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To drive optimal CX, businesses must leverage data strategies, first-party data

by Teddy Cambosa

-

January 24, 2022

First-Party Data

Singapore – As the future of cookie-based customer engagement is slowly crumbling, businesses must learn how to leverage their own data strategies, including the implementation of first-party data use to optimise their customer experience, the latest survey from outcome-based marketing organisation Epsilon shows.

According to the global survey, over 60% of surveyed brands suffer from incomplete customer profiles relating to gaps in first-party data held on customers, while only 17% of surveyed brands have advanced first-party data strategies that give a holistic, near complete view of their customers. In addition, about 24% of respondents have data that is fragmented and siloed by channel or business function, disabling their ability to adapt to changes in customer behaviour quickly.

Patrick Sim, senior VP of APAC and MEA at Epsilon, said, “The decay of cookie technology is now forcing many brands to alter their strategies to meet changing customer expectations. Moving forward, CX practitioners and marketers should conduct frequent assessments of their data management and customer engagement strategies to deliver loyalty-winning customer experiences and boost customer lifetime values.”

The survey also noted that over 40% of those surveyed are in the early stages of rolling out first party data capture strategies, indicating a shift in identity data management. In terms of considering the effects of cookie deprecation, 61% of respondents plan to alter their engagement strategies. In selecting a solution provider and identity resolution partner to assist in managing customer identity data more effectively, accuracy (77%) and compliance (68%) emerged as the most desired traits, beating cost (2%).

Sim added, “Campaigns run on third-party platforms rarely provide customer intelligence to companies, and this lack of intelligence in the system leads to a vicious cycle of continued dependency on these platforms. The solution is to invest in owned platforms and software for customer engagement, allowing for relevant, timely and compelling communication.” 

He further noted, “Businesses need to prioritize gaining an understanding of their data footprint and enhancing their data strategies, which must include capturing and leveraging first-party data to drive optimal customer experiences.”

Related Tags Data Survey Global First-Party Data Epsilon Cookies Deprecation
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