Navigating the Post-Cookie Era: Brands Embrace First-Party Data and Publishers Anticipate 2024 Revenue Growth

Introduction

As the digital advertising landscape undergoes a seismic shift with the impending demise of third-party cookies, brands and publishers are compelled to adapt their strategies to thrive in this evolving ecosystem. This comprehensive research report delves into the evolving strategies of brands and publishers, examining how brands are adapting their data collection methods to cope with this significant shift and exploring publishers’ revenue expectations and industry predictions for 2024.

Key Findings

• First-party data has emerged as a clear priority for brands, with 69% of brand professionals investing in technology to acquire more first-party data.
• Retail media networks (RMNs) are gaining traction as valuable partners for brands, offering access to rich first-party data from customer transactions, loyalty programs, and browsing behavior.
• Despite revenue challenges in 2023, publishers remain optimistic about 2024, with half expecting revenue growth.
• Publishers are cautiously optimistic about their companies’ prospects, but less so about the broader media industry.

First-Party Data: A Strategic Imperative for Brands

With Google’s decision to disable third-party cookies, brands are faced with the urgent need to diversify their data collection strategies. First-party data, which brands collect directly from their customers, has become the primary focus for many. This data provides valuable insights into consumer behavior, preferences, and engagement, enabling brands to deliver personalized and targeted marketing experiences.

Investing in Technology to Acquire First-Party Data

The importance of first-party data is reflected in the significant investment made by brands in acquiring it. Over two-thirds of brand professionals (69%) are investing in technology to acquire more first-party data. This investment includes a wide range of solutions, from customer relationship management (CRM) systems to data analytics platforms and marketing automation tools.

Retail Media Networks: A Source of Valuable First-Party Data

Retail media networks (RMNs) have emerged as strategic partners for brands seeking to acquire first-party data. RMNs, such as Walmart Connect and Target’s Roundel, offer access to a wealth of consumer data derived from customer transactions, loyalty programs, in-store purchases, and online browsing behavior. This data enables brands to target advertising campaigns more effectively and deliver personalized experiences.

Publishers’ Revenue Expectations and Industry Predictions for 2024

Despite facing revenue challenges in 2023, publishers remain optimistic about 2024. A significant proportion of publishers (50%) anticipate revenue growth this year.

Cautious Optimism Among Publishers

While publishers are hopeful about their own companies’ prospects, they exhibit a more tempered optimism regarding the media industry as a whole. Nearly two-thirds of publisher professionals (63%) expressed optimism about their companies’ prospects for 2024, but only 20% were optimistic about the industry’s prospects.

Revenue Growth Expectations

Among those publishers who anticipate revenue growth in 2024, most (38%) expect an increase between 1% and 10%. This cautious optimism reflects the ongoing challenges faced by publishers in a rapidly evolving digital advertising landscape.

Industry Projections

Publishers’ perspectives on the media industry’s prospects for 2024 are mixed. The largest share of respondents (35%) remained neutral, neither agreeing nor disagreeing that the industry will have a successful year. This reflects the uncertainty and volatility that characterize the current media landscape.

Conclusion

As the digital advertising landscape continues to evolve, brands are prioritizing first-party data collection to maintain a competitive edge. Retail media networks are playing a crucial role in providing brands with access to valuable first-party data. Publishers, while cautiously optimistic about their own companies’ prospects, are less bullish about the broader media industry’s outlook for 2024.

In this rapidly evolving digital landscape, brands and publishers must continually adapt their strategies and embrace innovative solutions to thrive in the post-cookie era. By investing in first-party data collection, forging strategic partnerships, and embracing new technologies, brands and publishers can navigate the challenges and seize the opportunities that lie ahead.