Marketers have been using cookies for a long time. A cookie acts as a critical tool that allows understanding consumer behavior and target users. However, there have been allegations related to privacy and security, which led cookies to remain under the gunpoint throughout the decade. HTTP browser cookies, in technical terms, are text files made up of bits of data and stored on each user’s web browser like IP address, search history, and more. These cookies, then help websites know a lot about their visitors and deliver them a personalized experience.
In other words, this practice helps in identifying a user across various channels and allowing the marketers to respond in real-time.
Identity detection is difficult, and it gets even more complex with the recent announcement of Google. It says that Google will shut down the support services for third-party cookies within the next two years. This step of Google will majorly affect the digital channels that rely on reach tracked through the cookies. Therefore, the advertisers will look for new alternatives to move forward without cookies.
If you are new to the market, identity isn’t really what you think!
It is not simply “matching” identifiers such as mobile IDs, browser IDs, connected TV IDs, multiple email addresses, and location IDs. It’s a holistic approach to bringing together a unified view of the customer and maintaining the perspective even if the information evolves over time. Now, the question is, what will be the three biggest challenges related to identity in the cookieless future:
No one size
The definition of identity differs across a line of businesses, types of businesses, and technology platforms. It is required to understand and adjust the identity solutions as per every unique use case.
Data gaps in terms of coverage and attributes
If there remains a data/information related gap, it can bring damage to the brand’s marketing strategy. It is important to gain real insights about the brand, which ultimately helps in building relationships with the customers.
Consumers sharing devices, emails, or phones
It has also been reported that sharing causes noises and sends conflicting signals to people. So, it is a greater challenge to resolve the information to deliver a great customer experience.
Therefore, these were the major problems faced by brands to comprehend customer identities.
Knowing the challenges, the US marketers invested nearly USD 900 million in 2019 on identity services and solutions. The investment was made in order to improve the device graphs, data processing/management platforms, and the services so that they can deliver accurate results. Add to it, the amount is expected to rise to USD 2.6 million in 2022.
After scrolling on the critical nature of identity and related size of investment by the US marketers, it is essential for the organizations to conduct a thorough self-assessment. The companies are needed to assess the state of their own data and how it can help toward identity solutions. Also, a set of consistent questions need to be drafted based on which identity providers will solve the organization’s most urgent identity requirements:
More on this, following are the components that marketers need to accept while building an identity solution:
Data on point
It is anticipated that a brand’s data-related assets will expire and become obsolete each year. Just like visiting a dentist, it is also essential to check and update the consumer-related data, which includes email addresses, phone numbers, and postal addresses. When websites and marketers are not able to fetch high-quality data, the evaluation and efforts come back to zero. It will be easy to detect the identity only if the quality of data is useful and meaningful. Therefore, the accuracy of data is intrinsic to successful engagement with the customers.
Authentic and meaningful information
Inaccurate or irrational data makes no difference to the business growth. The volume of data is equally important to the quality of data. It is essential for businesses to sneak into consumer’s digital and online interaction. The first-party private enterprises combine offline data, digital data, and third-party insights for creating a unified view of the consumer. The organizations can build a solution that helps in maintaining the consumer’s identity throughout devices, channels, and touchpoints.
Qualitative customer service
Changing identity factors is constant. For instance, the phone number, address, or email can change at any point in time. It is essential for the brand to consistently oversee and optimize customer profiles that balance competing factors and maintain the identity across the channels. Brands can take assistance from identity management solutions that bring in Artificial Intelligence (AI) and machine learning. The AI-based identity solutions will help brands master their MarTech and SalesTech ecosystem by delivering exceptional IT experiences.
More than a collection of data, global brands prefer ethically identifying and connecting with consumers. To be able to deliver the best to the consumers, a brand needs assurance that the consumers are who they say they are, excluding the marketing activities. Even if the CCPA (California Consumer Privacy Act) and other consumer privacy regulations give access to their personal data, brands need some assurance and support from consumers regarding their identity revealing.
The identity of consumer helps in creating a single view of the customer across all the channels and touchpoints. However, it will be more critical with the end of third-party cookies.
Yet, once you know these components that help in building an identity solution, there will not be any setbacks coming in the brand’s way. It will become easy to meet the needs of the consumer today and tomorrow.