First-Party Data: What Is It and How to Utilize It
First-Party Data. Third-Party Data. We’ve all heard these phrases, but what exactly are the differences and more importantly, what do we do and how can we use both types?
First, let’s start with the definitions:
Third-Party Data: Data that is captured and/or bought via another website/source/company (hence the term “third party”). Examples of 3rd Party websites for dealers include: TrueCar, Edmunds, Autotrader, CarGurus, just to name a few. If a customer navigates to your website from Autotrader, any trail they leave (think cookies) is third party data.
First-Party Data: YOUR data. You own it. You collected this via a few different ways, whether it be a lead form on your website or selling or servicing a customer at your dealership. YOU gathered this data and own it. Your DMS and CRM are the main places where your 1st party data can be found.
While both first- and third-party data are valuable, we are going to focus on first-party data.
With the cookieless world looming and privacy changes already in place with iOS, first-party data becomes even more relevant. By focusing on your DMS and CRM data, you can create opportunities for your own marketing and advertising strategies. It also goes without saying that your data is only as good as you make it. Ever hear the phrase, “garbage in, garbage out”? If you have old, outdated data in your DMS or CRM and you are not cleansing this before using it for your advertising strategies, you might as well be lighting thousands of dollars on fire.
If you’ve purchased or leased a vehicle recently, chances are you’ve received some sort of communication around selling your vehicle back to the dealership or trading in your (now old) model for the shiny, newest model with better features. I can’t tell you how many direct mail flyers I’ve received over the years showing me the awesome deal I can get by trading in my 2015 Silverado. Funny thing is, my 2015 Silverado is long gone, and I’ve since purchased 2 vehicles from the same dealership. This is not the best consumer experience. Talk about the importance of having clean and accurate data!
Once you cleanse your old data, segment your CRM/DMS Data into lists and use these lists to target specific audiences:
- Lease Pull Ahead
- Equity Mining
- Service Specials
- Holiday Offers
For more information on first-party data checkout our First-Party Data Party webinar. Need help using your first party data to target shoppers on social media or email marketing? Sincro can help. Contact us at firstname.lastname@example.org for more information.
Brad Somervell, Agency Solutions Engineer
Brad has a background in Account Management, Client Relations, and Sales. He is extremely passionate about building exceptional client relationships that foster advocacy, growth, and retention. He also loves data and enjoys walking clients through their results and metrics and helping clients exceed their targets and goals!