{"id":39643,"date":"2021-12-02T10:00:00","date_gmt":"2021-12-02T15:00:00","guid":{"rendered":"https:\/\/www.litmus.com\/?p=39643"},"modified":"2024-10-17T10:33:49","modified_gmt":"2024-10-17T14:33:49","slug":"four-types-of-data","status":"publish","type":"post","link":"https:\/\/www.litmus.com\/blog\/four-types-of-data","title":{"rendered":"Defining the 4 Types of Data and Knowing When to Use Them"},"content":{"rendered":"\n\n\t<div id=\"simple-text-block-block_a2d1b34b861b30c428380ca2c375b45d\" class=\"block-simple-text-block alignfull \" style=\"background-color:\">\n  <div class=\"container\">\n  \t<div class=\"row\">\n  \t\t<div class=\"col\">\n  \t\t\t<div class=\"copy\">\n  \t\t\t\t<p>When you click send on your email campaign, your goal is pretty straightforward. You want your message to get to the right inbox, be opened, and have some specific action taken. While none of this is a simple task, it is important to take a step back before focusing on the end goal of getting the recipient to convert.<\/p>\n<p>As digital marketing becomes increasingly reliant on data, email is no exception. However, determining what types of data to utilize and when can be a more complex process. For email marketers, it\u2019s important to understand the data you have accessible and know how and when to use it most effectively.<\/p>\n<p>We have outlined the four types of data and what each can mean for your email strategy.<\/p>\n<ul>\n<li aria-level=\"1\"><a rel=\"noopener\" href=\"#zero-party\">Zero-party data<\/a><\/li>\n<li aria-level=\"1\"><a rel=\"noopener\" href=\"#first-party\">First-party data<\/a><\/li>\n<li aria-level=\"1\"><a rel=\"noopener\" href=\"#second-party\">Second-party data<\/a><\/li>\n<li aria-level=\"1\"><a rel=\"noopener\" href=\"#third-party\">Third-party data<\/a><\/li>\n<\/ul>\n<h2 id=\"zero-party\">Zero-party data<\/h2>\n<div class=\"cta\">\n<table style=\"background-color: #f2f3f6; height: 168px;\" width=\"569\">\n<tbody>\n<tr>\n<td class=\"block-1\" style=\"padding: 20px 10px 20px 20px;\">\n<p class=\"zero\"><strong>Zero-party data<\/strong><\/p>\n<p class=\"zero\">Individual-level data explicitly given to you directly from your audience<\/p>\n<\/td>\n<td class=\"block-2\" style=\"padding: 20px 20px 20px 10px;\"><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>&nbsp;<\/p>\n<\/div>\n<p>Gaining customer insights is always helpful for successful marketing. However, what better way to collect necessary details to improve your reach and messaging than by doing the obvious, asking your audience directly? When you ask them to intentionally share their personal preferences, purchase intentions, and other helpful information, they feel valued and that\u2019s good for business.<\/p>\n<p>By utilizing zero-party data, you\u2019re not only allowing recipients to have an interactive experience but you\u2019re also creating brand trust that encourages further participation with the understanding that you\u2019ll use it appropriately. After all, <a rel=\"noopener\" target=\"_blank\" href=\"https:\/\/www.salesforce.com\/resources\/articles\/customer-expectations\/\" target=\"_blank\" rel=\"noopener\">your brand experience is now considered to be as important as your products and service<\/a> so this process is a win-win.<\/p>\n<p>What makes zero-party data imperative is you can\u2019t infer, buy, or collect it elsewhere, making it exclusive to your business to leverage. Better yet, it doesn\u2019t have to be complicated. In fact, most people will gladly provide more information about themselves if they believe it will benefit them. This can be as simple as inquiring about specific shopping habits, inquiring more about product selection(s), communication preferences, or asking direct questions with the information you are seeking.<\/p>\n<h2 id=\"first-party\">First-party data<\/h2>\n<div class=\"cta\">\n<table style=\"background-color: #f2f3f6;\">\n<tbody>\n<tr>\n<td class=\"block-1\" style=\"padding: 20px 20px 20px 20px;\">\n<p class=\"zero\"><strong>First-party data<\/strong><\/p>\n<p class=\"zero\">Individual-level data collected from your audience on your own channels<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>&nbsp;<\/p>\n<\/div>\n<p>You are likely already collecting some key first-party data, such as names, email addresses and demographic information that you can utilize. Methods such as encouraging users to create an account, rather than just supplying an email, or tracking website behavior, and account activity like purchase history can help you develop customer profiles to provide more personalized experiences. In fact, many companies have access to more useful first-party data than they might initially think\u2014it just requires some extra attention and being able to connect the dots across data points.<\/p>\n<p>Better understanding how users prefer to transact and engage with your brand can be invaluable information. The collection of first-party data allows you to identify ideal customer profiles and set the stage for better segmentation, targeting, and <a rel=\"noopener\" href=\"https:\/\/www.litmus.com\/blog\/what-is-lifecycle-marketing\" rel=\"noopener\" target=\"_blank\">lifecycle marketing<\/a> strategies. By taking a full inventory of the data you already have, you can consider how this information can be used more extensively, including <a rel=\"noopener\" href=\"https:\/\/www.litmus.com\/blog\/contextual-targeting-vs-behavioral-targeting\" rel=\"noopener\" target=\"_blank\">behavioral targeting<\/a>.<\/p>\n<p>As <a rel=\"noopener\" href=\"https:\/\/www.litmus.com\/blog\/predictions-for-the-future-of-email-marketing-why-its-time-to-embrace-stricter-privacy-laws\/\" target=\"_blank\" rel=\"noopener\">data privacy continues to be a priority<\/a>, people are more inclined to provide more information with only those businesses they trust to secure and use it properly. It\u2019s important to be transparent about your data collection intentions and security early and often.<\/p>\n<h2 id=\"second-party\">Second-party data<\/h2>\n<div class=\"cta\">\n<table style=\"background-color: #f2f3f6;\">\n<tbody>\n<tr>\n<td class=\"block-1\" style=\"padding: 20px 20px 20px 20px;\">\n<p class=\"zero\"><strong>Second-party data<\/strong><\/p>\n<p class=\"zero\">Individual-level data acquired from a trusted partner, aka someone else\u2019s first-party data<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>&nbsp;<\/p>\n<\/div>\n<p>Second-party data is all about collaboration. It\u2019s data a user has willingly shared with a trusted company or publisher that you have permission to access and use. That being said, it has an increased element of accuracy and as a partner, you are accountable for using it wisely.<\/p>\n<p>Obtaining these details can take a variety of forms. Methods such as co-marketing efforts, customer reviews on products and services, or loyalty programs outside of your own are just a few examples. With third-party data on its way out, second-party data is a reliable addition to your database. It also provides additional scale for audience expansion and engagement that can greatly help your campaign strategies.<\/p>\n<h2 id=\"third-party\">Third-party data<\/h2>\n<div class=\"cta\">\n<table style=\"background-color: #f2f3f6;\">\n<tbody>\n<tr>\n<td class=\"block-1\" style=\"padding: 20px 20px 20px 20px;\">\n<p class=\"zero\"><strong>Third-party data<\/strong><\/p>\n<p class=\"zero\">Aggregate data collected from one or more sources<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>&nbsp;<\/p>\n<\/div>\n<p>If you\u2019re using third-party data, you should start considering expanding your resources\u2014and in a hurry. As the <a rel=\"noopener\" href=\"https:\/\/www.litmus.com\/blog\/this-is-not-a-drill-the-loss-of-third-party-cookies-is-bigger-than-gdpr-and-ccpa\/\" target=\"_blank\" rel=\"noopener\">death of the cookie looms<\/a>, it\u2019s important to start focusing your efforts on the data points listed above.<\/p>\n<p>However, third-party data does have its benefits. While it\u2019s still accessible, it allows you to reach new audiences and shoppers to increase your subscriber list. On the flip side, there can be questions around data integrity\u2014mainly in that consumers are not aware you have been given access to their information and could be unhappy that you\u2019re reaching out. It\u2019s a fine line but if done properly, it has its advantages.<\/p>\n<p>Third-party data can include a multitude of data collection points such as consumer visits and browsing activity via cookie, survey responses from outside sources, or behaviors and activities tracked outside of your organization. It\u2019s typically collected from a variety of places and then aggregated by a third-party data provider into a more comprehensive format that includes audience profiles.<\/p>\n<h2>Next steps<\/h2>\n<p>With the changing digital landscape, data will continue to be a marketer\u2019s friend. However, using the right data can make or break the <a rel=\"noopener\" href=\"https:\/\/www.litmus.com\/blog\/measure-email-marketing-success\" rel=\"noopener\" target=\"_blank\">email marketing success<\/a> of your campaign. Before you hit send, be sure to carefully assess you\u2019ve chosen the right audience to meet your desired outcome.<\/p>\n<p>&nbsp;<\/p>\n<div class=\"cta\">\n<table style=\"background-color: #f2f3f6;\">\n<tbody>\n<tr>\n<td class=\"block-1\" style=\"padding: 20px 10px 20px 20px;\"><img decoding=\"async\" class=\"alignnone size-full wp-image-43741\" src=\"https:\/\/www.litmus.com\/wp-content\/uploads\/2022\/02\/litmus-personalize-content-automation@2x.png\" alt=\"Photo of Litmus Personalize\" width=\"1380\" height=\"724\" \/><\/td>\n<td class=\"block-2\" style=\"padding: 20px 20px 20px 10px;\">\n<p class=\"zero\"><strong>Create individualized email experiences at scale<\/strong><\/p>\n<p class=\"zero\">Get powerful results with uniquely personalized, engaging email experiences that boost customer loyalty and drive revenue with Litmus Personalize, powered by Kickdynamic.<\/p>\n<p class=\"zero\"><a class=\"btn medium orange button\" rel=\"noopener\" href=\"https:\/\/www.litmus.com\/email-personalization\/\" target=\"_blank\" rel=\"noopener noreferrer\">Learn more<\/a><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n  \t\t\t<\/div>\n  \t\t<\/div>\n  \t<\/div>\n  <\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Learn the basics about the four types of data and how to use them effectively in your email campaign strategy.<\/p>\n","protected":false},"author":25,"featured_media":39644,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"tags":[],"blog_category":[53],"class_list":["post-39643","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","blog_category-tips-resources"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.5 (Yoast SEO v27.7) - 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