What Are Website Cookies and Why Do They Matter

Unfortunately, we’re not talking about chocolate chips today. We are, however, talking about website cookies. You know, those website pop-ups that ask you to ’Accept’ or ’Reject’ them?  What actually are they? Should you say yes? What do they do? We’re breaking it all down in this guide, including how your own website probably uses them and what cookie consent means for those visiting your website.

First Things First: What Is a Cookie?

Website cookies are small text files saved to your device when you visit a website. They store information through online browsers like Google Chrome or Microsoft Edge, and this helps the website remember details about your visit. 

Details might include items in your shopping cart, where you are in your progress, or preferences such as your language and if you use light or dark mode. 

When the cookie saves that small piece of information in your browser, this means you don’t have to reenter it every time you click on something new or revisit the page. You can think of this somewhat like a hotel keycard. 

When you check in for a hotel stay, the front desk confirms who you are and gives you a room key. Each time you return, you can simply swipe the card to enter your room without checking in at the front desk again.

One thing worth knowing up front is that a cookie only works in the browser that saved it. It doesn’t follow you across devices on its own. It’s tied to that one keycard, in that one pocket, not to you as a person.

How Long Do Website Cookies Last?

Cookies can last for different amounts of time. Session cookies usually disappear when you close your browser, while persistent cookies remain for a set period or until you delete them.

Persistent cookies are used to remember preferences or recognize returning visitors. Note that incognito or private windows store cookies only while open and delete them when closed.

Why Are Websites Asking You to Accept Cookies?

There are several different types of cookies. Some are considered necessary cookies for a website to function (these cookies are usually automatically active) while others collect information about how you use the site (like which pages you visit or what you click on). These are called optional cookies.

Optional cookies are not required for the website’s basic operation. Some, particularly advertising and third-party cookies, exist to track behavior across sites, not necessarily to improve user experience. So while our keycard analogy fits necessary cookies well, it doesn’t quite capture what an optional, or tracking, cookie does.

A tracking cookie records information about your online activity and may be used to build a profile of your interests, show you more relevant advertising, or measure if you interacted with an ad previously. To better understand where this information goes, it helps to know who placed the cookie on the website.

Cookies can be categorized as:

• First-party cookies, which are placed by the website you are currently visiting. These usually help with logins, shopping carts, security, and website preferences. 
• Or third-party cookies, which are placed by outside services connected to the website, like analytics tools, social media companies, or advertising networks (like Google Ads and Meta Pixel).

Quick caveat: first-party doesn’t automatically mean “just for function.” A site’s own analytics or ad tools can also be first-party cookies and still track behavior. The necessary-vs-optional split and the first-party-vs-third-party split are two different things.

To continue with our hotel comparison, a first-party cookie is like the keycard your hotel gives you. It only opens your door at that hotel, and the hotel uses it to know things like “this is the guest in room 214, they’ve ordered room service twice.”

A third-party cookie is more like a coffee cart vendor who’s been given a stand in the hotel lobby. As guests walk by, the vendor notices things: like you always ask for cream and sugar, you tend to order a large, and you stop by around 8 am.

On its own, that’s not much. But this same vendor also has carts in hotel lobbies all over the country. So when you check into a different hotel next month, that vendor recognizes you again and can piece together: “this person takes cream and sugar, and will stop by early in the morning.”

Now they (or whoever they sell that info to) already have your order ready before you ask, even though you never told any single hotel how you like your coffee.

That’s the mechanics behind third-party cookies: it’s not that one company is secretly watching your whole trip, it’s that the same outside company has a small presence on many different sites (like that vendor’s cart in many lobbies), so it can stitch together a profile of you across all of them, even though each site thinks of you as a separate, one-off visitor.

One more thing: this “vendor with carts everywhere” setup depends a lot on which browser you’re using. Safari and Firefox already block most third-party cookies by default. Google Chrome, which is what most people actually use, does not. 

Google considered adding a forced choice prompt for tracking, then dropped that plan and left third-party cookies enabled by default instead, managed through Chrome’s normal privacy settings if a user goes looking for them.

This is where cookie consent becomes important.

Because some cookies collect visitor information or share it with outside platforms, websites usually need to ask permission before using them.

What Happens When You Accept or Reject Cookies?

When you click “Accept All,” you are generally allowing the website to use both necessary and optional cookies, including those used for analytics, advertising, and personalization.

When you click “Reject All,” the website should prevent optional cookies from loading while continuing to use cookies that are necessary for the website to function. Rejecting optional cookies should not prevent you from accessing the basic website, but some personalized features or embedded content may work differently.

Note that a properly set up banner also blocks optional cookies from loading before you’ve made a choice, not just after you click “Reject.” If tracking scripts fire the moment someone lands on the page, the banner isn’t doing its job, regardless of what the buttons say.

Choosing “Manage Preferences” lets you review the available cookie categories and decide which ones you want to allow.
Cookie consent banner examples:
 

Does Your Website Need a Cookie Consent Banner?

The answer is not always a simple yes or no. Cookie consent requirements can depend on the cookies being used, the information being collected, where visitors live, and which privacy laws apply to your business. 

Think of your cookie banner like the sign at the hotel entrance, listing the house rules: “no smoking,” “quiet hours after 10pm,” “pets must be leashed in common areas.” The sign tells guests what’s expected and lets them make choices, like whether to bring their pet into the lobby.

But posting the sign doesn’t enforce anything by itself. If the staff lets a smoker light up anyway, or the hotel’s own employees ignore the “pets on a leash” rule, the sign was just decoration. The hotel said the right things, but its actual operations didn’t match.

That’s the issue with cookie banners if they aren’t properly set up. A banner can tell visitors “we’ll only track you if you say yes,” but if the tracking scripts behind the scenes fire before the visitor answers, or keep running after someone clicks “Deny,” the banner’s promises aren’t backed up by what’s actually happening on the site. Compliance depends on the tracking tools actually respecting the choice, not just on having a banner that mentions one.

Do I Need A Cookie Banner To Run Google Analytics? 

It depends on how it’s configured and who your visitors are, but in many cases, yes. Standard Google Analytics sets cookies that fall outside the “strictly necessary” category, which is usually enough to trigger consent requirements. This is exactly the kind of thing a privacy review sorts out for your specific setup.

Cookie Consent Requirements Vary By State

There’s no single federal cookie law in the U.S., so requirements depend on state privacy laws, and those can look different depending on where your visitors live.

Generally speaking, some states only require businesses to disclose their practices and let visitors opt out of things like targeted ads or the sale of personal data. Others take a stricter approach, requiring visitors to opt in before certain tracking happens at all. Sensitive data, like health information, precise location, or biometric data, tends to require opt-in consent almost everywhere, even in states that are otherwise opt-out.

Not every business is subject to these laws either. Most state privacy laws only apply to businesses that cross certain size or revenue thresholds, so a small local business may not be included under a given state’s law at all.

If you’re a Florida business, the Florida Digital Bill of Rights (FDBR) sets its own rules for how personal data and tracking tools like cookies can be used, and like most state privacy laws, it only applies once a business crosses certain thresholds. It’s worth a quick check to see if your business falls under it.

Is Your Website Ready for a Privacy Review?

Your banner, privacy policy, tracking tools, and opt-out process all need to work together, and what “together” looks like changes from state to state.

If your website collects personal information, uses tracking tools like Google Analytics or Google Ads, or runs digital advertising campaigns, a privacy review can help you understand what information is being collected and if your website is meeting applicable privacy requirements. 

If you’re unsure what that is, or whether your cookie banner is doing its job, reach out to our team at Dillon Media Group. We can review your website and discuss the next steps for improving your cookie and privacy practices.