measurement to advertisers even when purchases aren’t happening within our apps.”
This blog aims to summarise a couple of actions already taken to minimise the effects of data loss on Meta advertising.
The Facebook Pixel was a highly valuable tool for tracking business data on Facebook. However, its effectiveness had been declining in recent years due to ad blockers, cookie blockers and the iOS 14 update.
Hence the introduction of Facebook Conversions API, a Facebook data tool which collaborates with Facebook Pixel to ensure marketers get all the data they need. It is designed to create a direct connection between your marketing data and the systems which help optimise ad targeting.
Facebook Pixel and Facebook Conversions API, together, help marketers efficiently track, attribute and improve Facebook marketing performance.
Instead of relying on cookies, the conversions API tracks web conversions, post-conversion events and page visits. Since the launch last year, it has successfully improved the accuracy of Facebook tracking by capturing data that would have otherwise been lost.
On top of tracking benefits, it also assists with marketing sales funnels by incorporating information such as CRM data and qualified leads.
Meta, Facebook’s parent company, is reportedly in the process of developing a new type of ad which is less reliant on consumer data for targeting.
These ads, to be named ‘Basic Ads’, will rely on basic metrics like engagement and video views rather than personal data. They will seek to build brand awareness to a wider audience and shape product perception, rather than granular targeting.
As most would assume, these less targeted campaigns would be less effective in generating direct results. However, it is predicted that marketers could still be able to successfully boost their exposure, through broad-reaching campaigns.
The advertisement’s reach will depend on the amount of engagement it generates. Ads that receive a high level of engagement would theoretically reach a large audience, and therefore allow advertisers to connect with the right audience and generate ad revenue.
Benefits to digital marketing efforts
Although it is an unpredictable environment for digital marketers as we edge closer to a cookie-less world, it is obvious Meta is innovatively seeking new ways to reduce the data losses.
The introduction of the Facebook Conversions API last year has already begun to help with tracking and optimisation of Meta Ads. Additionally, Meta is continually evolving their technologies, and the introduction of providing alternative ad options will likely attract significant ad spend, even with reduced targeting.
How Click2Convert can help
At Click2Convert, we use our proactive expertise to stay ahead of the game to ensure our clients’ digital strategies keep up with ever changing industry updates and data privacy changes. Our PPC experts implement profitable paid marketing strategies, drive incremental revenue and increase leads, whilst also supporting other marketing activities.
If you’d like to discuss how Click2Convert can help with your PPC activity, discover our PPC services and get in touch today!