Daily Marketing Lessons

Zero-Party Vs First-Party Data

In this privacy-focused era consumers are becoming more and more aware about sharing their personal data.

Coined by Nielsen in 2020, the term zero-party data refers to data that customers provide to brands voluntarily and intentionally. Examples include survey data or indicating purchase intent clearly and directly, when a customer willingly tells a brand about their preferences. This kind of data sharing is completely opt-in, and some brands are creating gamified experiences to encourage and make consumers’ sharing of their preferences more enjoyable.

First-party data also involves sharing consumer data willingly, but the focus is on the brand collecting data rather than the customer volunteering it. A few places you might collect this type of data from include: – Website and app analytics – Your CRM – Social media profiles – Subscription-based emails or products – Surveys – Customer feedback

The collection of zero-party data presents a real opportunity for brands to run more effective campaigns by collecting data from the source–all while building trust and transparency with their consumer base. While first-party data provides insight into your audience but doesn’t necessarily build trust between brands and consumers.

Which one should you focus on? Do you have a plan in place to collect zero-party data?