TikTok Adds Third-Party Cookies To Its Pixel – And Tries To Eat Facebook’s Lunch

“Tiktok Pixel and its third party cookies have changed the world of digital advertising”

Introduction

The story of the Chinese startup that is eating Facebook’s lunch is a well-known one at this point. TikTok, the app formerly known as Musical.ly, has become ubiquitous in many countries, and it now claims more than a billion active users. The app’s popularity can be partially attributed to its focus on vertical video –a format that is particularly well-suited for mobile viewing. In a move that seems to be aimed squarely at Facebook, TikTok announced the addition of third-party cookies to its pixel. The addition of the cookies will allow businesses to track user actions on both platforms and measure the impact of advertising campaigns.

That means that if you visit a website that has TikTok Pixel installed, even if you do not have a TikTok account, the company will still be able to track what you do on that site. With over 1.5 billion active users, TikTok is in a strong position to provide businesses with access to user data that can be used for targeting purposes. 

According to anonymous sources who spoke to Bloomberg, this move is part of an effort by TikTok to collect data on users so it can better target them with ads. This comes as Facebook has been under fire for its mishandling of user data, which could give TikTok a competitive edge in the social media landscape. To help you understand better, the following blog will offer you an insight into why Tiktok is trying to enter a similar marketing space like Facebook using third-party cookies and what this will mean for the advertisers and the users in the coming years.

What are third-party cookies?

Third-party cookies are the small pieces of information that any website stores on your computer after you have visited it. The website that stores these third-party cookies can help you identify your needs and provide you with a better user experience. They are quite different from first-party cookies. For example, you have visited a website called daily cafe.com.While browsing through a single session on the website, your information gets identified. It’s stored in the form of a cookie on your computer. Furthermore, the server stores the session within its own storage. The next time you visit the website, the browser will also send the session information. If the existing cookie is present, then the server will be able to recognise the previous session and will be able to continue the session. Your browsing experience is made convenient for you. You do not have to keep on searching from the start.

How do Tiktok’s third-party cookies work? 

TikTok’s third-party cookies are used by advertisers or ad servers to keep track of the information shared across multiple websites and services. They are also commonly used for marketing and advertising purposes. They contain data about the actions taken by a user on numerous websites. They are like tracking codes placed on the visitor’s computer.

What Changes Will There Be When TikTok Enables Third Party Cookies?

Last year, Google announced that it would discontinue the use of third-party cookies to protect the privacy of its users. But that decision has been postponed and shifted to 2023. According to the sources cited by CNBC, it was due to  “mounting industry opposition and the feedback it received when testing possible replacements.”

Despite the decision made by Google, Tiktok still activated the use of third-party cookies on its pixel. Third-party cookies will enhance the existing event data that has been shared with Tiktok. These cookies save information about the activities and events completed by the visitor who has visited the website. After this, a session ID is generated by the Tiktok pixel that records the information, behavior patterns, attributions, likes, and dislikes of its users. It will help improve the reliability and quality of the event data, generate more leads and boost sales.

Impact of third-party cookies upon being activated while using Tik Tok advertisements

According to the AdExchanger’s article, Hladnik stated  “TikTok is starting from the ground up now, Hladnik said. All the third-party cookies it collects via the pixel are pure gravy for its ad platform. The same Apple ATT rules apply to every app, but TikTok is getting smarter and more efficient while Facebook figures out how to get by with Harrison Bergeron-esque handicaps on its ad platform. “

Below are three points that explain the impact of third-party cookies after they are activated.

• • 1.Retargeting a larger audience

To run advertisements for your clients or businesses, it is very important to generate qualified leads to use for retargeting advertisements. The retargeting technique allows you to build an effective client base and helps you focus on your advertising spending on the people who are already well-versed with your brand and have shown interest. This is the reason behind advertisers using it to generate a higher ROI (Return on Investment). By using third-party cookies, Tiktok makes it easier for brands or companies to keep a track of their users. It also provides you with the ability to retarget a much larger audience and convert them into customers.  

• • 2.More accurate measurements across various browsers and devices

Activating these cookies will also enhance the measurements across various browsers and devices. It allows Tiktok to recognize and gather data about the users who have visited their website. They get to know the details of the activities of the users, their interests, time taken by them to browse their website, the actions taken by them, etc. This type of information will help direct advertisements to the ones who are likely to become potential customers. It will also measure the number of visitors, the number of clicks, interactions occurring on the website, and search history.It also allows you to view detailed analytics of the information. In other words, these third-party cookies will not only help marketers and advertisers but also help them achieve their goals by tracking the behavior of their users.

• • 3.Massive improvement in the ad campaigns

Advertisers find it easier to identify user behavior after they have activated these cookies. As a business or a brand owner, you can increase the effectiveness of your ad campaigns. You can monitor the manners of your visitors and design content or products based on their interests and preferences. It will give a good reason for your users to keep visiting your website. According to TikTok, you can expect to see approximately +50% more matched events by using cookies with Advanced Matching, which will result in more conversions and better ad performance (Source: Disruptive Digital article).

Conclusion

According to BuiltWith, “Approximately 500,000 websites have the TikTok pixel installed. In contrast, Facebook’s pixel is on over 6.7 million websites. With more websites adopting TikTok, it should be able to target and optimize and become stronger over time with the use of online behavioral advertising.” Tiktok Pixel’s third-party cookies have opened new doors for marketers and advertisers. It offers the tools to launch its own campaigns, monitor user data, manage ad resources, and optimize its advertising. It will also help them expand their brands and change the world of digital advertising.