The Digital Markets Act (DMA) Impact on Google Advertisers in the European Economic Area (EEA)

At the end of 2022, the European Commission designated Google as a ‘gatekeeper’ under the Digital Markets Act (DMA), a regulatory framework aimed at safeguarding consumers and promoting fair competition among major digital companies like Meta, Amazon, and Google. This update will impact all users and Google advertisers in the European Economic Area (EEA), and UK Google Ads PPC advertisers looking to advertise in the EAA.

What You Need to Do:

There are important changes ahead. Google will now be subject to stricter regulations regarding data handling and competition. By March 6th, 2024, advertisers must ensure the proper integration of a functional Consent Management Platform (CMP) on their websites. 

This must be accompanied by the implementation and activation of Google Consent Mode V2. This is essential to preserve measurement functionalities such as website conversion tracking, and personalisation features like targeting specific audiences. Failure to set up these components by the deadline, will cause inaccurate and incomplete data. It may also lead to the suspension of your ads.

What Does this Mean for Google?

Starting in March 2024, the Digital Markets Act (DMA) will bring significant changes to how Google operates in Europe, especially in tracking and measuring ad performance. Here’s the key information:

• Google needs your permission to track users: From March onwards, all Google Measurement technologies will need your clear consent before it can follow users around the web to show them ads. 
• No consent, no tracking: If Google doesn’t have your consent, it will simply ignore any EEA data about you from Europe without valid consent identifiers. 
• Penalties for non-compliance: Google may take substantial actions if you fail to follow the rules. The exact penalties will be announced soon, but they could include measures like data deletion, restrictions on account functionality, or even account suspension.
• Deadline for compliance: To avoid any disruptions, you need to have “Consent Mode” set up and functioning correctly by March 6th, 2024. Failure to do so might result in your ad campaigns being temporarily halted.

Remember that these changes specifically apply to European users, but they can impact you even if you’re not located there. It’s advisable to stay informed and ensure compliance with the new regulations to prevent any issues with your Google PPC advertising.

What is a Consent Management Platform (CMP)?

A Consent Management Platform (CMP) is a software tool that helps websites follow cookie rules. It blocks cookies until users say it’s okay, lets users choose which cookies they want, and allows them to change their privacy settings, which is what the law requires. CMPs also give users information about how their online behaviour is tracked, who wants their data, and lets them decide if they want to be tracked or not. 

User choices are saved for the rules, and they can change their settings anytime. CMPs are useful for both website owners and users, as they manage consent and explain why data is collected from visitors by third-party companies like analytics and marketing services.

Digital Markets Act: What is Consent Mode and How Does It Work?

Consent Mode enables you to indicate the consent preferences of your users, adjust the behaviour of Google tags accordingly, and allows Google to address gaps in conversion data. It assists in compliance with local regulations that mandate obtaining user consent. Google products will automatically adjust their usage of cookies and device IDs, restricting them to specified purposes only when user consent is granted. By utilising consent signals, conversion modelling is employed to recover conversions that might have been lost due to consent preferences, helping to fill measurement gaps in data.

If you have any queries or need help with your paid advertising campaigns, why not reach out to us and see how our specialist PPC skills can transform your business and take it to the next level.

Stay updated with our list of the latest Google Ads features of 2024!

References

Updates to Consent Mode for traffic in European Economic Area (EEA)

Decoding the Digital Markets Act (DMA): What it means for Google Advertisers

What the Digital Markets Act (DMA) Means for Google Advertisers

Continuing with Google Ads in 2024? Here is what you need to know about Google Consent Mode v2