On this week's episode of The MadTech Podcast, Patrick Kelly, head of digital, ITV Commercial, joins ExchangeWire COO Lindsay Rowntree and CEO Rachel Smith to discuss UK brands' reliance on third-party cookies, Newsworks' 'Trust Calculator' for brands and agencies, and the demand for increased streaming ad options amongst US viewers.
UK brands still relying on third-party cookies
Why are brands still relying on third-party cookies? What’s stopping them from changing? Are they setting themselves up for difficulties by not switching to cookieless solutions?
A significant number of UK brands are still using third-party cookies for targeted advertising, according to research from Twilio. The State of Customer Engagement Report found that 53% of brands continue to rely mostly on third-party cookies, with 29% using them in combination with first-party data for their marketing efforts.
The findings come despite the impending deprecation of the technology on Google’s Chrome browser, as well as wider awareness of its inefficiencies. While brands understand that using first-party data can help create better customer experiences and improve brand loyalty, just 5% currently only employ first-party data for personalisation, and 14% predominantly use it, per the report.
‘Trust calculator’ introduced by Newsworks
How important is trust when it comes to advertising? How can brands use the data from this “trust calculator” to inform their operations?
Newsworks have introduced a new ‘trust calculator’ to help brands and agencies better understand how they are perceived. Using consumer research, the calculator presents companies with a “trust score” based on how familiar, famous, competent, and risky they are considered to be compared to 150 other firms.
The calculator was designed based on two research projects by Newsworks – one which measures the effectiveness of advertising with news brands, and the other which focuses on how to quantify user trust. The marketing body describes the calculator as a “more accurate measurement of trust which considers the multi-faceted nature of this crucial metric”.
US viewers want more streaming ad options
How do advertisers leverage higher receptivity towards ad-supported streaming? Is the technology up to speed to help them do so?
A study suggests that viewers in the US want more ad-supported streaming options. WHY Group’s 2023 Inflation Nation Report, which assessed how the spending and saving habits of US consumers are impacted by economic factors, found that demand for ad-funded offerings has never been higher as people look to cut back on expenditure.
According to the report, sign ups to ad-supported tiers grew 7% from 2022, with a third of people saying that they have cancelled a subscription to sign up to an ad-backed alternative. Additionally, younger viewers proved the most receptive, with 21% of 18-34 year olds having cancelled (or planning to) an ad-free subscription for an ad-supported option.