What is Second-Party Retargeting, and Why You Should Be Doing It?
Published: July 7, 2014
Author: Anita Avram
Time and time again, we’ve heard that advertisers are tapping out on Search or PPC channels. So how can advertisers get access to fresh new leads? How can advertisers get new customers at cost-effective prices?
As advertisers, you are typically limited to your own website visitors, a.k.a. 1st-party data. First-party data is information an advertiser collects about their prospects or customers that can be used in online marketing campaigns. It’s your data and it probably came from your website, your CRM, or social channels. Using 1st-party data for retargeting campaigns is a great building block but won’t give you access to a brand new audience and new leads. Advertisers could get access to fresh eyeballs through 2nd-party and 3rd-party data. Second party data is information that a partner or source has collected and directly shared with you. Third-party data is anonymized information that you purchase from a data provider to run marketing campaigns.
Today, we’ll focus on why advertisers should use 2nd-party data in their retargeting efforts. Though 2nd-party data is the new kid in town, don’t rule it out for the prom royalty race just yet. Advertisers could buy valuable data from a data management provider, DMP, a publisher, or another direct source. This 2nd -party data gives advertisers a brand new audience to target and serve their ads to an audience that is more likely to be relevant and complementary to advertisers’ existing 1st-party marketing campaigns.
Let’s say Company A is a personal injury law firm and Company B is a physical therapist. If the law firm could access the physical therapist’s website visitors, it could get access to a valuable pool of prospects who are looking at both physical therapists and personal injury lawyers. Company A and B are not directly competing with each other but rather engaging in a beneficial exchange of data that could lead them both to new customers.
To get started with 2nd -party retargeting, advertisers should consider tools like Perfect Audience Connect. Connect is a retargeting marketplace where you can team up with other companies to retarget each other’s website data in a safe, secure, and non-competitive way.
How It Works
Advertisers copy a pixel on their websites and create a profile. Once an advertiser has gathered an audience of at least 1,000 visitors, they are eligible to send Connect requests to other advertisers. Other advertisers must accept Connect requests to get access to their partner’s retargeting lists. Advertisers would then retarget their partner’s lists when running Facebook Exchange campaigns and could serve Facebook right-hand side or News Feed ads to new audiences. Once you connect to new companies, you can retarget each other’s shared connections as a way to get more customers.
Second-party data can be valuable for various types of companies. Advertisers should consider their relationships with existing partners or explore working with other businesses to get access to a fresh audience. Retargeting each other’s website visitors can lead to new customers and new sales.