Adobe’s new research that shows brands aren’t taking the necessary steps to evolve their data strategies, despite serious near and long-term impacts on their businesses. The global survey of more than 2,600 marketing and consumer experience leaders (including 405 India respondents) also explores the marketing investments and strategies that set industry leaders apart from the competition.
In India, the majority (82 percent) of brands still rely heavily on third-party cookies, with over half (61 percent) of leaders expecting the end of third-party cookies will hurt their businesses. The research shows that one in every two respondents (53 percent) agree that the ambiguity over cookie deprecation is causing an overall acceleration in the prioritization for readiness for a cookieless world.
According to Anindita Veluri, Marketing Director, Adobe India, “Third-party cookie landscape is moving towards becoming outdated soon. This calls for business leaders to diversify their strategies now and increase focus on first-party data to build more direct and personal relationships with customers based on the data willingly shared thereby fostering trust.”
Brands rely heavily on third-party cookies
Although deprecation is on the horizon, 64 percent of Indian leaders still spend at least half of their marketing budgets on cookie-based activations – and 86 percent plan to increase spending on cookie-dependent activations this year. Most (87 percent) leaders in India still rely heavily on third-party cookies because they feel they’re very effective and a quarter (29 percent) of respondents surveyed believe that they do not have the resources to evolve their strategy.
An overdependence on third-party cookies is about to backfire on brands
Many Indian leaders expect the end of third-party cookies will hurt their businesses, in some cases profoundly: 40 percent said it would “devastate” their businesses, 22 percent anticipate significant harm, and 24 percent predict a moderate negative impact. Many heavy third-party cookie users believe they don’t have a choice, with over half (61 percent) of cookie-using leaders saying they view cookies as a “necessary evil,” even though many realise that continued overreliance is a losing strategy for the long-term. One in four respondents in India (29 percent) say they can’t get the resources to evolve their strategies.
While many companies are now on the path to abandoning cookies, some (11 percent) say they’re not changing out of a perceived lack of urgency. Others (22 percent) plan to change but are delaying preparations.
Customer data platforms (CDPs) are helping brands prepare for a cookieless future, and a cookieless now
The research found that 96 percent of leaders surveyed in India are already using CDPs, out of which over half (57 percent) who use CDPs have already gained more direct relationships with customers, a rise in customer loyalty (46 percent), and an increase in the number and value of completed transactions (43percent). CDPs also improve internal workflows, with 47 percent in India saying it enabled better and faster work across marketing and IT and more efficient ROI production (36 percent).