Google's Head of Technology Platforms On How First-Part…

Welcome to HubSpot Expert Edge SeriesWhere we interview top executives from leading brands to find out their perspectives on the latest trends, challenges and opportunities shaping the industry.

Earlier this month, Google Chrome took another step in its plan to phase out third-party cookies.

And yet HubSpot Blog Research reports that 83% of marketers are still leveraging third-party cookies in some capacity.

I get it – it takes time to change both mindset and strategy. And change can be scary.

But when I spoke to Steve Yap, Google's head of Google Marketing Platform – Americas, he expressed his excitement and enthusiasm for the future of advertising.

“We are at this inflection point, and we are working across the industry to rebuild advertising as we know it,” Yap says. “We will redefine it, and we will do so with a consumer-centric, privacy-forward approach and perspective – and that's quite inspiring.”

Here, I spoke to Yap to learn what the current data privacy landscape looks like, how marketers can build consumer trust with first-party data, and the role AI can play in a cookie-free world. Let's dive in.

Consumer-centric marketing strategy requires privacy first

Privacy has become a top concern for most consumers.

Not only are 81% of consumers concerned about how companies use their personal data, but 72% say they are more likely to make purchases from companies they trust.

Which makes privacy a key pillar of your new advertising strategy.

As Yap says, “Marketers have always done a great job of meeting consumer needs. And right now, consumers need to feel that their data is being respected, and the one-to-one relationship between consumer and brand is being valued by the company.

Yap and Google are certainly not alone in thinking about how brands can help consumers feel safe online. Way back in 2022, our own CMO, Kip Bodnar, shared the same sentiments in this post.

Fortunately, consumer privacy is not contrary to your goals as a marketer – far from it. Focusing on building more meaningful relationships with your customers over the long term will ultimately allow you to collect first-party data in a privacy-first manner, leading to more accurate insights.

First-party data leads to greater meaning Insights on your consumers

Consumers are more willing to provide their data when they feel it is being exchanged for value.

Consider the airlines. If an airline asks you what hotels you usually go to, or which car rental companies you prefer, you may be more open to providing that information because you recognize that value. Which is being given in exchange for your information.

Providing this data makes your travel experience easier and more efficient, and you trust this brand to protect your online privacy.

The same can be said for SaaS businesses. Yap provided me with some quick tips when it comes to creating first-party data. As he told me:

• Everything should be based on your business goals, What are your business objectives? What are your marketing objectives? What do you hope to achieve through those objectives? Once you understand these basic principles, you can begin to see which data will provide the most value to your business.
• Be transparent with your consumers, Explaining how much value your consumer will get in exchange for their information and why you are collecting data in the first place is key to building trust. Consumers should be assured that your brand has disclosed why and how you plan to use their data.
• Empower your consumers with clear data settings, Consumers want to know that if they want to adjust their preferences on how their data is used, they have clear ways to change their data settings or turn them off entirely.

People want to feel both valued and safe. And it is these principles that help build brand trust and will ultimately make consumers more likely to purchase from you.

AI will be the vehicle that propels us into a cookie-free world

When considering how marketers can effectively launch and scale consumer-first advertising strategies, one thing becomes clear: They won't be able to do so without the help of AI.

As Yap told me, “We are at a point where many signals and strategies will change without personal identifiers becoming available. Modeling to compensate for signal loss will become even more important. Fortunately, AI is absolutely ready to do this. is applicable.”

Advertising and AI go hand in hand. Today, advertising is all about generating value for your audience and responsibly producing data while continuously learning and converting it into actionable insights. Then, AI enables you to do all that at scale.

“Ultimately, I believe AI will be the bridge to a future of advertising without third-party cookies. And that future is coming soon,” Yap told me.

Early Adaptation Will Put You Far Ahead

Yap encourages all marketers to start exploring the power of AI in their data strategies today to see what performance will look like in a post-cookie world.

He ultimately says, “Marketers need to change their mindset to understand that we are now operating in a completely new environment, and innovation and creativity will be key.”

Yap acknowledges that changing strategies and investing in AI may require some learning – but in the long run, investing in these adjustments today is the way to get higher returns.

“AI will also significantly increase efficiency. And when you think about efficiency and spending – the concept of doing more with less – I think marketers will become more efficient in terms of where they spend their dollars, and how far their dollars go, '' he says.

2024 will be the year we reimagine the advertising industry

Finally, I asked Yap what he's most excited about when it comes to data privacy, advertising, and AI.

“I was at DoubleClick when we first launched ad servers and have been on this journey for a long time,” he told me. So what really excites me? This concept about reimagining an entire industry was born in my lifetime – one that we all helped create and grow and a viable channel for millions of companies and employees and creative outlets.

“If you stop for a moment and close your eyes and think about the effect [advertising has had], and then say I have to be a part of rebuilding it,'' he explains. “Now, you are the agent and architect of change, and you have to be creative.”

“You are no longer bound by the structures that once guided you in this industry,” Yap concluded. “Now, you really have to think completely outside the box and say, 'what about this? Why can't we do this?' And then check out all the different paths that are available to you. And you'll do so driven by the most life-changing technology that we're going to see in our lifetime with AI.”

While moving away from third-party cookies will be challenging for many marketers, it is also a huge opportunity to leverage data to build more meaningful long-term relationships with our customers.

What does marketing really mean anyway?