ShareIn the world of tracking and analytics in digital marketing, the last 12 months have been a whirlwind of new rules and regulations. Notably, tools like Google Analytics have been at the forefront of this rapid evolution.
Looking ahead, we anticipate the coming year will be equally, if not more fast-paced, so it’s important that businesses proactively adapt to ensure they keep up with the ever-changing landscape.
There is one major update you need to know about: From 6th March 2024, businesses MUST set up Consent Mode V2 for any tracking activities across Europe.
Keep reading to discover why this update is so crucial and understand the potential risks to your business if you overlook this change.
What’s happening in the world of analytics?
The restrictions on cookies have significantly influenced digital marketing strategies in the last few years, especially in the EU. This has forced everyone to implement cookie management systems to comply with privacy regulations.
Most of our clients have an opt-in rate of 30% to 75% for their cookie banners, which means some businesses could be losing a lot of important data within Google Ads and Google Analytics. To solve this issue, Google created Consent Mode.
What is Consent Mode?
In simple terms, Consent Mode helps us understand user behaviour, even when they haven’t opted into marketing cookies. It sends click and conversion data to Google Ads for users who decline consent while remaining compliant with EU and GDPR rules and regulations.
Why is this update important?
Recent legislation, notably the Digital Markets Act (DMA), has imposed new responsibilities on major companies, requiring gatekeepers to collect user consent for core platform services. As a result, Google (being one of the nominated gatekeepers alongside Amazon, Apple, ByteDance, Meta, and Microsoft) has created Consent Mode V2.
This upgrade retains the benefits of the first implementation while introducing ad_user_data and ad_personalization consent states, allowing users to give more detailed and specific permission for their data use.
The risks of not upgrading to Consent Mode V2
Failure to adopt or upgrade to Consent Mode V2 by March 2024 will stop businesses from getting important insights, which will affect reporting, attribution, and campaign optimisation. Plus, their ability to gather audience lists for remarketing and engagement campaigns will be limited. This will impact the overall performance of their marketing efforts, affecting their reach and targeting capabilities.
For companies in Europe using Google Ads, it’s vital to switch to Consent Mode V2. This upgrade ensures conversions are tracked accurately, enabling marketing budgets to be spent well while complying with evolving data privacy regulations.
A cookie banner integrated with Consent Mode V2 also shares user permissions with Google, supporting effective data utilisation for conversion modelling and improved advertising strategies.
Your action plan: How to embrace a cookieless future
By embracing this shift to privacy-focused data collection, you’re not only staying compliant, but you’re also enhancing your ability to model conversions in Google Ads and GA4. It’s a win-win!
To make sure you’re prepared for the new update, you need to:
- Check your cookie banner is fully compliant: It must block cookies until users make their choice and only activate the appropriate cookies once consent is given.
- Integrate Consent Mode V2: Work with your cookie management system to integrate the new version of Consent Mode.
Google collaborates with nine different partners to streamline this process. The integration steps may vary depending on the partner, but the goal remains the same: seamless, compliant data collection.
Navigating these changes can be complex, but you’re not alone! If you need help setting this up or are unsure whether your website currently has Consent Mode, our specialists have the skills and expertise to help you.
Talk to us today and take the first step towards a more compliant and effective digital marketing strategy.
