Decoding 6 types of cookies in digital advertising

The Advertising Standards Council of India (ASCI) Academy, in collaboration with PSA Legal and Tsaaro Consulting, has launched a white paper titled "Navigating Cookies: Recalibrating Your Cookie Strategy in Light of the DPDPA."

The paper delved into how businesses can align their cookie usage with India's Digital Personal Data Protection Act (DPDPA) while maintaining a balance between user privacy and effective advertising.

Read more: ASCI Academy releases white paper on navigating cookies in the age of DPDPA

Cookies play a crucial role in digital advertising, helping advertisers track user behaviour, preference, and browsing history. For brands, cookies facilitate targeted ads, better engagement, and improved ROI. Meanwhile, users benefits from a personalized browsing experience, with websites remembering their preferences and streamlining interactions.

Read more: How India is catching up on user data protection with DPDPA

But not all cookies are the same! Here's a breakdown of six types of cookies used in digital advertising:

1. Essential/Strictly Necessary Cookies

These cookies are indispensable for websites to function correctly. They enable basic navigation, secure access, and seamless transactions—without them, many sites wouldn't work as expected.

Example:

- Session cookies – Keep users logged in while browsing an e-commerce site (e.g., maintaining shopping cart contents).

2. Performance/Analytics Cookies

These cookies collect anonymized data on user interactions, helping brands optimize website performance and enhance user experience. They track metrics like page views, time spent, and click-through rates.

Examples:

- Google Analytics Cookies (_ga, gid) - Track user interactions and website traffic. - Facebook Analytics Cookies - Analyze engagement and ad performance.

3. Functionality Cookies

These cookies remember user settings and preferences, ensuring a tailored experience across different visits.

Examples:

- YouTube Cookies (PREF, VISITOR_INFO1_LIVE) - Store video playback preferences like resolution and autoplay settings. - Spotify Cookies - Save volume settings and curated playlist preferences.

4. Targeting/Advertising Cookies

These cookies track browsing behaviour to deliver highly relevant ads to users.

Examples:

- Google Ads Cookies (IDE, ANID) - Personalize ads and manage remarketing campaigns. - Facebook Pixel Cookies (fbp, c_user) - Track conversions and user activity for better ad targeting.

5. Social Media Cookies

Used by social media platforms, these cookies facilitate content sharing and personalized advertising based on user interactions within their networks.

Examples:

- Twitter Cookies (personalization_id) - Track engagement and recommend tailored content. - LinkedIn Cookies (bcookie, liap) - Authenticate users and analyze ad performance.

6. Security Cookies

Designed to safeguard online accounts and prevent cyber threats, these cookies help websites verify authenticity and detect fraudulent activities.

Examples:

- Google Security Cookies (SID, HSID) - Prevent unauthorized access and secure user sessions. - Cloudflare Cookies (cfduid) - Identify trusted traffic and protect against cyberattacks.

As data privacy regulations evolve, businesses must recalibrate their cookie strategies to comply with laws like DPDPA while maintaining effective digital advertising practices.

Read more: Navigating cookies: Global enforcement cases and key judgments