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As third-party cookies disappear, businesses can approach data collection, privacy and compliance in a way that supports smarter, more responsible marketing, says Postmedia’s legal expert.

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As third-party cookies are phased out in 2025 due to privacy regulations, small and medium-sized businesses (SMBs) face significant challenges in their digital marketing efforts.

Cookies have been vital for tracking user behaviour, optimizing campaigns and delivering personalized ads, but this shift will require SMBs to rethink their strategies. With fewer resources than larger enterprises, SMBs must find cost-effective, privacy-friendly alternatives for performance tracking and customer targeting.

The Canadian digital ad market, which is projected to reach US$12.95 billion by 2027, underscores the growing importance of this shift. To adapt, marketers need to strengthen first-party data, explore innovative targeting methods and refine measurement practices.

Sahil Razdan, legal counsel for Postmedia, says businesses can approach data collection, privacy and compliance in a way that supports smarter, more responsible marketing.

What is cookie deprecation (and why does it matter?)

For years, third-party cookies have been the foundation of digital advertising, allowing businesses to track users across different websites and deliver targeted ads.

However, as consumer privacy concerns grow, major web browsers, including Safari, Firefox and now Chrome, are phasing them out. This shift is driven by new privacy regulations, consumer demand for greater transparency and the need to protect user data.

“Data is the biggest commodity in the world,” says Sahil. “Legislation is trying to balance the power between private individuals and large corporations that collect and use data at scale.”

For marketers, this means losing access to cross-site tracking, which has long been a key tool for measuring ad performance and optimizing campaigns. Retargeting becomes more difficult without cookies, and campaign attribution will require fresh approaches.

While this change prioritizes consumer privacy, it also forces businesses to rethink how they gather and use data to keep their marketing efforts effective.

The end of third-party tracking and targeting

Marketers have relied on third-party cookies to track user behaviour and serve relevant ads. Many traditional tactics, like retargeting and hyper-personalized ads, won't work the same way without them. Advertisers will need new ways to reach and engage their audiences.

Measurement will also be affected. Many businesses use multi-touch attribution models to analyze which ads influence conversions. Without third-party tracking, campaign performance data will be less detailed, making it harder to measure success and optimize spending.

How cookie deprecation impacts your marketing strategies

The removal of third-party cookies marks a fundamental shift in digital marketing. For years, businesses have relied on tracking data to fine-tune advertising, personalize content and measure campaign success. Without cookies, many traditional tactics marketers have used, especially in digital advertising, will need to evolve.

“The biggest roadblock is people not knowing how data is being used or collected,” Sahil says. “If they're more informed, they feel more in control, making marketing efforts easier and more effective.”

While large corporations may have the resources to quickly adapt, small and medium-sized businesses face unique challenges. Marketers must find new ways to reach audiences, measure performance and allocate ad budgets effectively.

The challenges ahead for small and medium-sized businesses

For SMBs, adapting to this shift may feel overwhelming. Larger companies with access to proprietary data and advanced analytics have more flexibility. Still, many businesses depend on Google Ads, Meta Ads and programmatic advertising, which all rely on third-party cookies.

Without this data, businesses may struggle to target the right customers or understand how their ads are performing. There's also a growing need to build direct customer relationships, which means businesses must be more transparent about data collection while still delivering relevant, engaging marketing.

While the cookie-less future may seem daunting, businesses can stay competitive by embracing privacy-first marketing strategies that maintain customer trust and drive engagement.

What marketers can do to prepare

Adapting to a cookie-less future won’t mean starting from scratch. Instead, the focus will be on shifting strategies to focus on privacy-first marketing. The good news? Businesses that act now can stay ahead of the curve by strengthening first-party data, exploring alternative targeting methods and refining their measurement practices.

“The more clean data you have that you’ve gathered with well-informed consent, the better your marketing can be,” says Sahil. “Transparency goes a long way in building trust and getting data you can actually use.”

1.     Build and leverage first-party data

The best way to adapt to a cookie-less future is to focus on publisher first-party data collected directly from customers through website visits, email subscriptions, surveys and loyalty programs. This data not only provides control over customer insights but is also more accurate and relevant than third-party tracking data. Mindful data collection also protects your business.

“Collecting too much data can expose you to unnecessary risk. If a breach occurs, it’s better you were storing five necessary pieces of information than 100 unnecessary ones,” Sahil says.

To build stronger data-driven marketing, businesses should encourage direct engagement, use interactive tools and invest in platforms to organize data.

2.     Explore alternative targeting methods

Contextual advertising, or placing ads based on page content rather than individual behaviour, is coming back. Google’s Privacy Sandbox is also introducing tools like Topics API and Protected Audience API to support privacy-friendly targeting. AI and predictive analytics can help marketers anticipate customer needs using broader consumer trends instead of tracking individuals.

“If you’re clear about how you’re using cookies and customers agree, you can still personalize effectively,” said Sahil. “It’s about informed consent.”

3.     Rethink measurement and attribution

Businesses should shift from last-click attribution to more holistic measurement models, like customer lifetime value (CLV) analysis. Tools like Google Analytics 4 (GA4), server-side tracking and secure data environments, like clean rooms, can help businesses collect and interpret data responsibly.

“With the right tools, you can inform your customers, gain consent and still effectively market to them while staying compliant,” Sahil says.

Communicating with customers about privacy

Consumer trust is more important than ever, and businesses prioritizing transparency will build stronger relationships with their audiences. Customers want to know you’re using and collecting their data, and they expect brands to be upfront about their privacy policies.

Rather than viewing privacy regulations as a challenge, marketers should see them as an opportunity to build trust. Customers who feel informed and respected are more likely to opt in and stay engaged.

The future of digital marketing without cookies

The end of third-party cookies requires a shift in approach. Businesses that adapt now will gain a competitive edge, while those that wait may struggle to keep up. The growing role of AI in marketing is something business owners should watch.

“First-party data is only going to become more valuable, especially as AI becomes more powerful in generating insights,” Sahil says.

In the years ahead, we can expect a greater focus on first-party data, privacy-friendly targeting methods and customer trust. By combining smart tools with ethical practices, marketers can continue to build meaningful relationships without sacrificing performance.

Embracing a privacy-first marketing future

Cookie deprecation is a major shift, but it's also an opportunity. Businesses can build more sustainable, trust-based relationships with their audience by focusing on first-party data, exploring alternative targeting methods and prioritizing transparency.

Digital marketing is evolving, and those who embrace this change will stay ahead in a more privacy-conscious world. Want a guide who can put you on the path to success? Reach out for a consultation with a Postmedia expert.

Apr 15, 2025
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