May 15, 2021

Floc effectiveness


Google offered a technology called Federated Learning of Cohorts (FloC) in October 2020. It will place users of certain habits into “cohorts” that brands can target instead of individual users. This solution should replace third-party cookies. At the beginning of this year Google said that advertisers can expect to see at least 95% of the conversions per dollar spent when compared to cookie-based advertising. But there are different points of... view on this moment, according to AdExchanger (). Nicole Perrin, principal analyst at eMarketer, said that the announcement was important, but the industry needed a lot more research on the relative effectiveness of cohort-based versus user-level approaches to targeting. Sheri Bachstein, global head at IBM Watson Advertising, agreed with Google’s decision to create solutions that were not solely reliant on cookies and third-party identifiers. But the FLoC API must be tested and had the results reviewed by others in advertising. He added that the most remarkable news to come from Google’s FLoC announcement was the declaration around the importance of using artificial intelligence and machine learning to power the advertising ecosystem. Google reinforced our long-standing belief that AI and machine learning could be applied across advertising to process vast amounts of data and deliver actionable value, in real-time. According to Google, Chrome is planning to make FLoC-based cohorts available for public testing in Google Ads during Q2 2021.

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