If ‘ordinary’, ‘limited’, ‘non-compliant’ or ‘third rate’ comes to mind when you hear ‘third-party data’, think again. Ignore this data and you reduce your targeting precision, limit your customer insights, compromise your marketing effectiveness and impact your growth. With the death of third-party cookies, third-party data holds the key to filling the targeting gap.
People see third-party data as a single entity. But pigeonholing it like this ignores the richness it encompasses. It’s like saying ‘vehicle’ means one thing. Everyone knows it doesn’t. This word encapsulates so much – from planes to paddleboards, skateboards to ships, trucks, scooters, rockets, submarines, buses, helicopters…
Third-party data is a broad church
It’s the same with third-party data. Third-party data is not one source but many rich, varied types, which enhance your marketing. When someone says ‘third-party data’, what are they referring to? Do they mean:
- Demographic data – general characteristics about groups of people, such as age, income, geography, occupation, family composition and education
- Lifestyle data – preferences, interests and hobbies
- Purchasing data – items bought, brands people spend money on, categories they buy from, how much they spend, purchasing frequency
- Product ownership data – products and services people own or have, brand affinities, renewal date information
- Location data – physical visits to stores or brand locations, travel destinations, location types visited, geographies
- Intent data – online and offline interactions that indicate potential buying signals
- Behavioral data – browsing behaviors, time spent on sites and engagement
- Social media data – social interactions and activities, social media platform preferences
- B2B data – company turnover, number of employees, job titles and responsibilities, decision-makers, site locations, business buying intentions
- Subscription data – readership information, user channel and section interactions
- Psychographic data – attitudes, interests, values and opinions
Is it online data? Offline data? Is it at an individual level or defined targeting segments? Third-party data encompasses such a spectrum of information you can’t tie it to one definition. And it’s all collected and processed in a privacy safe way.
Delivering essential industry insights
Look at it from an industry perspective, and you see its value. What Consumer Packaged Goods business wouldn’t want information on a consumer’s purchase history, brand affinity or store preference? For any automotive company, identifying car ownership, makes and models, family composition, income and in-market car buyers is critical. Accessing information on devices owned, app usage, device hardware and software and location visits is gold dust for a mobile business. You can’t describe any of this as bog-standard, limited or third-rate.
With hundreds of thousands of defined segments available, third-party data is as broad or precise as you need. It delivers you scale while allowing you to identify and target hard to define audiences.
And third-party data supports your marketing in many ways. It’s critical for:
Driving growth: For organisations lacking customer data or small companies, third-party data is a lifeline to fuel business growth.
Delivering depth of insight: The additional data points it brings enhances your customer understanding, which supports your targeting, product development and customer service.
Providing context: Lifestyle, demographic, product ownership, where people shop orlocation data add context to your targeting: context you can use to address their needs, identify if they are in-market and deliver better customer experiences.
Enhancing first-party data: First-party data is crucial, but enrich it with third-party data, and your data-related activities are more relevant, appropriate and effective.
Ensuring targeting consistency: Omnichannel marketing requires a consistent user definition across audiences and routes to market, which third-party data delivers.
Don’t limit your marketing effectiveness
Perhaps third-party data sits way down your pecking order of consideration. Well, if you’re not using it, you’re missing a trick – one your competitors are taking advantage of.
Traditionally, it has been difficult for Facebook advertisers to find and then apply third-party data to support their targeting. Today, it is easy to source, access and append this critical data to your ad sets in a few clicks.
For any advertiser, a wealth of data is critical for effective marketing. And with third-party cookies dying, you need solutions for how to plug the emerging targeting gap.
Yes, collecting first-party data is important and advertisers should be doing this. But relying on this is not enough, as it’s impossible to build large enough first-party data pools to drive targeting at scale. Meanwhile pinning your hopes on interest data will also end in disappointment, resulting in vague, incomplete targeting and poor campaign performance. You need something more. Having a limited perception of third-party data means you’re limiting your marketing effectiveness.
Third-party data is rich, deep, varied, trusted, and accessible. As a marketer, you need to recognize its value (today and in the future), embrace it and start testing how third party-data can enhance your marketing. Perhaps you will gain a competitive advantage.
You can get an insight into the wealth and depth of data available by clicking here or contact email@example.com.