Adapting to a Cookieless World: The Rise of Contextual Advertising

In the wake of the demise of third-party cookie usage, companies have shifted to context ads as a privacy-focused alternative supported through AI or web scraping.

The world of advertising is going through significant transformations. Recent data shows a shocking increase in online advertising expenditures, and estimates suggest it could reach $38 billion by 2024, which is nearly three times the levels of pre-pandemic. But during this increase, concerns regarding the efficacy of traditional behavioural targeting techniques have been raised to the forefront.

According to an earlier KPMG study, 78% of the population is concerned about the amount of personal information being collected online, resulting in stricter privacy regulations and the elimination of the use of cookies by third-party companies. Consumer privacy concerns are growing, and tech giants like Apple and Google are eliminating third-party cookies. As a result of this dramatic change, companies are increasingly using contextual ads as an alternative to cookie-based targeted behavioural methods.

As per Gediminas Rickevicius, the VP of Global Partnerships at Oxylabs, advertisers are confronting a crucial, pivotal moment as they try to navigate the ever-changing world of privacy on the internet and data collection. Rickevicius said: “In an increasingly “cookieless” world, businesses must explore alternative strategies to reach their target audiences effectively.”

“One method that is growing in popularity is contextual ads, which don’t collect any personal data but instead display advertisements based on the content of the media used by the users. Contrary to behavioural targeting, which is based on extensive analysis of user data, contextual advertising is a more privacy-friendly option but still delivers a personalized experience.”

Contextual advertising lets advertisers offer relevant ads to users based on a close, real-time analysis of the content they consume instead of relying upon past browsing habits. This not only addresses privacy concerns but also ensures that ads are more compatible with the user’s interests and preferences.

The trend towards this kind of advertising is further fueled by the advancements in web scraping technology and Artificial Intelligence (AI) technology. Utilizing AI-powered algorithms, advertisers can study the context of widely accessible online content massively and create more nuanced and targeted advertisements.

“However, adopting AI-powered contextual advertising is challenging,” added Rickevicius. “Building and maintaining custom scrapers for each website, as well as ensuring access to high-quality proxies, are key considerations for businesses looking to implement contextual targeting effectively.”

“As the advertising industry grows, contextual advertising is an opportunity for companies to connect authentically and respectfully with consumers. Utilizing artificial intelligence technology, prominent data marketers can stay ahead of the technology and deliver effective results while ensuring users’ privacy.


Also Read – Digital Audio Advertising: Essential for Multi-Channel Marketing


                    Delhi Metro Advertising

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