Analysing first and third party data in your next advertising campaign
The collection of data has many advantages for branded companies. By using both First Party Data and Third Party Data, a brand can target specific audiences and therefore create truly effective advertising campaigns. Analysing both first and third party data is essential for use in your next advertising campaign and using both types of data can result in sales, brand awareness and more customers.
What you need to know about First Party Data
- First party data is the information collected by the brand itself about their customers.
- As it is the brand’s own data, it can be regarded as inexpensive than having to buy third party party data
- Allows you to advertise isolate your existing consumers (first party data) and only advertise to new audiences instead of the same audience repeatedly, ie running the campaign to non first data customers.
- First data is valuable to you as an advertiser, as it is your own unique data.
- As the owner of First party you know how it was acquired and how old it is.
What you need to know about Third Party Data
- Data from third party companies are collected in different ways from different places such as other advertisers or networks.
- You have no idea as to the source of the Third Party Data was sourced from.
- Considered very expensive.
- Third party data helps you reach a much wider audience, which when used alongside an advertising campaign can help advertisers reach different and more targeted audience groups.
More differences between first and third party data
One major difference between first party data vs. third party data is the price. First Party data is simply cheaper for the advertiser because it is collected by the brand itself. Third party data on the other hand is notoriously expensive and yet is also known to add great value to advertising campaigns. Instead of reaching out to the same consumers, third party data allows you to target wider branches of potential audiences.
Another factor which differentiates first party data vs. third party data is the methods of data collection. Where first party data can be collected through a company’s website via a server belonging to the site owner, third party data can purchased on Private Ad Exchanges (see the Gourmet Ads Private Ad Exchange). An ad exchange is where advertisers can purchase data and inventory on an online bidding platform.
Gourmet Ads provides a real time bidding platform for advertisers to purchase relevant and useful inventory which will aid their ad campaigns. Becoming an exchange buyer means buying in new data so that you can present your product to new customers and also collect relevant data for your brand.
First party data vs. Third party data is predominantly about deciding which the best type of data for your campaign. Although first party data is cheaper than third party, using different market research firms to collect data on behalf of your brand is important in integrating brand solutions and creating efficient ad campaigns. This is the year for digital media growth, analysing first and third party data is crucial and buying impressions specific to your brand is sure to gain popularity in the coming months.