Thriving in a first-party digital ecosystem

Published: 14 Oct 2021
Author: Patrick Ugeux

Building on its research on data maturity, Deloitte has just released the findings from a report, commissioned by Google, that examines how publishers and broadcasters are preparing for a more privacy-centric commercial future.

Online users have become increasingly aware of the importance of privacy and the use and value of the data they share online. According to the Deloitte research, 81% of consumers reported taking some action due to data privacy concerns in the past year, while Google & Euroconsumers research reports that 69% say the amount of personal data collected online makes it difficult for them to protect their privacy. Driven by these concerns, recent regulatory change and announcements by leading platforms aiming to protect customer privacy, publishers and broadcasters (together “publishers”) have spent the last few years preparing for a more private internet.

Google has been working with the broader web community to design and implement new privacy-preserving technology, without compromising the vitality and sustainability of the open web, and commissioned Deloitte to produce this report to better understand publisher behaviour today and examine how publishers can thrive in the privacy-centric future. Based on conversations, surveys and roundtables with 30 of Europe’s leading publishers, the report aims to:

• Provide a high-level overview of recent privacy-related changes and their impact on publishers

• Share lessons from leading publishers on how to achieve success in an increasingly privacy-centric digital ecosystem

• Provide a framework to help publishers define their strategy at this time of great uncertainty

• Look ahead to what the future might hold

Key Findings

• Failure to find replacement solutions to third-party cookies could lead to a drop of up to 2/3 in yield on open-market programmatic trading

• Existing solutions based on first-party data, collected through a publisher’s direct relationship with its users, could mitigate most of this impact

• Free of the shortcomings of third-party cookies, first-party data can serve as the foundation of all key digital publisher activities in a privacy-centric era: editorial, commercial and general management

• To help accelerate value creation from the use of first-party data, publishers stressed the importance of developing the right mindset, capabilities and approach before building data maturity and commercial sophistication

Though it must be noted that the research focused on leaders in the market with the ability to invest in such solutions, this finding is hugely encouraging and should serve as a catalyst for investment. Overall business strategy, objectives and context should drive where each company chooses to focus this investment.