Due to new restriction, Third-party cookies are being phased out (on chrome browsers) or made optional (on apple phones). This is going to make it difficult for digital marketers to track customer activity online.
Because of these new changes, there is now an emphasis on first -party data over third party. With that in mind , let’s take a look at how the difference types of data differ.
What is first-party data?
First party data is the information you collect directly from your audience or customers. Key data includes::
Data from behaviors, actions or interests demonstrated across your website(s) or app(s)
Data you have in your CRM
What is third-party?
THird-party data is purchased from data providers. You can find these providers through DSPs, DMPs and public data exchanges like the Lotame Data Exchange (LDX).
When purchasing third-party data, markertes have to be aware of some common variations.
- Declared data: Information that a user provides on a platfrom through avenues such as an online form
- Inferred data: Insights about non-demographic data, such as interests and preferences gleaned from a user’s online activity
- Observed data: Accurate data gathered by tracking a user’s online activity, such as the pages they visit.
There are also various kinds of audiences:
- Observed audience: These users took a specific action, such as purchasing a particular product or visiting a certain website.
- Modeled audience: Data providers create the audience by finding users with similar characteristics to an observed audience. You can use these similarities to predict future behaviors.