American Marketer

Marketing

Marketers’ access to data is being seriously impeded

February 10, 2020

Facebook's future: All locked up? Image credit: Facebook Facebook's future: All locked up? Image credit: Facebook

 

By Tina Moffett

Marketers use a wealth of consumer data for digital media buying, audience insights, targeting, measurement and personalization.

Unfortunately, this data dependency has put them in a precarious situation: The once abundant pool of consumer data is drying up thanks to privacy regulations, browser protections and walled gardens’ unwillingness to share data outside their ecosystems.

Marketers’ access to data is being impeded as:

Browsers block third-party cookies in the name of user privacy. Major browsers have taken consumer privacy into their own hands — Firefox, Brave, Edge, and Safari already block third-party cookies by default, and Google’s latest announcement of phasing out third-party cookies has caused a wave of concern among marketers.

Marketers and ad-tech vendors are both investigating how to adjust targeting, measurement and planning strategies to reduce reliance on third-party cookies.

Privacy regulations let consumers control how data is used. Privacy regulations give consumers more control over their data.

Californians and Europeans have the right to request that a company delete their personal information under the CCPA and GDPR, respectively.

Consumers can now remove themselves from your marketing lists if they no longer want to interact with you, so marketers must rethink their audience-driven marketing strategies.

Walled gardens limit data access and extraction. Facebook, Google and other walled gardens restrict an advertiser’s ability to access and extract data, which limits the advertiser’s insights into media performance and audience creation for digital advertising, targeting and personalization.

Marketers are adjusting to data limitations by leveraging walled-garden “clean rooms” for measurement, insights and targeting, which returns data at an abstracted, rather than user, level.

Also, marketers must adjust their processes to the rapidly changing data landscape to avoid hefty fines — or, worse, alienating consumers through careless data use.

For starters, we recommend the following:

If you are working with a digital attribution provider that uses third-party cookies, ask how they are responding to the deprecation of the third-party cookie.

Ask for their product roadmap to determine if they are developing an approach to cookie-less measurement.

If you use a data management platform (DMP), look for an alternative source of data within the provider’s ecosystem, such as second-party data, that does not leverage third-party cookies for data collection.

If you want to activate DMP-based audiences, ensure that your buying platform vendors have also thought their way out of a cookie black hole.

And start testing contextual advertising to determine its impact on your advertising ROI.

Find partners that have measurement and data access certification with walled gardens.

For example, a handful of measurement vendors have a marketing mix measurement certification with Facebook, which grants them access to granular performance data that they can leverage in their measurement models.

Boost your brand’s clout and media spend with the walled gardens as a negotiating lever for access to data for measurement and insights.

This is an evolving issue — the complexity and the potential solutions are changing, too.

Tina Moffett is senior analyst at Forrester Research Tina Moffett is senior analyst at Forrester Research

Tina Moffett is senior analyst at Forrester Research, Cambridge, MA. Also contributing: David Novitzky; Joanna O'Connell, vice president and principal analyst; Fatemeh Khatibloo, vice president and principal analyst; and Steph Liu, analyst. Published with permission from Forrester Research.