Marketers are beginning to recognize the value of Big Data for programmatic advertising and audience targeting. But exploiting the correct type of data, depending on unique campaign objectives, is one of the most formidable tasks on a digital marketer’s long list of to-dos. Although your target consumers almost always have some form of digital media at their fingertips, the actions they take online only offer a fragmented view of who they are and how likely they are to be a good fit for your product or brand.
Therefore, third-party offline data is the key resource to creating a successful, people-based data marketing strategy.
Here are three reasons marketers should embrace offline profile data as a vital addition to an effective data-driven audience targeting strategy:
- Beat the Competition. For example, an automaker, using only online data, can target a new prospect with digital advertising as the person searches for vehicles. It’s a technique with exciting potential, until you realize all the competing car brands can do the exact same thing using the exact same methods. But if the auto brand also took advantage of offline profile data—the data that tells a marketer all about who the prospect is—to develop a more full-funnel strategy, it would reach prospects before the competition did. Third-party data targets consumers with common characteristics (think purchase history, financial health, geo, etc.) and customers who have already demonstrated a high propensity to buy. When you discover and target those high-value prospects, you reach them before your competition begins to bombard them with ads.
- Get a More Comprehensive View of Your Consumers. For decades marketers have developed CRM databases to power loyalty programs, discover key characteristics for customer segmentation and find more high-value customers. However, these CRM lists are limited in knowledge about your best customers. Stable and accurate offline data can fill in missing pieces of your existing customer data or direct mail lists. Profile data can be appended to your existing offline lists (e.g., lapsed customers, CRM, direct mail prospects) to discover missing contact data. Accurate contact data is critical to enable targeting platforms like Facebook to correctly identify prospects and deliver advertisements. Offline data offers a more comprehensive view of your customer, giving you the opportunity for better, more effective targeting.
- Expand Your Scale. Your first-party data only understands existing customers. A reputable offline data vendor can provide insights about millions of prospects, expanding the scale of your marketing programs. For example, let’s look at a home warranty company who had strong in-market and bottom funnel campaigns in place, but needed to create more demand to meet their goals. By using a sample of their best customers—those who convert at a higher rate—a reputable third-party data vendor with a broad profile database of consumer information can help the company identify new prospects they aren’t reaching today, but who look like their best customers. With traditional targeting methods, scale is often sacrificed. Adding third-party offline data capitalizes on the power of big data, increasing scope and scale of your digital marketing campaigns.
Offline data provides marketing professionals with enormous opportunities to improve the effectiveness, efficiency and accuracy of marketing strategies. Offline data enables and improves your ability to accurately reach high-value prospects across channels and devices. With the right offline data partner, savvy marketers can drive sales and accelerate business growth. If you’re ready to think about how to find an offline data vendor that is a good fit for your business and marketing objectives, read our post: Third-Party Data, Are You Asking the Right Questions?