Businesses usually rely on their own internal data to make informed decisions. However, this data analysis often falls short due to missing information, making it difficult to fully leverage. As a result, third-party data is becoming more critical to use. So, what is third-party data? And how can it help businesses? Find the complete discussion in this article.
What Is Third-party Data?
Third-party data refers to information that is collected by companies who are not directly related to consumers. This data can be collected by research companies, data brokers, or government branches, and comes from various sources that are highly diverse.
Third-party data can be obtained from other companies, government entities, non-profit organizations, and so on. Examples of third-party data include information like income, age, education, visited websites, survey results, and more.
This information is highly valuable for businesses looking to expand their reach, discover new audiences or targets, and increase their revenue.
Why is Third-party Data so Important?
Third-party data is essential for businesses as it offers information that cannot be found in internal or first-party data. Here are some reasons why third-party data is so important for business.
Provide additional insights
This data is comprehensive and can track consumer behavior across various platforms or websites, providing businesses with additional insights.
Identify potential consumer
Moreover, third party data helps businesses identify potential consumer prospects and target them in their marketing campaigns. It also allows businesses to target audiences similar to their existing consumer base, thereby expanding their market presence.
Using third party data can also help businesses reduce ambiguity as they can buy information about specific audience segments that are crucial for their business. This eliminates the need for businesses to analyze, organize, or clean data, saving them time and effort.
Enhance audience targeting
Finally, third party data also helps businesses improve audience targeting by creating personalized ads that appeal to potential customers interested in their products or services.
How to Use Third-Party Data for Business Benefit
Third party data is widely used to obtain a comprehensive and deep understanding of customers, which businesses can then use to create precise marketing strategies. Here are some ways in which third party data can help develop a business:
Understanding customers better
Businesses can use third party data as an additional source of information to gain a better understanding of their customers. This can help improve communication and create new opportunities.
Targeting customers from competitors
By combining third party data with social media monitoring tools, businesses can identify and target social media followers of their competitors, as well as their own customers, with suitable messages or campaigns.
Advanced data modeling
Businesses that do not use third party data may miss out on significant growth opportunities. Such opportunities include recognizing and resolving customer identities across various devices, retention models, attribution models, personas, acceptance models, and similar customers.
Enrich your data with Location-Based Data from LOKASI Intelligence
Third-party data includes various types of data, including location-based data. This data often contains information such as demographics, population, age, socio-economic status, and many more.
Businesses can use location-based data to find suitable locations to open stores or branches, tailor marketing strategies, manage risks, improve security, and other needs.
Businesses can obtain this data through LOKASI Intelligence.
LOKASI Intelligence is a big data and geospatial analytics platform equipped with various location-based data that businesses can use to develop their operations.
Learn more about how LOKASI Intelligence can help your business by contacting email: email@example.com or WhatsApp: 087779077750
What is third-party data?
Information collected by third parties, such as research companies, data brokers, and government agencies.
What is a third-party data provider?
A company that offers large data collections that can be shared and purchased by other companies.
Examples of third-party data?
Examples are include income, age, education, visited websites, surveys, and more.