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Publishers point of view #41
Description
Most issues deal with possible leaks of users' browsing history from the user’s perspective.
I would like to draw attention to a similar problem, but from the perspective of those who maintain websites - the publishers.
Cohorts are calculated based on whether the user has been to various sites. For example, there is a publisher A who publishes a site dedicated to a niche topic such as teapots. Preparing the content and maintaining the servers are business costs that are covered by advertising revenue, i.e. the ability to reach users interested in teapots.
Since even superfans of teapots do not read sites about them very often, the number of visits may not be sufficient to display the advertisements of all interested advertisers.
Therefore, through various mechanisms, attempts are made to reach teapot fans on publisher B's mainstream sites, which are visited by the majority of the population.
In a world with third-party cookies, if publisher B wants to target the users of publisher A, the publishers must somehow come to a business agreement and implement tracking codes on A's websites.
If the current version of FLoC goes live, it will be possible to target ads to cohorts of users. If it is possible to learn about a cohort that includes visitors of publisher A (e.g. by methods described in other issues), that publisher may lose its market position to publisher B, which has a larger base. This may ultimately result in publisher A becoming unprofitable and the site being closed down.
In colloquial terms, some publishers wonder why they should bear the cost of producing content that will appeal to specific audiences when the fruits of that labour will be distributed to everyone else. This will result in an even greater flow of advertising budgets to big players like Facebook and Google, who will be able to catch literally every possible cohort.