Third-Party Cookies: What you didn’t know

In order to understand how third party cookies are used, we need to understand how and when they are created. 

Imagine visiting your favourite shoe brand’s website with the intention of buying a new pair of shoes. When you enter the site, if you are not using blocking systems for tracking, various tracking cookies will be automatically stored on your device. These cookies can be classified into two macro types: first party cookies and third party cookies.

First party and third Party cookies are both installed from the same domain you are visiting. First party cookies can only be used by the company in possession of the tracking platform licence, whereas the information collected from third party cookies can be made available on the free market to other brands for marketing purposes. 

The gathered tracking information represents a strategic advantage for brand marketing departments because it allows them to improve their knowledge of visitors to their site.

In real-life terms, have you ever looked at a pair of shoes on one of your favourite fashion shop’s sites and later recognized the same pair in the banner ad on a news site? Well, this is possible thanks to third party cookies.

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But are Third-Party cookies actually useful?

For a while now, online marketers have built their businesses on the ability to track online users and then target them with advertisements, and much of this has been through the use of third-party cookies. Once third-party cookies disappear, there’s a likelihood that online advertisements will revert to contextual advertisements. 

At some point, you may begin to grow tired of receiving the same seemingly random ads over and over. But they may not be so random. Most browsers have settings that allow you to clear cookies or set them so that cookies are automatically cleared when the browser is closed.

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