Why fewer cookies lead to lower CPMs [Video]

Declining impression CPMs are a key indicator of how third party cookie decreases impact the digital advertising industry. Coverage and analyses often link cookie deprecation/deterioration with decreased CPMs while also discussing potential mitigation solutions such as first party data, Universal IDs or the Chrome Privacy Sandbox.

While this connection may be obvious to programmatic and adtech experts, it might not be as clear to others in the industry. This explanation aims to bridge that knowledge gap, exploring the relationship between cookie’d impressions and CPMs for those less familiar with the technical details.

CHAPTERS
00:00 – Intro
02:02 – Why third party cookie deprecation leads to lower CPMs
10:57 – Can contextual targeting make up for the CPM decrease?
17:01 – Outro

Article headline/excerpt sources:
https://www.adexchanger.com/online-advertising/early-tests-of-cookieless-chrome-ads-are-encouraging-but-dont-get-too-excited/
https://www.mi-3.com.au/13-02-2024/chrome-deprecation-slashes-cpms-30-cent-roas-could-follow-and-adtech-vendors-are-warning
https://www.fastcompany.com/91141274/publishers-broadcasters-cookiepocalypse-and-demonetization

Literature review of academic studies on the the fall of ad prices without cookies:
https://docs.google.com/presentation/d/1juu6UBguR7ru1Rhfyor9knFBFsyLNP6FmIiXcJKyJZM/edit#slide=id.g16d18395cc2_0_0

————————————

CONNECT WITH US!
Website: https://skeletonkey.digital/
LinkedIn: https://www.linkedin.com/company/skeleton-key-digital/

#thirdpartycookies #cookieapocalypse #mediacpm #datastrategy #dataprivacy #identity #firstpartydata #adtech #martech #madtech #programmaticadvertising #programmatic #digitaladvertising #digitalmarketing