It is clear to see that marketers will benefit cell phone number database from all of the research and insights they can get their hands on. By utilising first party data, you’ll be accessing information that is provided to you by existing audiences and customers. With this, you can grow your business by improving your marketing in a comprehensive and targeted manner. Data is continually being traded in today’s world. For marketers, this information is like gold, because it means marketing efforts can be improved through better marketing initiatives. Because of this, many businesses rely on first and third party data. Here’s a look at the key differences between the two and why you need to be using both.
What is First Party Data?
First party data is the data you collect directly from your audience. This information can be collected via your website, your social media platforms, customer feedback surveys, subscription services, and your customer relationship management (CRM) system.
First party data is information given to a company by the customer in a consensual manner via landing pages, online forms, website visits etc. When you’re using a CRM platform, this data will include a person's history on your website in detail.
Since this data is collected directly from the source, it is considered highly valuable to marketers, and taken as high-quality since the data is reliably sourced. It is also freely and easily accessible information which is waiting to be tapped into. Businesses should be collecting, managing, and analyzing this data.
With this data, you can gain insights into the actions, behaviors, characteristics, and interests of your existing audiences. This arms marketers with the ability to personalize adverts and communication, re-target customers effectively, and produce marketing campaigns that are relevant and more precise. Additionally, the data allows for accurate predictions to be made, and better relationships to be fostered. With this, your business will increase its ability to satisfy the audience, improve marketing efforts, and increase revenue.
Is there second party data? Yes. This is first party data collected and sold to another business. However, this data is oftentimes limited due to privacy laws and governing bodies that protect customer data. Therefore, many businesses bypass this and instead rely on first and third party data.
What is Third Party Data?
Third party data is information that is collected by a third party and sold to businesses. These businesses are data providers who work with a large amount of data from various sources, and then aggregating them. This data can include personal information, contact details, and historical actions.
The data is divided into categories for different industries, so businesses can approach them for data on certain segments of the market that are relevant to their business.
Third party data is therefore rapidly collected and analyzed on a large scale. Businesses who buy this data accept that it is anonymously supplied in the sense that the original sources remain unknown. It is also not exclusively available, meaning your competitors have the same access to that information if they purchase it as well.
This data is often collected in a number of ways, including declared data (consensually provided information), inferred insights (by studying a particular segment), and observed data (which is collected through tracking). This data can be collected in various ways too, including websites, social media platforms, surveys, and subscriptions. These various sources are then brought together, analyzed, and sold to businesses.
Speak with us at Nexa about your marketing needs - we can help you use your first party data and grow your business the right way.