What is First-party Data and How Can You Use it for Your Marketing Strategy?
In an industry that is saturated, it is tough to get the attention of clients or any potential buyers. With the different marketing strategies you have tried before, did any work? We are here to remind you that marketing strategies are not limited, and trying new innovative ways is always a good idea! Are you familiar with First-Party Data? No, it’s not the party you are thinking! The cornerstone to post-third-party-cookie targeted advertising will be first-party data in the first line, which will be our main character in this blog. If you are familiar with the different online and offline sources like main websites you visit, apps you use, enterprise resource planning, social networking sites, or reviews are all examples of first-party data. In simpler terms, this is the information gathered by a collective system through its immediate contact with the end users.
A Harris Poll survey for Redpoint Global found that 63% of consumers expect personalization as a standard of service. Consumers expect brands to identify them, acknowledge them, and meet their needs and interests. Yet the dilemma is that they are hesitant to share their personal information in order to do so. Establishing a direct relationship with a consumer, on the other hand, allows the company to handle how it controls authorization. Make sense? Well, it is convenient for a company or brand to create a real-time data interaction by including users when using first-party data and establishing connection!
Being aware of the major cues from your customers’ behaviors can help you deliver a more personalized experience . Establishing a direct and trustworthy relationship with your clients is the key to aligning with their needs and demands. It is always smart to provide the elevated and tailored experiences that consumers expect. You must develop a relationship where they feel comfortable revealing their personal details like their name and contact information. Think of the last time you filled out an online form. What made you trust the company to give them that information? Conversely, have you ever decided not to complete a form on a website? Why did you choose not to share your information?
You want to make sure you are providing value to the potential client so they are willing to share their PII (personal identifiable information). And once you have that information, you want to make sure that you can analyze and use that information to provide a positive experience for the potential customer.
Still curious what is considered first party data? Below is a list of commonly known categories that you can collect directly from your consumer:
Demographic info: These contain basic information of the consumer such as age, gender, employment, marital status, or even nationality. Have you ever received a birthday email from a brand? If they have your birthday on record they can use this data to send you a personalized message.
Interests: The products that they commonly use, categories of every product, preferred marketing materials or approach, and desired content. Did you tell a brand that you prefer dogs over cats? They can use this information to send you materials on dogs, and save you from getting information on cats.
Place: This is where your consumers live, work, or travel, which can be used to group each place that can be helpful in gathering information. Brands use this information to provide location specific information like marketing for events. If you live in Miami, hearing about an event in NYC doesn’t really apply to you.
Purchase Activity: Particular items purchased, different activity and history in different platforms, packages purchased, memberships, subscriptions, upsells, prices and availability, length of time a customer has been a customer, and budgets in each category of purchase. This information can help a brand make suggestions of additional products that you may find of interest.
Loyalty program involvement or membership status: This shows the phase of how long consumers have been a member of the program, or the status of the membership.
Discounts and Coupons: These will give you background of who the consumers are and if they use coupons or not, customers who use particular coupons, and especially those customers who are more expected to be engaged in sales, discounts, or coupons!
Social media platforms: Activities and interactions on different parties or platforms will reflect here, and help you know their engagements.
Identifying the most valuable consumers can help brands drive existing customer growth through better sales and marketing experiences. This can also help you focus your efforts on consumers that will bring the most value to your company. With reading this blog, we hope that you get to know how to turn first-party data into something more useful in targeting more potential customers. Enhance your first-party data to gain additional insight on your target audience. And remember, the goal isn't merely to obtain relevant information and sit on it, you have to immerse that information into your interactions to provide personalized positive experiences.