If you’re still relying solely on client-side tracking, you’re missing out on accuracy, control, and long-term scalability. Enter server-side tagging, the modern solution to ad blockers, data loss, and privacy-first web behavior.
| What you’ll learn in this article: ● What is server-side tagging ● How Google Tag Manager server-side works ● Costs to consider for Google Tag Manager server-side pricing ● Server-Side vs. Client-Side Tracking |
What is GTM Server Side?
GTM server-side means using the Google Tag Manager server container, which moves your tag executions from the user’s browser (client-side) to a dedicated cloud server under your control. So, rather than firing tags directly in the website, browser data is sent to your tagging server first, which then processes and forwards it to platforms like Google Analytics, Facebook, TikTok, and others.
The advantage of this configuration is enhanced data accuracy, bypassing ad blockers, decreasing page load time, and giving you full control over the data-sharing process with users’ important tracking tool set in a privacy-first, cookieless future.
How GTM Server Side Works
In comparison to regular client-side tagging, which entails tags firing in the user’s browser, GTM server-side tagging introduces a middle layer: an independent tagging server sitting on a cloud computing platform, such as Google Cloud App Engine.
Practically, it functions in this way:
- Data from your website or app (page views, purchases, etc.) is sent to the GTM server container through HTTP requests or measurement protocols.
- This data gets received by the server container, filtering, transforming, or performing custom logic on it.
- The container then sends this cleaned data to third-party platforms (GA4, Meta, TikTok) from your server instead of the user’s browser.
Because everything runs on your own tagging domain (e.g. tags.yourdomain.com), you gain better data quality, protection from ad blockers, and stronger privacy compliance.
Key Benefits of Server-Side Tracking with GTM
Making the jump to server-side tagging in Google Tag Manager is more than just a technical upgrade; it improves data collection, data processing, and protection. Here are its key advantages:
Better Data Quality
Client-side tracking often gets blocked by browser restrictions, ad blockers, or even slow page load times. That means missing events, broken funnels, and lost insights.
As a result, server-side tagging provides a more reliable pipeline for your data, so critical conversions and user actions actually make it to your analytics tools.
Improved Page Speed
Each third-party tag added to your website adds extra weight, slowing down load times and harming user experience, especially on mobile.
With server-side tracking, most tags run in the cloud instead of the browser, which reduces page bloat and makes your site noticeably faster.
Enhanced Security and Privacy
When you fire tags from the browser, user data goes straight to third-party platforms. You lose control over what’s shared and how it’s used.
By contrast, act as gatekeepers to decide what data is collected and is filtered or anonymized before passing it on to downstream applications. This really gives you an edge in complying with GDPR or CCPA.
Longer Data Retention
Client-side cookies are limited by browser policies, and many expire in just 7 days (or less in Safari). That makes tracking long user journeys nearly impossible.
However, when using server-side tracking, you can extend cookie duration through your own subdomain, giving you more consistent session tracking and attribution over time.
Google Tag Manager Server-Side Pricing
Setting up a container in Google Tag Manager (GTM) in a server-side manner has no cost, but to initiate and keep running the server-side tagging requires a cloud hosting environment, most commonly configured on Google Cloud Platform (GCP). And that is approximately.
Pricing breakdown as in typical fashion in 2025 with Google native infrastructure:
App Engine (Flexible Environment)
- This is Google’s recommended setup for production-grade GTM server-side tagging.
- Each instance (1 vCPU, 0.5 GB RAM, ~10 GB storage) costs around $40/month.
- With 3 running instances, this will cost on the order of $120/month.
- Once you pass a particular scale, and depending on which service levels that traffic is associated with, it can go up to 5 or 6 instances, which will be in the range of $240 to $300 per month.
- But if you log at scale, you may have to add more than $100 per month for logging, depending on how much data you generate.
Cloud Run (Alternative Option)
- Cloud Run is a scalable, pay-per-use alternative also offered by Google Cloud.
- A typical setup with 2 instances (1 vCPU, 0.5 GB RAM) averages $90/month.
- Costs adjust dynamically based on usage, which makes it ideal for small to mid-size sites.
Server-Side vs. Client-Side Tracking: What’s the Difference?
Dive into server-side and client-side tracking, and you find one big difference: where the data processing happens, inside the browser or on a server. This distinction largely affects the accuracy, speed, and compliance with privacy rules.
Let’s analyze the key differentiating factors for setting up and evaluating which one fits your business better.
Server-Side Tracking
Server-side tracking solves many modern data challenges. Instead of sending data directly from the browser to platforms, you route it through your own tagging server.
By doing this, you have the power to enrich and filter the data, and it avoids most of the tracking-blocking options in the browser.
Client-Side Tracking
Most marketers start here and continue to second it as a fine approach. Client-side tags run within the browser and provide real-time data to the platforms without much infrastructure.
It’s simple to set up, but it often faces issues with ad blockers, browser restrictions, and limited control over data.
When it comes to quick insight and light setups, it’s all good. When accuracy and user privacy stand on the highest pedestal, it shows cracks.
Briefly lay side-by-side to find out how server-side tracking holds against client-side.
| Feature | Client-Side Tracking | Server-Side Tracking |
|---|---|---|
| Data processed in | User’s browser | Your server |
| Setup complexity | Easier | More technical |
| Ad blocker resistance | Low | High |
| Customization & control | Limited | Full control |
| Compliance flexibility | Lower | Easier to manage |
| Performance impact | Can slow pages | Improve load speed |
How to Set Up Google Tag Manager Server Side
Setting up server-side tagging with GTM is more accessible than ever in 2025. Here’s a simplified version of the official setup process using Google Cloud Platform:
Step 1: Create a Server Container in GTM
- Go to Google Tag Manager, click Admin > Create Container
- Choose “Server” as the container type
- Name your container and click Create
Step 2: Deploy a Tagging Server on Google Cloud
- After creating the container, GTM gives you a link to deploy via Google App Engine
- Click Automatically Provisioning Server (recommended)
- This opens Google Cloud with a pre-filled App Engine setup
- Follow the prompt to create the project and deploy the server container
- After deployment, you’ll receive a server URL like https://gtm-xxxxx.uc.r.appspot.com
📌 Note: You can use other cloud services (AWS, Azure, etc.) for advanced setups, but Google Cloud offers the fastest integration.
Step 3: Connect Your Web Container
- Go back to your Web GTM container
- In tags like GA4 or Facebook, update the Transport URL or endpoint to your new server URL
- For GA4, use the “Google Analytics: GA4” tag and enable Send to server container
- Add a Client ID (e.g., GA4 or Universal Analytics client) in your server container to receive data properly
Step 4: Configure Clients and Tags in the Server Container
- Open your Server container in GTM
- Set up a Client like GA4 or Universal Analytics
- Add tags that forward data to platforms (Google Analytics, Facebook CAPI, TikTok Events API, etc.)
- Test the setup using GTM’s Preview Mode for both Web and Server containers
Step 5: (Optional) Set Up a Custom Domain
For better privacy and first-party tracking, configure a custom subdomain (e.g., tags.yoursite.com)
This involves:
- Adding an A record or CNAME in your DNS
- Setting up SSL (Google Cloud handles this automatically if deployed via App Engine)
- Updating your GTM and platform settings to reflect the new endpoint
TagFly: Simple GTM Server-Side Solution for Shopify Stores
For Shopify stores, setting up GTM server-side tracking can feel complex and technical. That’s where TagFly comes in. It provides an out-of-the-box solution that lets you capture accurate conversion data across Google Ads, GA4, Facebook, and TikTok without writing code.
With TagFly, you get prebuilt GTM containers, server-side data routing, and GDPR/CCPA compliance baked in. It means your fashion brand can bypass iOS tracking limits, improve ad performance, and keep your customer data secure, all without slowing down your site.
Conclusion
GTM server-side tagging is not a technical upgrade; it is a shift toward controlling your own data. It future-proofs your tracking setup, thus making data more accurate and granting visibility again on the heavily privacy-oriented web.
Whether you’re scaling a Shopify store, orchestrating cross-channel advertising campaigns, or managing a data-sensitive platform, it’s server-side tracking that will give you the edge.
Frequently Asked Questions
Here are the most often asked questions that customers may have concerning server-side tracking for Google Tag Manager, particularly in regard to setup, costs, and technicalities.
Do I need a developer to set up GTM server-side tagging?
Not necessarily. At least for a basic setup, you might not have to write any code because Google walks you through the setup using App Engine. In other cases, such as when setting up a custom domain, configuring DNS records, or debugging data flows, you’d want to bring a developer on board.
Is GTM server-side free to use?
The GTM server container is free; however, you are charged for cloud hosting, which generally comes somewhere in the ballpark of $20–$100 per month, depending on your setup and traffic.
Can I use GTM server-side with GA4 and Facebook?
Yes, of course. Events can go from your Web container to GA4, Facebook CAPI, TikTok, and others via your server container.
Does GTM server-side help with privacy compliance?
Yes, but with an important caveat. Server-side tagging does not automatically make you GDPR or CCPA compliant because compliance primarily depends on obtaining and respecting user consent. If a visitor does not consent to tracking, it doesn’t matter whether you collect data via client-side or server-side methods.
What server-side does provide is greater control over what data gets shared with third parties. This makes it easier to filter, anonymize, or limit data in line with user consent and privacy regulations, effectively enhancing your ability to stay compliant.
