What are cookies?
In digital marketing, cookies, sometimes called browser cookies, are small text files that track user data, such as IP addresses and browsing activities. The primary purpose of cookies is to identify users’ behavior on the internet to customize their browsing experience.
Cookie files contain usernames and passwords, links visited, e-commerce shopping carts, location, and other set preferences when visiting a website. Companies use cookie tracking software to scan websites and identify which cookies are present, so they can disclose all trackers and gain consent from users.
Types of cookies
Different types of cookies serve unique purposes. Some of the common types of cookies and their use cases are:
- First-party cookies. All first-party cookies help websites remember users’ information and settings for future visits. First-party cookies are directly stored on the website a user visits, meaning these cookies aren’t shared across multiple websites. They allow websites to remember information such as language settings, email addresses, and items added to shopping carts.
- Third-party cookies. Third-party cookies are created on one domain and shared across all third-party domains with the same tracking code. These cookies monitor online user activity and display advertisements based on that activity. Website owners primarily use third-party cookies for advertising and retargeting.
- Persistent cookies. Also known as permanent cookies, persistent cookies track users’ behavior but have an expiration date set by the publisher. These cookies allow websites to track user information until the established date. Cookies are destroyed after the expiration date.
- Session cookies. Session cookies, also known as transient or temporary cookies, last for a brief period or a session. Sessions start when a user launches a website and end when the user leaves or exits the browser. These types of cookies allow websites to remember users within a website as they navigate between pages on the site. A shopping cart on an e-commerce website is an example of a session cookie. Session cookies remember the items a user adds to the shopping cart to ensure they remain there until the shopper is ready to checkout.
- Secure cookies. A secure cookie, or HttpOnly cookie, works solely for HTTP/HTTPS and does not support scripting languages like JavaScript. Due to their attributes and structure, secure cookies offer protection of data and information because they send encrypted requests using the HTTPS protocol.
Advantages of cookies
Cookies offer numerous advantages for web users and website owners, some of which are detailed below.
- More personalized browsing experiences: Cookie technology helps advertisers track user behavior on their websites. Advertisers can promote specific products to select prospects based on the data they gather from third-party cookies. Cookies can store other user preferences, like language or currency selections, for a tailored experience.
- Simple interface: Cookies are easy to use and manage. Users can accept or reject cookies on a website and clear them directly from their browser.
- Computer storage: Fortunately, cookie technology doesn’t require server space since cookies are housed on each user’s computer. This method frees up storage space on website servers, which is a massive perk for website owners.
- Supported online shopping: Cookies make it easier to shop online. Without cookie technology, products wouldn’t be able to remain in shopping carts as users continue to browse the website for additional items.
- Better use of time: Since cookies help websites remember valuable information like usernames and passwords, they save users time as they navigate various websites. Instead of entering information each time a user needs to access an account, they can forgo a few steps.
Disadvantages of cookies
While beneficial, cookie technology isn’t without disadvantages. The following issues should be considered.
- Privacy: While cookies offer personalized experiences, concerns about user privacy have been raised. To address privacy concerns, the European Union (EU) passed the General Data Protection Regulation (GDPR) law, which includes some regulations governing cookies, like receiving user consent to track cookies. Despite these regulations, some users may still feel their privacy is at risk as websites follow their actions and interests.
- Local storage: Cookie files occupy space on users’ computers, even though they are small. Over some time, it’s possible that stored cookies could slow a computer’s speed.
- Potential for interception: It’s always possible for hackers to intercept the information collected by cookies. If intercepted, hackers may be able to access personal accounts and other information.
Cookies best practices
General best practices website owners should follow when using cookies include:
- Disclose cookie usage in a policy. Businesses can prevent violating privacy laws by disclosing the use of cookies in privacy policies or specific cookie policies. Due to GDPR, businesses should disclose the types and purposes of their cookies. Consumers also have the right to know what information is being collected and how website owners will use the data.
- Obtain user consent for cookies. Since cookies can gather personal information such as a user’s name, email address, or login information, websites must get consumer consent before using these cookies. Under the EU’s ePrivacy Directive, websites must receive a form of opt-in consent from users to comply. This allows individuals to opt-out of cookie usage when they feel unnecessary.
Tracking cookies? Learn more about retargeting to prioritize campaign dollars effectively.
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Alyssa Towns
Alyssa Towns works in communications and change management and is a freelance writer for G2. She mainly writes SaaS, productivity, and career-adjacent content. In her spare time, Alyssa is either enjoying a new restaurant with her husband, playing with her Bengal cats Yeti and Yowie, adventuring outdoors, or reading a book from her TBR list.