Third party data lets an internet marketing company target a specific audience in ad campaigns. Unlike first party data collected directly by the companies themselves, third-party data is delivered by data provider partners. It includes a wide range of attributes such as interest, purchase intentions and online behaviour. Let’s see the different ways in which third party data can be used to boost online marketing campaigns in terms of their effectiveness.
- How to Use Third-Party Data
Fundamentally, third-party data are those information pieces about online users which include purchase intentions, interests and demography. Through this data, an online marketing company can precisely target the audience group and show them ads. It allows companies to get a list of attributes of the target audience, including age, gender, interest etc. Ads see this group alone, focusing on the niche. So, using third-party data can help in saving the budget, along with customers being able to save time, that could be spent looking for products.
Data providers additionally pay publishers to collect client data from sites. Providers cooperate with different online publishers to receive as much data across the internet as possible. In contrast to first party data, third-party data permits marketers to know which websites on the web are visited by customers. What products were further associated with the brands become clear, so marketers know what customers are going to purchase.
- Boosting CRM Systems
Third-party data is used for targeting the right audience in online campaigns. It also focuses on enriching systems like CRM in companies or developing business intelligence solutions. Through a matching of the customer’s information, firms can fill in gaps in their clients’ profiles. This includes demography and interests. This information helps in creating personalised ads that improve the reach of the internet marketing firm.
Third-party data is readily available on global platforms of data providers. Data warehouses aggregate billions of user profiles from international markets. There’s a huge database where clients in new markets can be found. Data from third parties can also help in customising segments and precisely defining which audience should be the target of the ads.
- Ad Campaigns That Strike a Powerful Chord
With access to the right customer data, one is on the way to a successful campaign. High-quality third-party personal information ensures the ads will be seen by select audiences and given a miss by bots or non-potential customers. Consider that data quality can even be tested through tools like the Nielsen Digital Ad Ratings.
- How Third-Party Data Can Boost Ad Campaigns
Third-party data lets individuals run digital campaigns effectively and is most used in programmatic campaigns. By using this third-party data, personalised ad campaigns can be run. One can also send tailored marketing messages, target audiences with precision and reach out to new segments and meet customer preferences more easily, all because of third-party information.
These activities can help to boost the digital presence, raise sales volumes and provide customers exactly what they are looking for. So, third-party data makes an digital marketing firm gain clarity about profiles and what to expect. This can significantly improve the quality and impact of campaigns executed by the internet marketing company.
- Harnessing the Power of Third-Party Information
For an online marketing company, data is what powers campaigns online. The value of data is growing Y-O-Y and is set to reach more than USD 18 billion towards the close of 2018, according to the Global Data Market Size Report. For running personalised campaigns, one needs effective, high-quality data.
Additionally, third-party data comes from reliable channels and informs how visitors interact with content and products. Also, third-party data is easily accessed. Third-party data is however, is undergoing a change when it comes to regulatory concerns. The General Data Privacy Regulation, set to impact digital marketing in 2019, is complicated.
One of the key features of this regulation is that third party collection tools will require user consent. Companies can create value only by using data and tracking individuals across the net who want to be loyal customers. The digital ecosystem is poised for a change, but companies can now rely on agency networks that don’t aggregate information sans user consent.
Just in 2017, firms spent over USD 10 billion on third-party audience information for marketing and advertising. Third-party personal information remains a vital tool in the marketing arsenal to help an internet marketing company better understand and target their audience. As consumers generate unprecedented amounts of information, leveraging this third-party data is extremely valuable, expanding possibilities with modelling, audience segmentation and personalisation. Use cases for data further expand, providing fertile ground for marketers to further build on first-party data and guide marketing strategies.
- Third-Party Data Adds Value
As more organisations seek to transform data into value addition, third-party data-sharing arrangements are becoming vital. Third-party data further adds values for brands directly exchanging data with select partners in arrangements that are exclusive. For example, for a financial services firm, a digital marketing company needs to rely on third-party data to send pre-approved offers to clients. Third-party data can now even assist in delivering second-party inputs.
For instance, if a credit card company wants to generate more sign-ups for its co-branded cards with retail units, it can purchase transaction details to identify frequent shoppers in retail stores and combine these with first-party data to identify which customers lack the card. This can lead to more effective marketing solutions for these loyal frequent buyers.
- Geo Targeting and Third-Party Data
More consumers now have connected devices with them at different times. Location data, therefore, as become vital in terms of not just value, but acquired massive scale too. Best quality third-party data providers can also integrate with location data providers to offer comprehensive, actionable audience insights. Digital data enhancement makes it easier to append audience data to single, anonymous identifiers and is one means of ensuring the internet marketer can leverage this 3rd party data to boost locational geo-targeting.
Retailers could also work with third-party data providers to append transaction data and location to device IDs to craft a new audience segment of consumers who have purchased from competitors in the past 30 days, for instance. Leveraging location data along with third-party information unlocks the chance for marketers to gain more share and target the right niche.