Since third-party cookies are coming to an end, first-party data will play a vital role in the future strategy of online businesses. It refers to the data or information you will directly get from the customer base. First-party data doesn’t only help protect the consumers’ privacy but also creates personalized experiences for them.
There are many forms of customer data. However, first-party data is built on top of others. It is the most reliable data available at a minimum cost. It also eliminates all privacy concerns by maintaining transparency about where data comes from.
In the past few years, many businesses scrambled because only a few alternatives were available for collecting consumer data. Most, if not all, couldn’t deliver desired results due to the lack of effective strategies for using first-party data. To cope with digital changes, companies need to make the best use of first-party data now. It has a huge potential that most businesses can’t embrace yet.
However, it’s high time to do it now before it gets late.
Why Is First-Party Data Effective?
First-party data is what you have at your fingertips. You own it because you get it directly from consumers, unlike second- or third-party data. It is the most reliable and reasonable consumer data you can use to create user profiles. Likewise, first-party data can help you run advertising campaigns successfully using updated technology across different channels.
First-party data is like having a treasure box of information to help you get the maximum ROI (return on investment). However, you might be worried about where to start it. Thus, we prepared three of the most important steps we believe could help get you out of this huge trouble!
Assess the Foundation
First, you must ask relevant questions from your team, such as the following:
- How are you using first-party data to analyze users’ interests and preferences?
- Where are your customers sharing their information with you directly?
- Have you developed a strategy to use the first-party data effectively?
- How can it help you reach your customers?
You must actively take part in strategizing around first-party data. If you are not already working on it, ask yourself:
- Why not now?
- What it might look like if you start doing this right away?
Such questions can be quite helpful in assessing the foundation. You can then use the available data most appropriately as a resilient solution. Also, send the data from the advertiser’s platform to the conversions API to trigger the strategy. This can further help you develop more authentic connections.
Acknowledge the Importance of Value Exchange
What does the consumer get in return when they share their data or information with you? To be a resilient business, you must consider this most critical aspect. The consumers who share their knowledge with you also expect to receive five important things:
You will soon lose credibility if you don’t give anything back to your consumer. So, you must acknowledge the importance of value exchange and offer something valuable in return for their information.
Execute the Strategy
Executing a strategy includes three steps:
The first thing to consider in the acquisition phase is lead generation. The most effective way to generate leads is through pop-up modals. However, you must do the pop-ups accurately to ensure they serve their purpose. While doing so, remember that you shouldn’t be interrupting or disturbing the user.
Make sure you follow the best practices to give the best user experience to your customers. For instance, you can delay a pop-up while ensuring the user returns easily to what they were browsing. You can also try to engage the audience through emails and loyalty programs. Are you wondering how to get started with it? You can consider an in-platform experience like customizing lead ads that can help you create amazing lead-generating experiences.
“Build” is the next phase of executing a strategy in which you use the data to understand the customer journey. After building user segments, you can move to the next stage of activating them to reconnect with the audience. You can also start using your strategy across multiple channels like paid media, emails, SMS, and more. As a marketer, it is also your job to honor your customer’s expectations.
So, make sure that your strategy aligns with the privacy guidelines. It must also offer user control to keep the customers satisfied. It is suggested to get in touch with your legal team to support the check and balance.
Since the digital world is continuously evolving, marketers must know how to deliver the right content to consumers at the right time and place. They must have an insight into what consumers are interested in buying, and that is only possible through collecting data and information regarding them.
However, first-party data is the only effective way of data collection now, so marketers must develop and execute a strong first-party data strategy to ensure that they are not lagging behind their competitors. Likewise, marketers must have resilient marketing solutions to maintain peace and progress. They can also get their hands on all the useful tools and tips to make their strategy successful and keep their customers happy in-store and online!
Tabinda has been writing since forever, and it seems that her educational background in Economics, politics, management sciences, and psychology has given her an incredibly deep and comprehensive approach when it comes to display ads and PPC.