The evolution of Big Data has transformed business practices and customer expectations. Despite advancements, companies still struggle to harness big data effectively for marketing and customer management. Significant improvements have been made, but vast opportunities remain. Companies have long ago embraced the One-to-One Marketing principles by Don Peppers and Martha Rodgers, but the challenge of executing these principles at scale persists. Many firms have invested in People-Based Marketing (PBM) technology, believing it would resolve marketing challenges and drive revenue. However, the expected financial gains haven’t materialized. Just look at the frustration marketers are having with the implementation of new CDPs, recognizing website visitors, or matching ads served on new CTV platforms.
At the heart of this is a breakdown in the scale and accuracy of a customer identification approach that is persistent across channels. Brands have lost visibility and control over their marketing effectiveness and customer interactions. In many ways the result has been that marketers have shifted away from a data-driven PBM approach to marketing to either a more triggered moment-based approach that traditional third-party cookies support, or a segment-based approach through programmatic display ads. Results are measured more by activity than ROI.
So, what are marketers to do? The solution involves refocusing on customers, controlling your customer data, and implementing an effective identity solution.
Three critical steps are needed:
1. Prioritize Accuracy: Ensure data and identification accuracy to meet customer expectations and enable effective performance evaluation. With the roll out of AI driven tools, this becomes even more important as connecting the wrong data will more easily drive the wrong execution and teach AI the wrong lesson.
2. Control First-Party Data: Maintain control over your customer audiences and data, rather than relying on agencies and platforms that sit between you and your customer, charging for a harder to measure customer interaction.
3. Assess the Impact of each Data Driven Decision: Evaluate and prioritize marketing investments based on their impact on profitability, considering risk tolerance and the importance of each decision. Pragmatism pays when the connection to profit is murky.
Adopting a strong identification strategy is crucial for improving accuracy and connecting investments to sales and responses.
10 Common Identity Use Cases: Which one matters most to you?
As we continue to engage the market, we see that success comes more often to those that have a clear connection between their investment in identity and the revenue opportunity they are solving for. Which one resonates the most with you? Have some fun and rank order these 10 and let us know. We would love to share the results in our next ideal insights.
- Abandon cart/site visit follow up cross channel
Reason:Enhances timeliness and consistency of customer engagement across multiple touchpoints, increasing chances of conversion.
- First-party data monetization
Reason: Unlocks valuable data assets, especially on anonymous site visitors for revenue generation, directly or indirectly.
- Ad revenue optimization and performance tracking
Reason: Direct impact on advertising revenue efficiency and effectiveness based on response or engagement feedback.
- Increase scale of audiences being matched into digital/social media channels
Reason: Expands the reach and precision of targeted marketing campaigns by connecting more of your identified audiences into these platforms.
- Omnichannel response tracking/ measurement
Reason: Ensures consistent and accurate measurement of marketing efforts across different channels by connecting responses to campaigns regardless of touchpoint. Don’t rely simply on the last known touchpoint.
- Customer data enhancement
Reason: Improves the quality and accuracy of customer data for better targeting, analysis and personalization.
- Lead monetization
Reason: Converts potential leads into revenue, either directly or as monetization opportunity with partners/ clients.
- Reduce cost of data duplication and latency
Reason: CDPs are limited in their ability to reduce data duplication and speed up customer analytics without a strong identity solution.
- Improve effectiveness of clean rooms
Reason: Enhances data privacy while improving data matching accuracy through a persistent yet anonymous identity pin.
- Eliminate the onboarder – Direct match into media platforms
Reason: Streamlines data processes and eliminates the onboarder “tax.”
The House Energy and Commerce Committee’s Innovation, Data, and Commerce Subcommittee advanced by voice votes the American Privacy Right Act and the Kids Online Safety Act to the full Committee for consideration. Bloomberg, MediaPost, Meritalk, CyberScoop, andLaw360 covered the markup. The Main Street Privacy Coalition and the Computer & Communications Industry Association (CCIA) opposed the legislation.
Prior to the hearing, MediaPost reported on revisions to the bill to address concerns raised by advertisers. ANA’s Chris Oswald said that the organization was still reviewing the revised draft, but was “pleased that some of the revised language appears to reflect the importance of advertising in driving economic growth and funding a vast array of popular digital services.”
ANA, IAB, and other business groups sent a letter to subcommittee leadership that opposed the draft APRA released for the markup. “The bill’s overly broad definition and regulation of ‘covered algorithms’ would help enrich the trial bar and place online delivery, automated hotel check-in, and emerging AI technology in jeopardy because of the threat of plaintiffs’ attorneys suing legitimate businesses for having only an automated feature on their apps,” the groups wrote.
The U.S. Chamber of Commerce was joined by a number of state and local chambers in voicing concerns about the APRA ahead of the subcommittee markup. “The approach of APRA would ultimately threaten programs and services consumers value and enjoy, like loyalty programs at restaurants, retail stores, supermarkets, and hotels, online delivery and transportation services, and advertising and marketing tools small businesses and startups can use to compete with larger, more established companies,” the groups wrote.
The Connected Commerce Council held a virtual press conference prior to the markup where a small group of business owners shared their concerns about APRA. Bryan Totson, who co-owns Kraken Creative and the Paper St. Coffee Co. said, “Digital tools are the only thing that we have to kind of get their name out there, communicate with their audience, let them know what’s going on, what’s new and get the attention that they need to actually compete in the market.”
Bloomberg noted concerns about the inclusion of language from COPPA 2.0 in the revised discussion draft of APRA.
If you want to learn more about Adstra in person, here are few upcoming events that Adstra will be attending. Feel free to reach out to us and we would be happy to meet with you. You can always reach us at connect@adstradata.com
Relax. The Multi-ID Landscape is Already Here
By Lance Brothers – Chief Revenue Officer– Adstra
Mapping the Multi-ID Landscape – A Glossary
Building off of Lance’s article and to help get everyone on the same page in this new Multi-Id marketing world, we here at Adstra thought it would be helpful to put together a glossary of terminology and a map of how it all fits together – a simpler alternative to complicated industry maps like the LUMAscape. A must have for anyone who is getting started in the industry.
Why data collaboration has become a travel marketing imperative
Arianna Prochak – Sales Director, Adstra
Why the line between digital advertising and direct mail are blurring
Tom Fleming – Senior Vice President of Acquisition, Adstra
