The European Union’s Digital Markets Act (“DMA”), or Regulation 2022/1925, aims to regulate the influence of large digital platforms, designating them as watchdogs to ensure fair competition and the protection of users’ personal data.
With the introduction of this regulation, Google has responded by launching Consent Mode version 2 (v2) at the end of November 2023. This update, which follows the initial September 2020 release, enables Google and its advertisers to comply with the user consent requirements of the DMA. This change represents for advertisers the need to adapt their advertising strategies to a more regulated and transparent digital environment.
The DM applies to all companies whose end users are located in the European Economic Area (EEA) countries.
On the other hand, Consent Mode v2, on the other hand, affects advertisers on websites and mobile applications that use Google tools (Google Ads, Google Analytics, Search Ads 360, etc.) and whose users are in the EEA. Ultimately, the introduction of Consent Mode v2 will impact all stakeholders and users of Google tools.
In relation to the definition of advertiser, Google defines it as a company or individual that promotes its services, products, brands and websites through its advertising platforms, such as Google Ads.
In this regard, advertisers running campaigns on Google’s advertising and analytics platforms will need to conform to Google’s new Consent Management Platforms (CMP) requirements by March 2024.
To this end, Google’s Consent Mode v2 represents a significant improvement over its original version. Originally, this mode allowed data collection and profiling of users, even without their explicit consent. However, Google has revised its approach, aligning itself with higher standards of respect for privacy, thanks in part to its CMP partnership program. This mode is now an essential reporting mechanism that adjusts the use of Google services according to the user’s consent.
With the introduction of version 2, Google has enriched the Consent Mode with features such as ad_user_data and ad_personalization. These new parameters adapt the access and use of personal data, as well as the personalization of advertisements, strictly based on the consent given by users.
Therefore, Consent Mode v2 is a key element to comply with the Digital Markets Act (DMA) by collecting users’ consent before processing their data on different Google platforms.
The operation is as follows:
- Collecting consent: It all starts with obtaining user consent through a banner, a practice already common for many sites using consent management platforms (CMPs).
- Transmission of consent signals: The novelty of Consent Mode v2 lies in its ability to communicate these consent signals directly to Google’s analytics and advertising tools, thus integrating an additional step to the existing process.
- Activation of tags based on consent: Tags can be activated or not based on the consent given, allowing a more accurate management of the data collected.
In case Consent Mode v2 is not configured, the specific consequences for advertisers are yet to be defined. For the time being, it appears that it could limit certain functionalities in Google’s advertising platforms, such as audience targeting, retargeting and performance measurement.
The implementation of Google Consent Mode v2 is an essential step for users of Google tools, which must be completed by March 6, 2024.
First, it is essential to implement a custom cookie bar or use a third-party consent management platform (CMP) to collect and manage the different levels of user consent required by Google Consent Mode v2.
Different methods can be used to configure this functionality:
- Using Google Tag Manager: Google Tag Manager facilitates the integration and management of Consent Mode v2, allowing a simplified installation without requiring direct modifications to the site’s code.
- Manual installation with Gtag.js: This approach requires adding or modifying JavaScript code on your site to integrate Consent Mode v2, allowing for more detailed customization according to the specific needs of each site.
It is important to ensure that Consent Mode v2 can be effectively integrated to meet regulatory requirements while supporting advertising and data analytics practices.
This publication does not constitute legal advice.
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