What is Google Consent Mode V2? - Part 1

Google's Consent Mode V2 is one solution that acts upon users' consent and changes how data is collected from them. It is designed to be considerate of user choices regarding cookies and data collection and, therefore, keeps Google-tagged websites compliant with major privacy regulations like the General Data Protection Regulation (GDPR) and the ePrivacy Directive. Our second article, Part 2, focused on how to enable Consent Mode V2.

Consent Mode V2 will enable Google tags to automatically adjust their behavior based on whether users give consent to the processing of data concerning ads and analytics.

When users give consent, it allows Consent Mode V2 to collect data and pass data through services like Google Ads and Google Analytics as normal. If they refuse consent, then Consent Mode V2 will modify the data collection so that limited and anonymised data is all that gets collected. 

This keeps the privacy of users while still allowing data for generalised analysis. For instance, page views could be tracked but not directly associated with a specific user.

Another important feature in Consent Mode V2 will be the possibility of using conversion modelling. This means even in those cases when users do not give consent for ad-related data collection, Google will still be able to model conversions using machine learning to help you gain a better insight into how your website is performing. The system uses modelling of conversions to estimate the number of conversions based on observable signals, filling the gap created by those people who decline tracking.

What happens if I do nothing and not apply Consent Mode V2?

If you do not apply Consent Mode V2 on your website, a number of negative consequences may ensue. First of all, without a regulated system for consent to take place, the consistency of data collection might be tampered with, thus having gaps in your reporting data. Incomplete data leads to partial or biased analyses; hence, your marketing teams might fail to understand what actually works and does not work for the campaigns, user behaviours, and several other key metrics.

Moreover, in the absence of Consent Mode V2, full compliance with various legislations on privacy might not be achieved.

Laws such as GDPR and CCPA oblige websites to respect user privacy and choices about being tracked or not. Not meeting the respective requirements may result in a risk of fines and penalties, harming your business reputation. By implementing Consent Mode V2, you ensure that your website respects user consent while retaining access to insights.

What's more, without the conversion modelling enabled through Consent Mode V2, your view of ad performance could be considerably different. You might not capture quite a large portion of your audience's activity without a way to model the conversions from users who have opted out of tracking. This leads to incomplete results and misinformed decisions on campaigns.

Which tracking services does Google Consent Mode V2 apply to?

On one hand, Google Consent Mode V2 may be applied to a variety of tracking services, including Google Analytics, Google Ads, and Floodlight tags. These three tracking services are very often used for measuring the performance of websites, tracking conversions, and many more for ad optimisation. It basically changes the way these services run based on the level of consent that users give.

• Google Analytics: When users give consent to analytics to track, Google Analytics can collect data as usual. In some cases, it collects anonymised and basic information only, like pageviews, without actually linking it to a particular user.
• Google Ads: Unless exempted by the users, Google Ads may collect cookies to track conversions and create remarketing lists. Otherwise, without this, only limited tracking is available while some insight might be given by conversion modelling.
• Floodlight tags, which are generally used to track website activity on behalf of an advertiser, will shift to reflect user consent preferences and continue to help advertisers stay within the bounds of evolving privacy regulations while still deriving actionable insights.

Google Consent Mode V1 and V2: What's the difference? 

First of all, Google Consent Mode V1 was the original version given to a website to implement very basic consent signals into changing the behaviour of Google tags. Via V1, the website could let the Google services know whether the consent had been granted or not, and Google would adjust its data collection accordingly. However, this version didn't offer advanced data recovery or modelling techniques.

Consent Mode V2 has various improvements and added features.

Indeed, the major difference between V1 and V2 is the introduction of conversion modelling in V2. While V2 introduces conversion modelling that will still allow businesses to gather insights from users who do not fully consent to tracking, it covers the data gap by using machine learning, thereby increasing the accuracy of conversion metrics.

Moreover, V2 better supports compliance with evolving privacy regulations, which can provide collection of the valuable performance data on the websites while following the rules of privacy.

How to enable Google Consent Mode V2

Don't forget to check your Google Tag Manager setup in order to make it compatible with your consent management platform. 

Here's a step-by-step guide on how to enable Consent Mode V2:

CMP Compatibility: First, you have to check if the consent management platform is compatible with Google's Consent Mode V2. 

The CMP should support sending consent signals up to the Google Tag Manager.

• Update Google Tags: Inside your Google Tag Manager account, look for tags that are connected with Google Analytics, Google Ads, or Floodlight. You will have to change the settings of those mentioned tags by adding the feature Consent Mode V2. 
• This will allow Google's tags to serve, dynamically amending their respective behaviours based on the choices being made by your users in giving consent.
• Set Default States: By default, set the consent status of new users to a certain status (e.g., 'denied' until the user makes a choice). This will help to comply with the privacy by default.
• Integrate CMP with GTM: Link your CMP to Google Tag Manager. Your CMP will collect user consent preferences and will directly communicate the same to GTM. GTM, in turn, will apply the collected preferences to the Google tags by modifying them.
• Testing and Verification: Employ Google Tag Assistant and developer tools to actually see whether everything is working fine, and if consent preferences are considered accordingly.

What are Basic and Advanced modes?

Google Consent Mode V2 enables two ways to handle user consent: Basic and Advanced modes. Both of them concern the issue of what extent of data collection and processing can be enabled based on users' choices.

• Basic Mode: In Basic Mode, it is supposed to collect data only on users' set preferences. It means when users do not give consent to analytics or advertising cookies, no extra modelling or recovery should be done. The data collection is minimal, generally bound to the basic functionality of the website.
• Advanced Mode: Advanced Mode introduces conversion modelling to make up for lost data due to user opt-outs. This mode deploys machine learning algorithms to estimate the behaviour of users and conversions that provide complete insights, with consideration for privacy choices.

Advanced Mode: Conversion Modelling

Advanced Mode Conversion Modeling is a feature essentially helpful to learn about the actions of users whenever there is limited consent. Google will use data from aggregated and anonymised users of those who consent against modelling conversions in non-consenting users. This fills data gaps without compromising on privacy.

For instance, even if a user interacts with an ad and does not consent to cookies, Google can still estimate whether the interaction resulted in a conversion through analysis of patterns and behaviours of other users who have provided consent. You thereby get more complete conversion data that may be critical for properly measuring the effectiveness of your ad campaigns.

Basic Mode versus Advanced Mode Comparison

• Basic Mode: Only data explicitly allowed by the user is gathered. It's highly straightforward, has the flow act in concert with consent provided from the user, without extra modelling or additional analyses of data. This mode fits businesses that need simplicity and the assurance of strong privacy conformance.
• Advanced Mode: Employs advanced machine learning techniques to fill the missing data gaps left by opted-out users. This mode will fit an enterprise that seeks a balance between privacy and performance insight, as it provides them with more precise conversion tracking and performance measurement.

Do I also need a Server-Side Tag Manager?

While not a requirement, a Server-Side Tag Manager is highly advantageous in the usage of Consent Mode V2. A Server-Side Tag Manager enables the transfer of large volumes of your tag management into your server, hence giving more control over how data collection, processing, and sharing are done. 

This comes in handy with privacy and security concerns where you filter out or manage the data before they reach third-party services.

Using a Server-Side Tag Manager can also help with consent management in that it gives you more control over the data flow and how to ensure all tags are taking user-preference parameters into consideration. It adds another layer of privacy protection-a welcome aspect for GDPR compliance.

The Consent Mode Parameters

Google Consent Mode V2 uses a number of parameters for the purpose of deciding what data and how to collect depending on user consent. 

The key parameters include: ad_storage: This is a parameter that controls the storing related to advertising cookies. In case a user does not consent to ad-related data, this parameter is set to 'denied', and advertising cookies are not stored.

• ad_personalization: Regulates the use of cookies and data that personalise ads for users. When consent is refused, personalised ads are not shown, and only generic, non-targeted ads are displayed.
• ad_user_data: Manages the storage and usage of user data specifically for advertising purposes. If a user declines consent, no user-specific data is used for ads, limiting tracking and targeting capabilities.
• analytics_storage: Regulates the storage of analytic cookies. If a user refuses to consent, analytic cookies are blocked, collecting only essential data such as anonymised page views.
• functionality_storage: Regulates cookies for non-ad and non-analytics purposes that are used for the functionality of the site. This parameter helps in keeping a record of features that enhance user experience.
• security_storage: This refers to security that helps in maintaining the integrity of the website operation.

Applying these parameters, it ensures that data collection in websites remains in line with the preference of users but at least at some levels, functionality and insights into data can be preserved. 

Implementation of Default Status Imposing a default status is crucial to privacy compliance when explicit consent has neither been given nor refused. 

You can then set the default so that Consent Mode V2 either blocks all non-essential cookies or allows minimal data collection, which is necessary for basic website functionality in case of no explicit consent from the user. 

This means that the best practice will be to set a conservative default status-for example, disallowing all data collections except those needed by the website for functionality. 

This is in line with the principle of 'privacy by default', indeed a precept under many privacy regulations, including GDPR. This will make sure that no personal data is collected until active beginning of consent has been given by the user.

Activating Consent Mode V2 with a CMP (Consent Management Platform)

To activate Consent Mode V2, you must integrate it with your consent management platform (CMP). The CMP is responsible for gathering consent choices from users and passing those signals to Google Tag Manager. Once integrated:

• User Interaction: When a user visits your site, the CMP will prompt them to set their consent preferences.
• Data Sharing: The CMP then sends these preferences to Google Tag Manager.
• Tag Adjustment: Google tags will adjust their behaviour based on the preferences, only collecting data allowed by the user.

This process ensures that your website remains compliant with privacy laws while allowing Google services to gather meaningful insights based on the consent provided.

How to check if Consent Mode V2 is working properly

After implementing Consent Mode V2, you need to verify that it works correctly. Here are some methods you can use:

• Google Tag Assistant: This is a Chrome extension that helps you check if Google tags are firing correctly. Use Tag Assistant to see if the tags adjust based on user consent choices. The extension will show you which tags are active and whether they comply with consent settings.
• Browser Developer Tools: You can use the developer tools in your web browser to check network requests and ensure that the correct consent parameters (e.g., ad_user_date, analytics_storage) are being sent. Look for requests made by Google tags and verify that they align with the consent preferences users set.
• CMP Debugging Tools: Many consent management platforms offer debugging tools that allow you to check how consent signals are being passed to third-party services, including Google Tag Manager. Use these tools to confirm that consent preferences are properly captured and transmitted.

By using these verification methods, you can ensure that Consent Mode V2 is functioning correctly, providing you with valuable data insights while respecting user privacy choices.

If you're looking to streamline your data analytics implementation while ensuring compliance with data privacy regulations, Arekibo can help. Our team offers expert guidance to optimise your analytics setup, manage cookie consent effectively, and ensure your data practices align with user preferences. With tailored solutions for ad personalisation, user data management, and secure data storage, Arekibo helps you maximise insights from your data responsibly.

Read Part 2 -  how to enable Consent Mode V2.

Contact us today to transform your data analytics with privacy and performance in mind. Let’s create a data strategy that works for you and respects your users.