Future of the Cookie

Jordan Mitchell – the Rubicon ProjectPhilip Smolin – Turn

Susan Pierce – Google

IAB Ad Technology Council

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The Cookie Situation Originally designed for temporary data

storage

Now a fundamental infrastructure of the Web, used for many purposes:● Targeting / retargeting● User profiling, segmentation, optimization● Mapping users between platforms● Buying and selling of data● Consumer privacy controls● Frequency capping of ads● Analytics, attribution and verification● Session management, shopping carts, etc.

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The Cookie is Crumbling! Not a stable or persistent tracking

mechanism● Too specific – domain, device, browser, app ● Cookies ≠ users● High churn rates

Has lead to broader use, not less● Every new vendor, publisher, segment, attribute,

platform, etc. multiplies the cookies used on the Web● Internet bloat

This is a lose, lose, lose, lose situation for advertisers, publishers, consumers and platforms

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The Publisher ProblemProliferation of 3rd party pixels

●Slows page loads●Increases discrepancy counts●Degrades user trust and experience●Risk of data leakage

Broken compensation model●Revenue loss if they don’t support 3rd party

pixels●Revenue loss if users block cookies●Tilted playing field, favoring large consumer

brands●DNT, IE9/Safari defaults, EU laws, etc.

potentially make their job harder, with more revenue risk

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The Ad Industry ProblemCookie reliance + churn results in:

●Ongoing ramp-up time and effort with each new segment, attribute, partner, etc.

●Rapidly degrading economic model●Continuous, high-volume, redundant

deployment●Excessive network traffic and related costs●Excessive ad exposure●Redundant user tracking (devices, logins, apps,

etc.)●Tilted playing field, favoring large consumer

brands●Significant regulatory threats

Non-cookie supported mobile devices

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The Consumer Problem3rd party cookie overload, causing

●Widely fragmented data collection●Anxiety, lack of trust●Degraded online experience

Fragmented opt-out or opt-in controls●Can’t be applied across every domain, device,

browser, login, app, etc.●No persistence

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Opportunities Reduce or eliminate the need for

continuous cookie mapping between IAB-compliant stakeholders

Turn the industry’s most negative issue into a positive (or at least a neutral)● Improved, persistent consumer control and trust● Improved tracking, targeting and analytics for

advertisers● Improved publisher business

Level the playing field● Same advantages go to IAB-compliant vendors as the

big 4● Bad actors are disadvantaged

Better convey to consumers the relationship between advertising and free content

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Project Goals Define problem statement and scope

● Common understanding of the stakeholders, problems, solution requirements and related value.

●Browser-based cookie tracking●Mobile app user tracking●Cross-device user tracking

Solution mapping● Common understanding and stack-ranking of the

solutions available to the industry, with a recommended approach and rationale.

Solution execution plan● Common understanding of the solution project plan,

milestones, timelines, participants, etc.

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Calling on …Publishers!Ad infrastructure / platformsDSPsDMPs and data exchangesUS and Western Europe

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Email us if you’re interested!

Initiative co-chairs●Jordan Mitchell, jordan@rubiconproject.com●Philip Smolin, philip.smolin@turn.com●Susan Pierce, pierces@google.com

Next steps●September 2012 - White paper draft●Q4, 2012

●Solution mapping draft●Industry consensus building●Recommendation