Third-party cookies are created and stored by domains other than the one a user is currently visiting. These cookies are typically embedded through ads, plugins, or analytics tools from external providers. They allow third parties to track users across multiple websites, building detailed behavioral profiles for targeted advertising and performance measurement.

Examples include:

• Advertising networks tracking ad views and clicks

• Social media widgets tracking user activity across sites

• Analytics platforms monitoring user behavior across web properties

Because they enable cross-site tracking, third-party cookies raise significant privacy concerns.

Consent and Compliance Requirements

Under regulations like the GDPR, ePrivacy Directive, and CCPA, third-party cookies are considered non-essential and require explicit, informed user consent before activation. Websites must clearly inform users about which third parties are involved, what data is collected, and for what purpose.

Users should be able to opt in or out of third-party cookies through a cookie consent banner or consent management platform (CMP). Businesses must ensure third-party vendors are compliant and that no data is shared without proper legal basis.

Privacy Risks and Market Trends

Due to increasing privacy concerns, major browsers like Safari and Firefox block third-party cookies by default. Google Chrome plans to phase them out entirely. This shift has led organizations to prioritize first-party data strategies.

To maintain compliance and build user trust, businesses should minimize reliance on third-party cookies, ensure transparency, and audit third-party integrations regularly.