Advertisers right to focus on customer data - But it's not going to be a "cookie cutter" approach

Much of the conversation around the cookieless future to date has focussed on the alternative mechanisms of establishing identity and what these alternatives facilitate with respects to data collection, retention, resolution and activation. But as we edge ever closer to a world without easily-accessible digital audience data, I believe we should be equally focussed on the type of data we will increasingly rely upon in a cookieless world.

One of the most significant shifts in philosophy ushered in by the cookieless future is the move from digital “unknown” audience data to “known” customer data. The former traditionally uses cookies and other digital IDs, and is focussed on behavioural data powering insights and activation opportunities around high intent audiences. The latter, typically uses an email address or other forms of personally identifiable information, submitted through an authentication process when a person becomes a customer, and is used generally for retention, upsell, and ongoing customer engagement.

The challenge in migrating to a so-called cookieless world, is not simply that we need to?wean ourselves off the 3rd party cookie as a form of identification, it’s that we are often talking about customer data replacing audience data like-for-like in respects to our targeting and personalisation strategies, despite fundamental differences in the two data types

When it comes to digital audience data, most advertisers will focus on lower funnel tactics like retargeting, leveraging the high intent signals that 1st party audience data typically captures to proactively retarget and personalise media in the final stages of the purchase process. These are often incredibly well performing and efficient targeting strategies.

But when we look at customer data on the other hand, this in many cases does not demonstrate an intent to purchase, and often demonstrates the exact opposite. That a purchase has taken place and the customer’s immediate need is met. Indeed one of the most common use cases for customer data in media activation over the years has been exclusion of these users from targeting to prevent waste.

Customer data is very different to audience data and this has to be part of the consideration when looking at how we go on to leverage customer data moving forwards, as in most cases it will not be able to seamlessly fit into the gap left by audience targeting. That isn't to say that customer data isn't incredibly powerful, and won't generate huge value in driving digital targeting and personalisation strategies, specifically in high repeat-purchase categories, and where cross-sell and upsell is a major factor in business growth.

So advertisers are right to focus on customer data - but should be warned...it's not going to be a "cookie cutter" approach