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What is Second Party Data ?

Second Party Data is the type of data collected and stored about customers, and it’s commonly used for marketing and advertising purposes. Unlike First Party Data which is owned and used by the business collecting and storing it, Second Party Data defines data that is 1st Party Data from a different source.

Second Party Data is typically bought directly from a company that owns it, and it consists of data such as: behavioral data and social media data. It comes from sources typical for First Party Data: websites, social media, surveys and apps. Second Party Data can be used to improve insight and increase the scale of a business’ own data. It’s also useful for companies who want to reach new customers they haven’t had previous access to, and increase their market share.

In order to acquire Second Party Data, marketers and advertisers can’t rely on intermediaries. It’s necessary to directly contact the companies who possess the needed and relevant Second Party Data. There are marketplaces for buying Second Party Data that facilitate such connections.

While First Party Data is the most valuable for marketers, advertisers and business owners, Second Party Data allows them to predict new customers’ behavior, reducing the amount of time needed to get the return on their advertising investment.

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