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How brands can build a sustainable first-party data strategy Share via

When third-party cookie tracking ceases to exist in the advertising and marketing world, brands will have to depend a lot on the first-party data that they have accumulated over the year to reach out to customers in the future. Unfortunately, as we stand today, most brands have not worked seriously to build this customer data set as they were too dependent on third-party cookie tracking. But as the clock is ticking and new data privacy and security regulations are coming to the fore, companies are scrambling to get their house in order and looking out for ways to strengthen their own data. And just building scalable first-party data is not the only concern for many organizations, but how they do it in a sustainable manner is also what keeps them on their toes. Here are some points that every marketer should be aware of while they embark on either building their first-party data or looking to beef it up.

Define your objectives
Before a brand starts collecting the first-party data, they need to clearly understand the objective they want to achieve by strengthening their data repository. Likewise, marketers should be aligned on what they want to provide their customers by collecting their data. For example, are they looking to offer an omnichannel experience to their shoppers or create highly personalized campaigns for them? Is the brand planning to target the users who have abandoned their shopping cart, or do they want to understand their consumers’ shopping habits and behavior? Working towards a clear objective will go a long way in determining an organization’s success by collecting first-party data. Clear goals will also help the business understand what data is essential for the company and what is nice to have.

Make the process transparent

According to various studies, most consumers have said that they are concerned about the safety of their data when sharing it online, while a large chunk of consumers made it clear that they would stop buying from a brand if they think their data is not appropriately handled. So, it becomes crucial for brand marketers to make the consumer understand the value they are providing by collecting their data and communicating proactively about how they plan to use the collected data and handle them according to the regulations. Therefore,  creating a transparent communication strategy will encourage more shoppers to share their data to receive a better customer experience. Brands should also clearly mention on their website the need to collect data and how they can withdraw the permission anytime without any hassle.

Responsible Data Governance

You have convinced your customers to share their data which will help you to reach out to them efficiently in the future. But this is only the half work done. As a brand to whom the consumers have entrusted their data, it is your responsibility to store that data adequately and ensure they are not prone to phishing attacks. Responsible data governance is vital, as any lapse in data security on your part will highly diminish the credibility of your brand and may leave you with class-action lawsuits. By appropriately managing customer data and enabling mechanisms to safeguard those against cyberattacks, brands can defend against security breaches and improve data accuracy to serve customers much better.

Invest in technology

There have been instances where the organization had access to a sufficient amount of first-party data to help the business grow, but they could not use it to its potential, in the process wasting opportunities to create lasting customer relations. To get the maximum insights out of the first-party data, organizations should invest sufficiently in getting the right people and technology onboard that can help to derive the best results. Not all establishments may have access to an in-house team of experts who can understand the nuances of the collected data and how to implement that information in the company’s marketing strategies. Collaborating with a trusted technology partner who can help the brands fill any gap they have in their systems will certainly help achieve the goals and objectives. But both the internal and external systems will have to work in tandem to achieve the desired results.

 Leverage multiple channels

Just relying on Google and Facebook to reach out to your customers and collect first-party data should not be the only focus of the marketers. Although these channels see massive traffic and generate substantial leads for the brands, they should be mindful there are many other websites that the shoppers visit, and there should be a strategy to tap those customers where they are present. Exploring other paid media options can help the brands get users to their sites and may part with the information marketers are looking for future retargeting and remarketing.

While considering all these steps to create a sustainable first-party data strategy, brand marketers should also be forthcoming into measuring the impact of all the initiatives they have taken to strengthen their understanding of the shopper. Measuring their data strategy’s effectiveness will help them optimize their overall marketing strategy. On top of it, marketers should use the first-party data responsibly and take all measures to keep the customer data safe.

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