February 27, 2020

Preparing for the California Consumer Privacy Act & A Cookieless Future

The California Consumer Privacy Act (CCPA) continues to move forward as do privacy regulations across the U.S. and while the path isn’t completely clear, certainly the broad shape of things is pretty evident. It remains to be seen if the California Office of the Attorney General will accede to the requests to defer the implementation date, but we’re assuming July 1 remains the official enforcement date. With some of the latest changes to CCPA, there have been a number of recent initiatives that we’ve taken on board at VDX.tv.

Tim Sleath
Tim Sleath
VP, Product Management, VDX.tv
Preparing for the California Consumer Privacy Act & A Cookieless Future

We’re both a service provider, providing a service to advertisers of targeted advertising and associated reporting, and we also operate as a business providing publishers a revenue stream via curated ad content. However, we also recognize we have a duty under CCPA to help consumers control their data. Thus, we are implementing the IAB framework, which is in progress, and have implemented the DAA opt-out and even registered as a data broker.

In addition to CCPA, on January 14 Google announced that Chrome will phase out third-party cookies in the next year. While not entirely a surprise, nevertheless it has caused industry consternation.  There are no two ways about it, the loss of the third-party cookie would be a big deal – there are alternate targeting mechanisms, but conversion attribution wouldn’t be straightforward, so we’re keeping an eye on the various initiatives that could offer solutions:

  • Solutions related to publisher logins and/or hashed email addresses. There are a plethora of similar ideas – Britepool, NetID, Merkury and IAB’s Project Rearc – although it is not easy to see how these chime with the theme of better user privacy
  • Solutions that may arise from Privacy Sandbox – which may be cross-browser, given Google is attempting to embed this within the agnostic W3C
  • Something cohort-based, i.e. nothing would be granular to the individual user, whether targeting or attribution
  • Something distributed and using differential privacy, such as Permutive or Infosum.

But, yes, a disruption is perhaps overdue and the AdTech industry may emerge from this stronger, cleaner, leaner and more responsible.

Looking ahead, the US privacy regulation landscape will continue to change across the country. Recently proposed New York state privacy laws will be more stringent than CCPA, so as an industry we must be prepared for these regulations.

VDX.tv is ready to forge ahead in the post-cookie world thanks to our proprietary tech stack, rich contextual taxonomy, direct publisher relationships and enviable creative executions. Additionally, we’ve been moving towards IP-based household targeting leveraging partners like LiveRamp, and working in OTT/CTV environments where cookies don’t exist anyway.

It will be an exciting two years ahead, and we’re happy we’ll be able to adapt and grow through any disruption, whether using our established tech or embracing new solutions.

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