Microsoft UET Consent Mode: What It Is and How to Use It

Can you track ads without compromising privacy?

Users demand control over their data, and businesses need insights to optimise ad performance. But with evolving privacy laws like GDPR, how can businesses collect meaningful data while staying compliant?

Microsoft Universal Event Tracking (UET) Consent Mode is a solution that adapts tracking based on user consent, ensuring compliance without sacrificing ad effectiveness.

In this guide, we will break down how Microsoft UET Consent Mode works and why it’s essential for businesses navigating today’s privacy-first landscape.

Microsoft UET is a tracking solution for Microsoft Advertising, helping businesses measure key user actions on their websites. By implementing a UET tag, businesses can track:

• Page visits – Monitor which pages users engage with.
• Conversions – Track purchases, sign-ups, or other goal completions.
• Remarketing – Build audience lists based on user behaviour for targeted advertising.
• Custom events – Measure specific user interactions, such as button clicks or form submissions.

UET is compatible with major platforms like BigCommerce, Shopify, WordPress, and Wix, making it easier for businesses to track user activity.

However, as data privacy laws become stricter, simply using UET without consent mechanisms can expose businesses to legal risks and user distrust. This is where Microsoft UET Consent Mode comes in.

Microsoft UET Consent Mode allows businesses to track website interactions through UET tags while respecting user consent preferences. It ensures that Microsoft Advertising campaigns can continue collecting valuable insights in compliance with privacy laws like GDPR and CCPA.

Instead of blocking tracking entirely when consent is not given, UET Consent Mode dynamically adjusts how UET tags behave based on user consent choices. This helps businesses:

• Respect user privacy while still measuring ad performance.
• Optimise Microsoft Advertising campaigns without violating privacy laws.
• Ensure compliance with evolving data protection regulations.

Microsoft UET Consent Mode works seamlessly with UET tags and integrates with Google Tag Manager (GTM), making it easier for businesses to manage tracking across multiple platforms.

Privacy laws require businesses to obtain explicit user consent before collecting personal data. Microsoft UET Consent Mode helps businesses:

• Comply with regulations: Avoid legal penalties and maintain compliance with GDPR, CCPA, and other privacy laws.
• Enhance transparency: Provide users with clear choices about how their data is used.
• Preserve ad performance: Continue tracking conversions while respecting privacy preferences.
• Protect brand reputation: Show commitment to responsible data practices.

Without Consent Mode, businesses risk losing valuable tracking data, limiting their ability to measure campaign success and retarget users effectively.

When a user visits a website, Microsoft UET Consent Mode determines how their data is processed based on their consent preferences. The system categorises tracking into two states:

Consent state	Impact on data collection
Granted	Enables full data collection for ad targeting, conversion tracking, and remarketing
Denied	Restricts tracking; no advertising cookies are stored.

Here is the workflow: 

1. User interaction and consent capture

• When a user lands on a website, the CMP displays a banner requesting permission for data collection.
• The user either accepts or denies tracking permissions.

2. Consent mode activation

• The website’s UET tag tracking code, embedded in its codebase, detects the user’s consent status.

3. Data processing and compliance

• UET interacts with Microsoft Ads to send tracking signals based on the consent state.
• When consent is denied, UET ensures only aggregated or anonymized data is used, maintaining compliance with GDPR and other data protection laws.

4. Dynamic consent adjustments

• If a user changes their consent preferences (e.g., updates settings via the CMP), the UET tag adapts in real time, modifying data collection accordingly.
• This prevents unnecessary data processing while ensuring businesses can track conversions where permitted.

By integrating seamlessly with CMPs, Microsoft UET Consent Mode helps businesses respect user privacy while optimising ad performance within legal frameworks.

To set up Microsoft UET Consent Mode, businesses can use CookieYes CMP, which streamlines compliance and consent management.

Implementation steps:

1. Set up the UET tag and generate a unique tag.
2. Deploy CookieYes CMP on your website to manage user consent effectively.
3. Ensure automatic consent adjustments by integrating CookieYes CMP with Microsoft UET.
4. Test and validate implementation to confirm that tracking aligns with user consent choices.

Implementing the UET Consent Mode provides several advantages:

• Ensures compliance with privacy laws and Microsoft’s advertising policies, reducing the risk of legal penalties. 
• Enhances user trust by offering transparency, giving users greater control over their data and improving brand credibility. 
• Improves ad targeting efficiency by ensuring that data collection aligns with user preferences, leading to more relevant and effective marketing campaigns. 
• Minimises data loss by using consent-aware tracking and modelled conversions, helping businesses continue making data-driven decisions even when some users opt-out. 
• Supports ethical data practices, ensuring businesses operate within regulatory frameworks while maintaining ad performance without overstepping privacy boundaries. 
• Optimises campaign performance by balancing compliance with effective data collection strategies, ensuring advertisers receive actionable insights from consenting users. 
• Reduces customer complaints and legal risks, as users are provided with clear consent choices, which leads to greater compliance with industry standards. 
• Verifies and configures UET tags effectively by using the UET Tag Helper, which ensures that conversion goals are properly set up and tracked on websites.

Any business running ads through Microsoft Advertising should enable UET and Consent Mode to comply with data protection laws and maintain effective tracking. It is particularly relevant for:

• E-commerce businesses depend on accurate conversion tracking to measure customer purchases, shopping cart activity, and transaction completions. Having a UET tag installed on the website is essential to track conversions effectively.
• Publishers and content websites that use Microsoft Ads for monetisation and rely on audience data for targeted advertising while ensuring compliance with privacy laws.
• Enterprises operating in GDPR-regulated regions must adhere to strict data protection rules while running ad campaigns, ensuring legal security and trust.
• Marketing agencies and advertisers looking to optimise ad performance without violating privacy laws, ensuring that they can deliver measurable results while maintaining ethical standards.
• Businesses using multiple ad platforms need to synchronise user consent signals across Microsoft, Google, and other advertising networks, ensuring seamless cross-platform compliance.
• Technology and SaaS companies that rely on data-driven strategies for customer acquisition and engagement, ensuring compliance while maintaining valuable insights.

As privacy regulations evolve, businesses must adopt solutions that balance data collection with user consent. Microsoft UET and Consent Mode are vital tools for advertisers looking to remain compliant while optimising their advertising efforts.

By implementing consent-aware tracking, businesses can continue to gather meaningful insights without compromising privacy. Ensuring clear communication, transparency, and user trust will ultimately lead to better customer relationships and sustained business success.