Marin Software's official blog

Your New Audience Awaits: The Power of Second-Party Data

Maria Breaux
July 15, 2015

Advertisers cite data quality as one of their top concerns in creating complete customer profiles. Many advertisers are still looking for ways to expand the reach and effectiveness of their campaigns with strong, quality data. Being able to effectively synthesize different sources of data is a key step in this process. While first- and third-party data are most common and have their own, unique strengths, second-party data is making a big splash – and quickly becoming the life of the party.

First- and Third-Party Data Aren’t Enough


First-party data is your data, collected from your own audience and customers. It’s unique, cost-effective, and relevant. However, it has scalability issues since – by its very nature – it’s not designed to locate and target additional audiences.

Third-party data is data from an external source, aggregated and sold to advertisers for use in display campaigns and analytics. It has equal-but-opposite issues – it provides a good overall look at a segment or market, but is not unique and less relevant.

Second-party data allows advertisers to bridge the gap between the two.

Second-Party Data to the Rescue


Second-party data is data received from a trusted source that an advertiser has a direct relationship with. Not only is it scalable – unlike first-party data – it’s also more reliable than third-party data. Second-party data allows you to expand audience reach with accurate data from a trusted partner, whereas third-party data is unreliable due to how the audiences are compiled – information can quickly become outdated.

As a modern marketer, you need to use all the tools at your disposal to best reach and target your audience. Using a healthy mix of all three data types can help you optimize your campaigns and reduce costs, while reaching larger portions of your target audience.

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