Data is everywhere - we have created more than 2.5 exabytes (exabytes) of data every day, the researchers predict that by 2025 there will be 163 bytes Ze (zettabytes) data. In addition, there are many kinds of data related to the enterprises. We have a first-party, third party, and even now there is a second party of the data. How do you understand and distinguish it?
A first party vs. the second party vs. third-party data difference?
1. What is the first-party data?
First party data is data to collect directly from enterprises the audience (including customers, website visitors and social media followers). "First party" refers to a collection of data for one hand repositioning. In short, first-party data is a collection of consumer information companies themselves - in other words, "owned." For example, a company may have stored in its consumer online CRM system, first-party data. Such data may include demographic information (name, Lianshi way, e-mail address, etc.), purchase history, interactive website (only from company website) and so on. The benefits of first-party data is that it is for the company's existing customers, marketer can create a highly personalized experience on these own data.
When it comes to redirect, first-party data is the best, because the data directly from your audience and customers, generally considered the most valuable. It is not only the most valuable, but you can get for free, making it cost-effective. It is also relatively easy to collect and manage, especially if you use data management platform. Privacy concerns surrounding the first-party data is minimal, because you know exactly where it came from, but as a marketer, you absolutely have it. This allows data when predicting future trends and predict behavior as reliable as possible. It can consist of the following data:
• through your website, application, product behavior or data taken action
Data • CRM system
• from your social media information
• data from your e-mail subscription or product
• Survey data
• Customer feedback data
The first party data is king. First party control of data should be a priority for any current company, these companies hope to profit, learn and use these valuable assets to expand the audience, to deepen contacts with consumers, and improve ROI in marketing efforts.
In addition to first-party data, you may also be familiar with the term "second party data" or even "third-party data."
2. Second party data:
The second party did not collect data is your own first-party data - in other words, the data you are using second-hand. Second party data will come in a credible partner to share, if beneficial to both businesses, these partners will reach an agreement to share insights on the audience. For example, if the software company and agency partners to resell its products, the software company may share their first-party data with the agent, agency partners will act as the second party data, to lock and attract new customers.
Second party data similar to the first-party data, but it comes from a source other than your own audience. It may include the same data from many sources, such as:
• Activities Website
• the use of mobile applications
• social media
• Customer survey
Although compared with first-party and third-party data, the second party data is a relatively new concept, but if you find the right set of data, it can be very useful, and therefore worthy of study.
How to get the second party data: For the second party data, you need to have its companies to buy directly from them. You need to find a company whose data, build relationships with them and negotiate deals. Buyer and seller must advance type, price, how to get and any other terms of sale agreement. The seller may provide specific data points to other businesses, the audience or hierarchy.
3. Third-party data:
Third-party data that you purchased from an external data source, rather than the original acquisition of the data. Instead, you can purchase it from large data aggregators, these data aggregator extract data from it to generate a variety of other platforms and websites. These aggregators pay the cost of first-party publishers and other data to the data owner. Then, the polymerization is collected into a large data set, and as a third-party data sell. Many different companies sell such data, and these data can be accessed through a number of different ways.
After consolidate this data providers based on industry, audience behavior and interests as well as demographic characteristics (such as age and gender) these data categories. Then, each category is subdivided into specific sections, and then select a specific part of their buyers want to buy from the buyer there. Name and contents of third-party data segments are vendor-specific, so you need to understand what you are buying and where it came from, and can provide power for your event.
Third-party data is often collected and integrated with business transactions in order to help them build an audience insight, in order to establish an effective AD and redirection policy, but because it is not collected from actual customers, but to provide to competitors, so how useful it actually is also open to question.
Second and third-party data is a very important part of the data management platform. But better use of your time and resources to gather data first put on your own site visitors and customers, and develop strategies to help you get better results. So, here we will focus on how companies should collect, build and use first-party data? Because it is built on a solid foundation of marketing strategy with consumer-centric.
Second, how to collect first-party data?
First-party data by adding an element to your site, products, or social media profile to collect, gather information about the elements of behavior and action, and recorded in your CRM or the CDP. When visitors click on your site or Login to see your product, participate in social media posts or fill out the questionnaire, these data can be collected by the company. If you have a CRM, you can use it to collect data from different sources into one place. Once you have all the information in the system, you can manage together, activation analysis and information in order to fully understand your customers.
Third, how to use first-party data?
First party data for its quality and high value. Because you collect directly from the source directly from your audience, you know that it is accurate, it is relevant to know your business. Another benefit is that the first party data, privacy concerns surrounding it kept to a minimum, because you know exactly where it came from. Due to high-quality first-party data, in particular the marketer to know how to use first-party data.
1. The prediction model for the future
The accuracy and relevance of the first set of data enables you to confidently predict future patterns, such as audience behavior. For example, if you are a marketer, and your data shows that a particular user visits a page about buying basketball shoes, and a pair placed in their shopping cart, then you can infer their future might buy basketball shoe. Conversely, if your audience rarely click on a banner AD, but often involved in video AD, you know they prefer video AD, and in the future will continue to like them. These insights allow you to choose more attractive to AD audience.
2. gain insights audience
Even if your audience is relatively small, first-party data also can give you valuable insights. You can analyze your data, identify common characteristics of your customers have and use the audience optimizer build the initial audience, to include new customers also have these features. You can expand your audience, improve your insight, develop your business.
3. personalized content and AD
You can also use the content data to the first party or AD display personalized to a specific user. The data you collect from site visitors will make you a better understanding of their interests and needs, allowing you to provide personalized content for them. For example, you have a promotional video about a variety of topics, we would like to share with potential customers, as part of an inbound marketing strategy. By looking at the user in the past viewed data content, you can determine the user's interests, and sends video about science, sports, music, fashion, nature, health, or any field they are interested in them.
Fourth, how to effectively use first-party data?
For a first party data through AD, cultivation and sale repositioning audience. It is also used to understand an ideal or optimum customer what to learn more about how to reach new audiences, and how to turn off those who in the future might become familiar with your customers your brand or website or social media in visitors. The following five methods may take advantage of the first party data.
1. Determine exactly what information is important
Often the trouble is this: marketer there are many (potentially useless) information. To address this problem, marketer must as soon as possible the decision to collect, organize and analyze what data to meet future strategic marketing and business objectives.
Before considering how to collect the data must first consider first-party channels you may need to start personalizing marketing communications, such as Email. This collection of consumer names and their Email address has become a starting point, then you can build first-party data set from there.
2. Clean and structure your data
Email cleaned list of beneficial Email marketing staff. The same is true for other consumer data (for example, customer name, phone number, address, number of purchases, site visits, email, clicks, etc.). Is more important than clean - structure your data, which will be for marketing, sales and service team is a huge gospel.
According to the US Securities and Exchange Commission saying, "structured data is the data and the computer can recognize and accessible standardized data." PCMag.com said, adding that the structured data "can be recognized immediately in an electronic file, such as (field) structured in rows (records) and columns of a relational database. "(PCMag.com is a critical review of the latest technology leaders to help make better sales charge purchase decisions)
In short, structured data means that data through the organization, in order to marketing and other teams to easily access, understand and use it.
3. Determine who has access privileges of first-party data
Protecting consumer data is a big responsibility, everyone is usually not in the enterprise can open this privilege. Manage access to data is not only a privacy issue (think GDPR "General Data Protection Regulation"), but it is also a smart business practice.
4. Find the data overlap between the first party and the point of contact with the consumer
As we mentioned earlier, first-party data is only part of the data in the maze, but you can still use it to lay the foundation for meaningful consumer journey. For example, your existing e-mail subscribers, for example. When you send e-mail to them and see how they click on something, you can start using these user behavior information to build their personal portrait. These interactive information e-mail can be used to send personalized content to consumers or to provide specific product discounts.
5. Use first-party data expand your audience
If you are a smart data collectors, you might know your audience and their preferences from your data. Although you can send a message to them 1-on-1, such as personalized e-mail, but you can also use the existing first-party data used to extend the target consumer.
For example, you can use the consumer information collected to create a similar audiences on Facebook, this feature can help you find a similar audience on Facebook. Now, you can run a targeted Facebook campaigns, put your ad in a wider context, this is just an example application, you can also expand the audience on more media based on first-party data.
First-party data is only the beginning of your journey. Once you have established a foundation to provide personalized information, you can begin to build a second party and third-party data, to get more consumers and businesses to strengthen interaction channels than ever before.
To learn more, visit the official website Yihai software http://www.frensworkz.com/