First-Party Data Gets Results. See how.
With privacy concerns picking up steam and Facebook dropping built-in, third-party data from its advertising platform, marketers need to seriously consider prioritizing first-party data.
Data is king in this digital world. It’s the data that tells you who to target (based on gender, past purchases, etc.), when (Are they browsing the web? In the market for a new car?) and how (A social media ad? Email?)
And the best data for effective, highly-targeted campaigns is first-party – info gathered firsthand, by your business or a consumer information compiler that specializes in this data.
“First-party data is always better than third-party data. First-party is your own data, your own customer list and you have buying patterns, transactional and contact information and they’re your people,” said Alex Radetich, managing partner and co-founder of Take 5 Media Group.
First-party data – how do you get it?
First-party data comes from a variety of sources, including:
- Web visitors
- Social media and app activity
- Customer feedback
For more on this see Third-Party Data Versus First-Party Data.
The Marketing Insider notes that brands should try to gather first-party data from every consumer interaction: “The best way to do this is by providing transparent, engaging, and compelling experiences that drive consumer participation through a brand’s own products and digital properties – and then encourage those consumers to share about the experience on their social networks.”
Britain’s The Telegraph newspaper partnered with Yorkshire Gold tea and ran a sweepstakes looking for the most beautiful gardens in England. Their online, sign-up form captured valuable, first-party data.
First-Party Data Benefits
There are several advantages to collecting and using this type of data:
- It’s ideal for email marketing, display ad and social media retargeting, geo-fencing, direct mail and re-engagement campaigns
- It’s the most accurate, up to date information
- You get a competitive advantage over companies using third-party data, which is less accurate and widely available (to your competitors)
- This data is great for micro-targeting
- It’s also perfect for Facebook’s Custom Audiences, especially since the social media channel is no longer using built-in, third-party data
- When purchase intent, lifestage and demographic overlays are added (specialties of Take 5 Media Group, a first-party data compiler) the data becomes even more highly-targeted – and more valuable
Many companies use their CRM data for marketing but that info is finite and may not be kept up to date. Take 5 adds depth (the above-mentioned purchase intent, demographics, etc.) and routinely conducts data hygiene and other processes to keep its consumer information valid and updated.
Other First-Party Data Advantages:
- You can build audience segments for refined targeting
- Create audience personas
- Obtain insight on customer behavior
- Build lookalike models to accurately extend your audience
- Target your audience better for effective programmatic ad campaigns
Martech Advisor points out that first-party data also leads to an increase in trust and brand interaction with customers:
“When customers interact with a brand and leave behind first-party data, this data can help the brand deliver more personalized experiences for their customers… In turn, this increased trust encourages customers to interact more with the brand and share more data.”
Third-Party or First-Party Data – Which to Use?
Whether you’re a new business or starting your first online campaign, you need to look at your goals and figure out what you want to achieve. Third-party data will give you a broad reach and when people start interacting with your brand you can collect their email addresses and other information to build your CRM.
Once you have a decent CRM list you could use that or append it with data from outside sources. You could also certainly start digital marketing campaigns with leased data from companies like Take 5 Media Group.
The marketing experts at HubSpot succinctly sum up the difference between third-party and first-party data: “While third-party data is aggregated data on a general group of people, first-party data is information you collect directly from your customers like their interactions with your brand. If third-party data lets you reach a broad persona, then first-party data lets you pinpoint a hyper-specific persona.”
Targeting “hyper-specific persona” will be the most effective marketing, increase sales and provide the highest ROI on your advertising efforts.
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Take 5 Media Group – First-Party Data Experts
Since our founding in 2003, Take 5 has been a leading, national compiler of first-party consumer information. We have unique, self-reported audience sets consisting of lifestage triggers (newlyweds, new parents, etc.), in-market intenders (people in the market for a new car or home, etc.) and email responders by various offers.
Using proprietary data collection and hygiene methods we source our data from more than 24,000 external data feeds (health insurance, auto refinancing, bridal and baby registries and more).
We then add value to our data with over 275 separate demographic and lifestage/psychographic self-reported indicators. We own our own data and provide aggressive pricing and best-in-class service.
Take 5 is also an in-house DSP, deploying campaigns – email, display ad and social media retargeting, geo-fencing, direct mail and more – and targeting our audience sets (i.e., your ideal consumers) from our database that includes over 167MM double opted-in email addresses.
To find out more, call Take 5 Media Group, Boca Raton, Florida, 561-819-5555, in New York at 917-201-7451 or visit our website at Take5mg.com.