Australian marketers are facing some big shifts in paid media, as new privacy regulations and AI-driven platform changes threaten to wipe out up to 70 per cent of conversion and engagement data.
The warning comes from Benoit Weber, head of analytics, and Matthew Todd, head of paid media at independent agency In Marketing We Trust, who believe as a result, brands can no longer rely on traditional ad platform reporting to measure ROI.
According to the pair, marketers need to rethink how they collect first-party data, set KPIs, and evaluate campaign performance, otherwise they risk “flying blind” in the digital landscape.
What are the privacy regulations changing?
New Australian privacy laws, modeled on Europe’s GDPR, mean marketers must get explicit user consent before collecting data, ultimately threatening visibility on conversions, traffic, and engagement.
“With Australians being among the most privacy-conscious audiences globally, the days of relying solely on ad platform dashboards to justify media spend are over,” Weber told B&T. “Even on our own websites, when we implemented cookie management platforms, we saw a 45 to 50 per cent drop in data – and that’s just the beginning.”
Historically, platforms like Google Ads and Meta relied heavily on third-party cookies to track user behavior, optimise campaigns, and provide performance insights. But new privacy-first regulations in Australia mean much of that data will vanish unless users actively consent.
“Unless a user goes on your website and says, ‘I agree for my data to be collected,’ you simply won’t be able to see what they do,” Weber explained. “It’s not just conversions—traffic, engagements, events, everything will be impacted.”
Todd said the loss of data presents a major challenge for paid media.
“The signals within platforms are what power machine learning and optimisation,” he said. “With fewer signals available, it’s harder to justify investments, and platforms can’t optimise as effectively. AI can help, but it has limits—many clients won’t even reach the thresholds for these models to fill the gaps.”
For marketers, the solution is increasingly clear: first-party data is now essential. Todd stressed that companies must collect it in a privacy-compliant way and use it to understand customer behavior. “If you’re a company collecting newsletter subscriptions, for example, you can also collect valuable insights like future travel intentions in a compliant way,” he said. “That first-party data can now become more powerful than anything you used to get from third-party cookies.”
Weber added that transparency is key when asking users to share their data. “You need to explain why you’re collecting it, what tools you’re using, and what the purpose is,” he said.
“The Content Management Platform banners on websites are where you can share all this information and convince users to consent. Ultimately, you have no control over whether they share it or not – it’s up to them.”
The impact is particularly pronounced in Australia, where users are more privacy-aware than in most other markets, even Europe. “Australians are very conscious of their personal data, and this is reflected in the high rates of non-consent we’re seeing,” Weber said. He attributes this awareness in part to highly publicised data breaches in sectors like healthcare and aviation.
“Medical records are incredibly personal, and breaches have been widely covered in the media. That leaves people more alert to privacy risks than in other countries.”
Ignore it, and you’re ‘flying blind’
This shift is forcing marketers to rethink KPIs and performance measurement. While Todd says KPIs aren’t broken, they must now factor in reduced data and context from multiple sources.
“Media KPIs used to tell you what performance you could drive in a platform,” he explained. “Now you also need to look at your internal CRM systems or booking engines to understand the business outcomes. Historical performance won’t necessarily predict future performance because past campaigns didn’t account for this level of data loss.”
Weber added that reporting must now incorporate “multiple sources and metrics.”
“Even if your KPIs remain the same, you need to map all your data sources to get the full story. Otherwise, you might perceive performance as being down, simply because you no longer have the visibility you used to.”
Marketers must also adopt privacy-by-design principles for all data collection and measurement. “Everything you set up should consider privacy first: what data you collect, why, where you store it, and how you report it,” Weber said. “Regulations are complex and changing, and you need regular audits to ensure compliance. Platforms like Google Ads can enforce these rules overnight, so marketers must be prepared to adapt instantly.”
In practical terms, brands that embrace first-party data and contextualized measurement will gain a competitive advantage. “Those who start now, who understand what they can and cannot see, and who build transparent, privacy-compliant systems will be the ones who maintain performance in this new world,” Todd said.
And according to Webber “performance isn’t gone, it’s evolving.”
“If marketers don’t adapt to these privacy and AI changes, they risk flying blind. But if they embrace the shift, they can turn this challenge into an opportunity to truly understand and engage their audiences.”
