Analysis of Third Party Data is vital in linking a brand with consumer
Where First Party Data is the data you collect about your own customers and target consumers usually through your own assets such as website, Third Party Data is the generic information that other firms collect.
Third Party Data is collected and then retailed for advertisers to use by a range of companies such as BlueKai or Eyeota. Third Party Data collectors come in different forms such as platforms, networks, ad exchanges and other advertisers, each with their own methods of collecting data and categories them into their own taxonomy. These collectors or sometimes referred to as Data Exchanges can then sell you (the advertiser) the amount of data that you need to pair with your advertising campaign to ensure you target the right audience.
The use of Third Party Data can be vital in establishing a link with your potential consumer. However there are two downside of using Third Party Data.
a) Third Party Data is infamous for being expensive for what it is, compared to First Paty Data, however for some advertisers, the model of using Third Party Data with ad campaigns is highly effective.
b) Third Party Data is used by multiple buyers and thus may not give you the competitive edge the advertiser is after, compared to first party data.
c) Third Party Data tends to expire and is not always that “fresh”
Third Party Data always has greater reach than First Party Data
There are of course some positives. Advertisers are often forced to use Third Party Data because their First Party Data is not always enough. ie it doesnt have the reach required. Data collected by your own website or marketing programs might be able to target your current consumers, but third party data can help you reach consumers from other locations on the internet.
With this information you can then personalize or “tailor-make” your ads to fit the demographic you are targeting. A combination of using First and Third Party Data is every advertiser’s dream – it is a collection of lots of different types of information about your consumers, leading to a more established brand which ultimately converts to more revenue.
Gourmet Ads Private Ad Exchange allows advertisers to use Third Party Data when media buying to target consumers.