If your client is questioning the need to shift from third-party data and cookies to a first-party data strategy, you should explain that first-party data is information collected directly from their consumers with consent, and due to regulatory and technology changes, first-party data provides a durable foundation that allows them to maximize their campaign performance.
- First-party data allows you to completely bypass data privacy regulations in all regions. Because this data is collected from users directly by you, there are no legal restrictions on how you can use it for advertising.
- With first-party data, you can improve your advertising performance by showing more relevant ads to your users and gain revenue by selling your user information to other companies.
- First-party data is information you collect directly from your consumer with consent. With regulatory and technology changes, first-party data is the durable foundation that allows you to maximize your campaign performance.
- Although third-party cookies provide the most durable solution for measuring conversions, adding your first-party data can help you to enrich your campaigns and deliver more relevant ads to your consumers.
The correct answer is: First-party data is information you collect directly from your consumer with consent. With regulatory and technology changes, first-party data is the durable foundation that allows you to maximize your campaign performance
Explanation: First-party data is information collected directly from your consumers with their consent (e.g., website behavior, purchases, email sign-ups). With increasing privacy regulations (like GDPR, CCPA, and upcoming changes like the deprecation of third-party cookies in Chrome), relying solely on third-party data is becoming unsustainable and less effective. First-party data provides a durable, privacy-compliant foundation for understanding your customers. This directly collected, high-quality data allows for more accurate targeting, personalized experiences, and better measurement, ultimately maximizing campaign performance and ensuring long-term marketing effectiveness even as the digital landscape shifts.
Reference Link: Power Your Ad Privacy Strategy with First-Party Data – Google Ads: https://business.google.com/aunz/privacy/strategy/
This page explicitly states: “In a world without third-party cookies and individual identifiers, first-party data and machine learning will support a successful digital marketing strategy. First-party data is information customers have consented to provide, like an email address or phone number that your business directly collects and owns.” It highlights its value in creating a competitive advantage, enhancing audience strategy, informing business decisions, and fueling machine learning.