First-party data is data collected directly from customers by a business, such as website tracking and customer surveys. This data type is considered the most valuable and trustworthy, as it is collected directly from the source. However, collecting and utilising first-party data can be a complex and time-consuming process, and it’s essential for businesses to follow best practices to ensure that the data is accurate, complete, and valuable.
One of the critical best practices for collecting first-party data is to use website tracking tools, such as Google Analytics. These tools allow businesses to track customer behaviour on their website, such as page views, bounce rate, and conversion rate. This information can be used to identify patterns, trends, and insights that can inform business decisions and marketing strategies.
Another best practice is to use customer surveys. Surveys can gather information about customer preferences, satisfaction, and loyalty. This information can be used to improve the customer experience and inform business decisions and marketing strategies.
It’s important to remember that collecting first-party data also means being transparent with customers about what data is being collected, how it will be used, and who will have access to it. Businesses should also allow customers to opt out of data collection and have their data deleted upon request.
Another vital aspect to consider is the upcoming cookie deprecation; browser vendors like Safari, Firefox, and Chrome have announced plans to phase out third-party cookies, significantly impacting how businesses collect and utilise data. This means that organisations must find new ways to track user behaviour and conversions. This could be done through first-party cookies, browser storage, or server side tracking. XPON’s Global Director for Cloud and Martech, an Ex-Googler, Ash Rane, adds, “With the right tools and approach, organisations can build more meaningful relationships with their customers, while ensuring ensuring compliance with privacy regulations.”
In summary, businesses that want to collect and utilise first-party data should use website tracking tools like Google Analytics and customer surveys. They should also be transparent with customers about what data is being collected, how it will be used, and who will have access to it. Additionally, businesses should prepare themselves for the upcoming cookie deprecation by finding alternative ways to track user behaviour and track conversions. By following these best practices, companies can ensure that the first-party data they collect is accurate, complete, and useful.