Tabula Rosa Systems term of The day - third-party cookie

third-party cookie

A third-party cookie is a small amount of code that is placed on a website visitor's hard disk; this particular type of cookie is referred to as "third party" because it originates from a website domain other than the one a user is visiting. A cookie is a mechanism that allows the server to store its own information about a user on the user's own computer. The data stored in the cookie lets the server know with whom it is interacting so it can send the correct information back to the user. Cookies that originate from the site the visitor actually visits are referred to as first-party cookies. In marketing, the vast majority of programmatic ad providers rely on third-party cookies to find, identify and target prospects on the web. Business uses include serving personalized online ads, cross-site tracking and retargeting sales prospects. Third-party cookies can be blocked through browser settings and security settings that enforce "same origin policy." By default, the Firefox browser blocks all third-party cookies and Google recently announced it will take major steps to "fundamentally enhance privacy on the web" by limiting third-party cookies in Chrome, which is currently the world's most popular browser. Blocking third-party cookies has created a problem for lead generation data brokers and ad serving firms, whose business models depend upon being able to place ads that follow a particular user as they travel around the Internet. Because third-party blocking can negatively impact online lead generation, marketers have experimented with ways to circumvent third-party cookie blocking by using canvas fingerprinting, respawning cookies, Flash cookies and entity tags (Etags). Artificial intelligence technology is also helping advertisers to connect brands with consumers through hyperpersonalized automated advertising. This marketing strategy uses first-party cookies, machine learning and predictive analytics to recommend relevant products and improve ad placement. Continue reading...