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CTV, Identity Consolidation, and Ad Trends Amid Cookie Deprecation

Updated: Apr 30

The elimination of third-party cookies is transforming digital advertising, necessitating changes in how advertisers target and analyze campaigns, as observed by analyst Evelyn Mitchell-Wolf. However, certain trends like direct programmatic transactions and increasing ad spend on connected TV (CTV) are expected to continue.

Changes Due to Cookie Deprecation:

  • Loss of Historical Benchmarks: With cookies phased out, traditional methods of ad targeting and performance measurement become obsolete. Advertisers need new strategies to track and compare campaign effectiveness.

  • Consolidation of Identity Providers: The market, currently hosting over 110 identity providers, will likely see a decrease as smaller or less effective ones either fail or are absorbed by larger entities with more robust data and technology.

Stable Trends Despite Cookie Deprecation:

  • Shift from Open Auctions: The use of open auctions for programmatic ad buying is diminishing. Direct transactions and private marketplaces are now preferred, offering benefits like reduced fees and lower risk of data leaks.

  • Growth in CTV Spend: CTV spending continues to rise, now surpassing traditional computer-based ads in programmatic spend. Advertisers are reallocating budgets to reflect consumers' increased TV screen time over computers.

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