Google Consent Mode V2: Everything eCommerce Brands Need to Know

On 6th March 2024, Google rolled out changes to Consent Mode; what was optional is now a mandatory requirement for any merchants with traffic coming from the European Economic Area (EEA). It is not yet mandatory outside of this region, but this could change in future. 

What is Google Consent Mode?

At its core, Google Consent Mode is all about giving users control over their data. It lets you adjust how tags behave based on a user's consent choices. So if a user opts out of cookies, the relevant tags will respect that choice. 

This is huge because it means you can still collect some data, even if a user doesn't consent to everything. Google Consent Mode allows for the collection of non-identifying data, so you're not left completely in the dark.

What are Cookies, anyway? 

Web cookies, are small pieces of data that a website sends to a user's web browser and enable personalized user interactions. The term "cookie" was chosen to evoke the notion of something shared and passed around, mirroring how these digital entities facilitate the exchange of information between websites and users. 

Cookies allow websites to remember user preferences, activities, and settings, enhancing the user experience by displaying personalized content and retaining selected configurations when the user revisits the site.

Importance of User Consent

User consent is everything these days. With privacy regulations like GDPR, businesses can't just collect data willy-nilly anymore. And rightly so - users should have a say in how their data is used. 

But here's the thing: if you don't get user consent, you could be missing out on a lot of valuable data. In fact, studies show that up to 36% of user data could be lost without consent. That's a big chunk of insights gone. 

Google Consent Mode helps bridge that gap. By allowing for the collection of non-identifying data, you can still gain some understanding of user behaviour, even without full consent. It's a way to respect user privacy while still getting the data you need to make informed decisions.

So how does Google Consent Mode actually work?

It all comes down to two key concepts: behavioral modelling and conversion modelling.

1.Behavioural Modeling

Behavioural modelling is all about understanding user actions without relying on personal data. It's a way to gain insights into how users interact with your site, even if you don't have access to identifying information. With Google Consent Mode, behavioural modelling helps fill in the gaps left by unconsented users. By analyzing patterns and trends, it can provide a more complete picture of user behaviour across your site.

2. Conversion Modelling

Conversion modelling takes things a step further. It uses machine learning to optimise ad campaigns, even when you don't have complete data from unconsented users. Here's how it works: Google Consent Mode uses consented data to identify patterns and trends. It then applies those insights to unconsented users, essentially filling in the blanks to provide a more accurate view of conversions. 

This is a game-changer for businesses because it means you can still optimise your campaigns and make data-driven decisions, even with gaps in your data. You're not flying blind just because some users opted out of tracking.

Benefits of Implementing Google Consent Mode

Implementing Google Consent Mode can have some serious benefits for your website. Here are just a few: 

1. Respect user privacy: By using Google Consent Mode, you're showing users that you value their privacy and are committed to respecting their consent choices. This can go a long way in building trust and loyalty with your audience. 

2. Improve data collection: Google Consent Mode helps you collect data more efficiently by allowing for the collection of non-identifying data. This means you can still gain valuable insights into user behaviour, even without full consent. 

3. Optimise conversion rates: With conversion modelling, you can optimise your ad campaigns and improve conversion rates, even with gaps in your data. This can lead to better ROI and more effective marketing overall.

Advanced Features in Google Consent Mode v2

Google recently introduced some advanced features in Google Consent Mode v2 that are worth exploring. 

One of the biggest changes is that Consent Mode v2 now requires consent signals for all data passed to Google platforms. This means that you need to be even more diligent about obtaining user consent and ensuring that your tags are set up correctly. 

Consent Mode v2 also expects specific signals related to ad storage and ad personalisation. These signals determine whether user data can be shared with Google Ads for re-marketing and conversion tracking purposes. 

As a website owner, it's important to stay on top of these changes and ensure that your implementation of Google Consent Mode is up-to-date. This may require some technical tweaks and adjustments, but the benefits of respecting user privacy and improving data collection are well worth it.

Challenges and Limitations

Let's be real, Google Consent Mode is not all sunshine and rainbows. There are some challenges and limitations you need to know about. 

First off, retargeting or re-marketing activity is more difficult with Consent Mode. So if that's a big part of your strategy, you might need to rethink things. 

Cross-device and cross-session tracking are also difficult with Consent Mode. That means you won't be able to track users across different devices or sessions, which can leave some pretty big data gaps in your analysis. And here's the kicker - the data you do gather could be considered Personal Identifiable Information (PII) under certain privacy laws. So you'll need to be extra careful about how you handle and store that personal data.

Here's a stat that might make you sweat a little - up to 30% of users withdraw consent for Analytics tracking. That's a big chunk of data you could be missing out in your analysis of website and ad performance. 

Compliance with Privacy Regulations

Now, I know what you're thinking - "But wait, doesn't Google Consent Mode ensure compliance with all those pesky global privacy regulations like GDPR and CCPA?" 

Well, yes and no. Here's the deal - GDPR and CCPA regulations haven't changed with the introduction of Consent Mode v2. 

So while Consent Mode helps you navigate the complexities of data privacy, it's not a magic bullet for GDPR compliance. You still need to do your due diligence and make sure you're following all the relevant privacy regulations for your business. 

Enhancing User Experience with Google Consent Mode

Alright, let's talk about something a little more positive - how Google Consent Mode can actually improve the user experience on your website. By respecting users' privacy choices, you're showing them that you value their data and their preferences. That can go a long way in building trust and loyalty with your audience. 

Plus, let's be honest - nobody likes those annoying cookie banners that pop up on every single website these days. With Consent Mode, you can streamline that process and make it a little less intrusive for your users. 

But here's the catch - the global average percentage of users giving consent for cookies is only 64%. That means you could be losing out on data from a significant portion of your audience if you're not using Consent Mode. Up to 50% of users withdraw consent for marketing tracking. That's half of your potential customers saying "no thanks" to your targeted ads.

Integration with Other Tools

Last but not least, let's talk about how Google Consent Mode plays nicely with other tools in your marketing stack. If you're using Google Tag Manager, you're in luck - Consent Mode integrates seamlessly with GTM to help you manage user consent across all your tags and triggers. 

Consent Mode also works with a variety of compatible consent management platforms, so you can choose the one that works best for your business. Just keep in mind that even with all these integrations, cross-device and cross-session tracking still isn't possible with Consent 

Conclusion

Google Consent Mode is really the best option we have to balance website owners and users in a new world of data privacy. You get to collect valuable data while respecting user privacy choices. No more guessing games or lost insights.

Implementing Google Consent Mode is a no-brainer. It's easy to set up and can make a big difference in your data collection and user trust. Plus, you'll be ahead of the curve when it comes to privacy regulations.

Visit the Google Website to see how to set it up for Shopify sites