Are Internet Cookies Actually Helpful For Your Small Business Website?
July 20, 2024
Authored by: Kristin Johnson• 5 Minute Read

Visit almost any consumer-facing website and you’ll see this all too familiar banner pop up: “This site uses cookies.” It usually asks if you “Decline” or “Accept” cookies…but what does this actually mean? And if you’re starting an online venture, should your own small business website also use Internet cookies?
First, what are Internet Cookies? Let’s try to understand what web cookies are from a web visitor’s point of view. If you accept cookies, you are allowing a company to store cookies in your browsers, apps, or devices—be it a computer or mobile phone. Cookies can be used to track and collect data, all of which are sent back to the originating company website. For businesses, cookies are valuable tools for understanding and enhancing the user experience.
What do Cookies do? Think of cookies as little files that contain information about the user's browsing activity, preferences, locations, and other data. Companies use this data to personalize website user experiences, remember preferences across different web pages and browsing sessions, and customize marketing to provide relevant messaging.
What should business owners know about Internet Cookies?
If you are an entrepreneur looking to launch a website or assessing your digital operations, what should you consider when it comes to installing cookies? Here are the basics.
Some cookies are essential for a business to run a website, while other cookies are designed to support marketing goals, according to HostPapa. For example, “session cookies” only store information during a single shopping session to ensure the items you add to your shopping cart are maintained. Meanwhile, “persistent cookies” or “preference cookies” store data on the browser after you leave a website, and are intended to make your browsing experience smoother and more personalized. For example, preference cookies remember language choices so you don’t have to re-enter your selection every time.
Some cookies are placed by first parties–while other types of cookies are placed by third parties, like advertisers on that website. It’s important to determine what kind of cookies your business website uses and needs, if any. From there you can determine how to install cookies, be it through a developer writing the proper code, or installing a platform like Google Analytics.
The pros and cons of Cookies:
Cookies come with many benefits for both business owners and customers as they can deliver personalized content and targeted, relevant advertisements.
Cookies are essential for delivering customized user experiences because the web servers save your web activity, allowing websites to remember your preferences. They enable features like remembering login credentials, storing shopping cart items, and customizing content based on user preferences. This can benefit users on secure devices, such as their personal laptops. For example, cookies can save one’s language preferences, or recently viewed items from a previous shopping session.
“If you’re using optional cookies on your website, let users have the power to choose which cookies they want running on the website for the duration of their session,” writes Serviceform.
For online entrepreneurs, cookies can play a crucial role in website analytics, helping companies understand user behavior, preferences, and trends within their industry. By reviewing cookie data, entrepreneurs can make strategic decisions to optimize their websites, improve marketing strategies, tweak layout or content, and enhance the overall user experience and web functionality.
Despite all the positives surrounding data analytics and delivering a personalized user experience, cookies also raise privacy concerns.
To address these privacy concerns, business owners need to prioritize the protection of their customer’ personal data as well as offer customers the ability to delete any stored data on their website . Business owners can install robust data protection measures and offer visitors the option to opt-in or opt-out for cookies. They can also avoid collecting personal identity information. Entrepreneurs must ensure that the data collected through cookies is securely stored and protected against unauthorized access or breaches. Implementing encryption, access controls, and regular security audits can help mitigate risks associated with data security.
Going about cookies correctly also means making sure you’re legally compliant. Entrepreneurs need to be aware of relevant laws and regulations regarding the use of cookies, such as the General Data Protection Regulation (GDPR) in the European Union and the California Consumer Privacy Act (CCPA) in the United States. These laws typically involve obtaining user consent before placing cookies into their web browsers and providing clear information about cookie usage in privacy policies. It’s common for web developers to use plugins, like this one from Termly, to ensure your website complies with these rules.
No matter whichcookies you choose for your website, remember that building trust with users is crucial for the success of online businesses. Entrepreneurs need be transparent about their cookie usage practices, respect user preferences regarding data collection, and demonstrate a commitment to safeguarding user privacy.
Overall, entrepreneurs should approach the use of online cookies with caution, balancing the benefits of personalization and analytics with the need to protect user privacy and comply with relevant regulations.


