The end of third-party cookies: What’s the alternative to marketers?

Google’s plan to eliminate third-party cookies in Chrome has been rolled out to 1% of users and is targeted to be completed by the end of 2024. The restriction to track customer behaviour poses challenges to marketers, who have relied on this tool for remarketing activities in past decades.

What are third-party cookies?

Third-party cookies are small pieces of data placed on a user’s device by a website different from the one the user is visiting. These can be used to track your website browsing activities and display personalised ads. Cookies can also be employed to remember a user’s login credentials, so no email address and password are needed to be entered manually.

What will happen when losing access to third-party data?

Third-party data is valuable for identifying and reaching specific target audiences based on customer behaviour, preferences, and interests. The lack of visibility makes it more challenging to accurately anticipate customer needs and effectively optimise marketing advertisements and efforts.

Additionally, it is believed that the absence of third-party data may result in higher advertising costs, lower accuracy on re-targeting and returns on investment (ROAS) as marketers now need to allocate more resources to reach broader audiences.

The phasing out of third-party data urges marketers to rethink their digital tactics and strategies. What alternatives or potentially superior options are available without an effective customer data collection tool?

First-party data can be the answer.

What is first-party data?

First-party data is data your company has collected directly from its customers and audiences, including information obtained through direct conversations, purchase history, website and app activities, newsletter signups, and surveys. With the retirement of third-party data, more companies are shifting their focus to capturing first-party data from multiple touchpoints.

How to collect first-party data effectively?

There are several common methods for collecting first-party data from customers:
1. Gather data on customer interactions from multiple social media channels.
2. Seek customer permission in exchange for valuable benefits, such as discounts, free downloads, or gift premiums.
3. Integrate with various CRM systems and tools for data tracking and consolidation.

By collecting and integrating first-party customer data across multiple touchpoints, Omnichat empowers brands to create comprehensive customer profiles for personalising shopping experiences. For instance, businesses can capture customers’ phone numbers and names when they connect through WhatsApp, or gather browsing behaviours and interests when customers interact with buttons or add items to their shopping carts on websites.

How to fully utilise the collected data?

After gathering the fragmented customer data, the next step is to construct a comprehensive customer database and commence customer analysis. By employing customer segmentation, you can tailor marketing strategies to individual segments, and ultimately deliver automated and personalised customer journeys through commonly used communication channels.

Omnichat enables you to achieve more precise categorisation and segmentation of customers using first-party data, including browsing behaviour, customer ID, WhatsApp / Facebook / Instagram / LINE accounts, order details, and chat history. This enhanced capability makes it easier to identify new target audiences and nurture existing customers.

Say for example, you can set up a customer journey specifically designed for new joiners on Omnichat. As part of this journey, multiple marketing messages can be automatically scheduled and sent to new customers via WhatsApp at predetermined times. 

Lightmac, a well-known medical skincare centre in Hong Kong, utilises WhatsApp broadcast messages to engage its loyal customers. Selected customers will receive automated birthday coupons, which can be redeemed in the offline store. This approach harnesses the power of first-party data to foster a sense of loyalty among customers.

Revolutionise your first-party data strategy, and start personalising customer experience with automated journeys today!