In Digital World, the Marketers’ thirst for data never ends. Data is the growth driver of Modern Days Enterprise model. So, Businesses will continue to use data. The Data-driven Marketing campaigns eased the most complex business processes, improved the critical points of productivity in aligning with business objectives. In the initial days, it was tough to handle big amounts of Data. However, the Data Management Platform (DMP) eased the entire process like a pro in handling data with agility, security, activity, and integrity.
Read on to know more on Business Data & necessity of DMP for efficient Marketing Campaigns.
Data is everywhere. According to reports, over 90% of the data creation took place in the past few years & an average of 2.5 quintillions of data is getting added every day.
For Marketing Campaigns, especially for the Data-driven ones; Data defines the core campaign performance, with clicks, conversions, ROI, and others.
However, each business has different data needs. A Marketer generally requires three types of Business Data for the Marketing Campaigns:
First-Party Data
The most cost-effective and reliable data. This data gets gathered directly to the official Business Databases from ethical sources and Business accounts. It refers to a brand’s data typically:
- Stored in CRM’s: basic info like name, contact details, gender, and other details
- Subscriber info: magazine or newspaper, youtube channel subscribers.
- Social data: holds data received through social media platforms.
- Behavioral data: user activities across apps and websites
1st party data is pure as it comes directly from the customers. The data taken from the First-party data source is of high quality.
The big brands aptly use 1st party data to scale the number of loyal customers. Besides, these brands use this data as a turn to up user activity and ROI on marketing.
Second-Party Data
The 2nd party data is another party’s first-party data. The second party data partner may be a company, or data owner or others.
The vast brands view this data as highly trusted and relevant. Because the source of 2nd party data usually comes from a partner’s 1st party data.
The second party data owner may either partner with these brands in terms of mutual data share or sell the data to it.
The 2nd party data builds trust and associate with the brand partner.
Big brands prolifically use 2nd party data and grow business potential.
The 2nd party data is not all about using data. It is about a brand making trusted links and extending business.
So, leading brands partner with a credible 2nd party data owner and progress jointly.
Another type of data used by brands is 3rd party data.
Third-Party Data
The third-party data contains data gathered from various websites and multiple platforms. This data gets segmented at a granular level as per the type of industries.
The 3rd party data is open to a brand in a classified form. The data providers usually gather data from many first-party data owners. Then, sell it to the brands for marketing purposes.
Even big brands buy data from data aggregators or data providers.
Brands choose the required data from the 3rd party — the type of data used based on the industry, audience interests, and actions.
The 3rd party data holds minute details such as gender, age, location, and other information.
Third-party data is public. So any brand can access it on buying.
However, 3rd party data expand a brand’s audience and raises the reach.
The big brands unite third-party data with 1st party data to make the data more robust. The discussed types of data correlate to each other.
WHY MARKETING CAMPAIGNS NEED A DMP?
Because, a Data Management Platform (DMP) can unify all the first-party, second-party and third-party data besides gathering, organizing, monitoring and activating the audience data from multiple sources. The data gets collected across online, websites, offline, mobile apps, and beyond. DMP can turn data-driven marketing campaigns productive with unique insights on their target audience.
Furthermore, DMP’s data collection includes the info on users’ actions on the Business sites, the new customer data and other data from third-party sources. All this data must be organized in segments and used for campaigns. Later the data segments get analyzed based on the insights to understand the ad campaign’s effectivity and engagement levels.
For running a successful campaign; the audience data needs to get segmented based on the insights, conversion rates, CTR and other metrics of the previous campaign. These metrics give a complete picture of potential buyers, along with their preferences, interests, actions, and behaviors. Sounds great! Isn’t it?
However, the only challenge in this entire process is the collection of right information as the campaigns need quality data. That’s where a Marketer needs the proper technological assistance for data collection, management, and activation. DMP gathers all the raw data from multiple sources, but this data needs to get structured into segments. The data must be in a usable and marketable format.
More, the accuracy of data is not guaranteed if a Marketer adds third-party data to an existing audience for a wider reach. In this case, it’s always wise to buy data from premium marketplaces as they have ethically sourced first-party or second-party data. Alternatively, these platforms may have highly refined third-party data segments as well.
These days, due to reliability and accuracy, many Marketers got attracted to using Audience Extension platforms. These platforms support a Marketer to find the audience similar to their top-rated potential customers through lookalike modeling. Doing so, a Marketer can add high-quality audience and improve the engagement levels of campaigns as all these audiences have the same characteristics.
All the data-driven campaign operations get streamlined with a DMP. On using high-quality data, a Marketer understands the preferred channels of each audience segment and group them based on their previous engagement levels. There comes the personalization, digital channel integration on a DMP to reach the customer with right ads at an apt moment on the channel they’re more active.
Here, DMP is allowing a campaign to reach a wider audience-base than ever before but with more efficiency.
The most crucial reasons for the necessity of a DMP in a business campaign include:
Invaluable Information beyond Data:
DMP collects data from an official business website, app, and other sources, along with outside sources, like social media networks, CRMs, transactional data and more. Here, a DMP optimizes every customer and categorizes the audience data into segments. A Marketer gets a complete overview of customer preferences, behaviors, habits, and interests from multiple screens and several devices to non-digital channels. All this info gets tracked using cookie IDs, channel integration, and history of previous transactions, ad campaigns. The analytical tool within DMP analyses all the data points and helping a campaign in the creation of audience segments with customization, audience profiling. Hence, DMP turns an invaluable asset for all the publishers, businesses, marketers and ad agencies for setting up high-quality campaigns with more info.
Creation of Meaningful Audience Segments:
The combination of first-party and third-party data, with offline CRM data, can give clarity on social network engagements, website clicks. The Audience segments built using this info leads to the creation of new and personalized data segments. The info from these marketing channels can deep-root digital advertising and rise the campaign performance to the next level. With the combination of first-party data with insights received from third-parties, a Marketer can get a better understanding of the audience data and can create more audience segments using DMP with data refinement, revaluation after a campaign.
Though the business has audience data enough for campaigns, the quality of data is more crucial. Customers’ mindsets keep changing with the latest trends, desires, needs, and others. A Marketer should always understand the customer expectations, preferences with a follow-up on their buyer patterns. DMP is a one-stop solution for such marketers as the attributes make a marketer more knowledgeable. Besides, a Marketer can build more ideal audience segments by grouping the data into categories based on the engagement levels on multiple channels, psychographic and demographic insights.
These attribute collection of a DMP can help in tailoring the content, media for ads based on the audience interests, engagements, clicks and conversion rates.
Another best option for scaling the audience using DMP is building lookalike audiences. Here, the exploration of a similar audience group starts based on the highly converted audience data. In this context, platforms like AudiencePlay assisted Marketers with Audience Extension Do-It-Yourself panels, i.e. with comfortable lookalike modeling support.
Lookalike modeling can scale the business data and make the data more meaningful. With an improved quality of data:
- a publisher can get more ad proposals, or
- an advertiser can run more efficient campaigns or
- a Marketer can monetize this audience data to other data buyers on premium marketplaces & get paid besides gaining more insights.
Collection of quality data or refining the existing data using insights can achieve the sure-fire success of a Business Campaign using DMP.
Personalization & Precise Targeting in every sphere of the campaign:
After the creation of audience segments based on the browsing behaviors and buyer patterns, a Marketer got all the necessary info. Using these patterns, behaviors it’s easier to plan, run a lucrative ad campaign successfully with integrated tracking, targeting of all the digital channels. The first-party business data gives info on who received the ad or responded to ads again and again. Using DMP’s precise info on data; future campaigns can get more reshaped and planned with improved personalization and persistence.
Furthermore, third-party data gives more insights into the audiences’ habits, actions taken on the official website. Besides, their session duration or bounce rate info provides info on what kind of content held that audience back or grabbed their attention considerably. Based on this info, a Marketer can create content accordingly or give recommendations based on their interests and improve the engagement level with personalization.
Hence, DMP can improve campaigns’ efficiency with predictive behavioral patterns, and an excellent understanding of the audience expectations. So, with DMP, a Marketer can deliver personalized promotional materials as per the audience interests, by reorganizing segments as per preferences, habits. The usage of analytical info given by DMP for implementing strategies can improve campaigns’ performance with higher engagement levels, ROI, and conversion rates.
Strategic Collaboration & Usage of AdTech and MarTech Platforms:
Usage of highly portable DMP can make it easy to export or import data of several Demand-side Platforms (DSP) via integration of metrics, analytical and verification platforms. The data turns more agile where a Marketer can easily import data from anywhere, including sources like:
- CRM,
- data exchange & extension platforms,
- mobile apps,
- websites and
- Offline sources through data onboarding.
In this process, data takes more usable form with agility and become readily available for campaigns.
The data integration also benefits a Marketer with additional audience data besides improving revenues through higher ad space bids from DSPs. DMP can establish direct communication with DSPs through programmatic advertising for strategic ad buys.
Hence, the collaboration of the technologies with DMP can enable a Marketer to use data & get more info to get a thorough understanding of the audience. The self and other advertisers ad campaigns turn more productive on using the info on the audience.
Data-driven Ad Campaigns for a new audience:
DMP is the most powerful tool in the exploration and acquisition of new customers through campaigns. The ultimate goal of any business is to reach the audience across the globe. DMP can build audience profiles of existing data and acquire more audience with the creation of lookalike profiles. The retargeting campaigns can bring back all these.
Thus, Marketers can expand audience-base and reflect their brand value among new audience using DMP’s audience-centric, data-driven ad campaigns.
Conclusion
The Data Management Platform (DMP) can set right the entire business performance graph at the top. The data-driven campaigns turn inexhaustibly profitable with multiplied revenues through various revenue generation opportunities. The usage of DMP’s insights on the audience can make ad campaigns deliver more personalized ads to customers on their preferred channel at the right moment. Hence, DMP can improve overall campaign performance through a rise in sales, useful insights and wider-reach. Go with DMP, for an outstanding campaign performance ever.
