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Wednesday, March 5, 2025
The aftermath of the February 28th retail boycott
Tuesday, April 27, 2021
The Value of Zero: Accuracy and Trust
Conventional marketing wisdom has always been that the more you know about your customer, the more effectively you can target them. For that reason, marketers have always been trying to get their hand on as much data as possible, relying not just on their own first-party data but even paying for second-party and third-party data.
To clarify terms, here’s a rundown on the differences in data sources.
First-party data
First-party data is what a business receives directly from a customer typically as a result of purchases, subscriptions, or points of contact. It can be the result of what a customer actively fills in on a form or passively shares as a result of cookies that the customer accepts by using the brand’s site or the tracking that comes through use of an app.
While a complete record of information given by a customer is valuable, for businesses that haven’t had much time to gain a complete history, it may not suffice to inform truly tailored experiences. That’s why businesses will pay for access to additional information through second and even third parties.
Second-party data
Second-party data is first-party data acquired by another company that is then sold to a business that wants more information about its customer base. Drawing on the more thorough information can fill in more of the customer picture, but it’s still limited to what a single business has been able to gather on the customers, which is why some will pay a broker for data.
Third-party data
Third-party data is different from first and second party in that it draws on multiple sources of data that a separate company puts together into a single dataset to be sold to those in the market for that kind of customer information. Typically, the company in the business of delivering data will purchase first party data from a number of companies to create these data packages for others to buy through the data exchange marketplace.
Data drawbacks
While going from one to three increases your data resources, it’s not without its drawbacks. As anyone can buy third party data, what a business buys is not unique to it. As a result, it is very likely that all businesses competing for the same customers are working off the same data set.
Also since the establishment of GDPR in Europe and CCPA in California, marketers have had to respect consumer-set boundaries for the collection, use, and sale of their data.
The rise of such legislation has shed more light on privacy issues that has created pressure for platforms to stop enabling data collection without users’ knowledge. That is the story behind Google’s resolution to phase out third-party cookies and Apple’s new iOS setup for informed consent on apps.
The new frameworks don’t only curtail marketers from using data obtained from outside sources. They can even limit some first-party data that businesses have obtained without informed consent by tracking consumer behavior with cookies, pixels, or cross-device identification (XDID).
That is why a couple of years ago, we started hearing about zero-party data or ZPD. The term has been credited to Forrester, which presented it in Predictions 2019: B2C Marketing Report.
This approach has gained momentum over the past couple of years. AW360 predicts that a quarter of CMOs will be looking to implement ZPD in 2021.
The zero-party solution
As both zero-party data and first-party data take in information directly from the customer, there is some overlap between the two. The crucial difference between them is that zero-party data only includes what a customer knowingly and willingly shares.
That means that customers are in full control of the information they share with the business. They are willing to give their data if they feel they can trust the brand and are getting something of value in return.
Read more in Zero to Hero: Providing Personalization & Privacy
Friday, April 16, 2021
Today's targeted marketing is powered by data and automation
Marketing is always more effective when it is more targeted. As a result of integrating data and algorithms, marketers are able to now deliver a personalized customer experience at scale.
There are various ways to target specific customers, and approaches range from lumping customers into very broadly defined categories to getting a lot more fine-tuned about the segments and responsive to individual customer behavior .In collaboration with Google, Deloitte put out a Digital transformation through data: a guide for retailers to drive value with data that took a closer look at these gradations.
It ranked them as follows:
Limited segmentation: All users are analyzed in broad segments.
Basic segmentation: Uses standard characteristics (e.g., gender, geography) for segmentation.
Detailed segmentation: Segments are based on personal and behavior
Dynamic segmentation: The UX / UI can respond to a customer’s in-session behavior as he or she exhibits different segment characteristics.
Achieving the detailed level depends on much more data than the static kind that is used for basic segmentation, and advancing to the dynamic level requires a level of automation that will enable recommendations and responses to go out in real-time.
The coming AI revolution in retail and consumer products invoked the women’s clothing store, Avenue Stores LLC as an example of dynamic segmentation. It explained that it brings together “data across multiple touchpoints, including in-store activities and market trend analysis, to learn and reason about what customers want and when they want it.” On that basis it can reach out to customers with communication tailored to their situation in real-time, which makes it possible to capture their attention while in “‘shopping mode.”
Marketing for loyalty
Being in touch with your customers to let them know you’re there for them without pressuring them to buy can pay off in winning their loyalty and business later. In this case, your automated messaging doesn’t have to respond to segment your audience, as you would be working off a general form of communication.
When you don’t have history
But what if you do need to sell your products now? Marketing recommendations can work even on the more basic level, not just for new customers for whom you have no history to flesh out a profile but for the type of marketing communication that depends on general trends. For example, a very broad segment of all people in the United States can work for promotions tied to events shared by all due to the calendar, whether it’s Mother’s Day, Memorial Day, July 4th, etc.
You don’t need to know much about your customer other than that they’ll know what these days are because they are on their calendars due to living in the United States for the trending algorithm to work well. That makes using this approach ideal for customers for whom you don’t have first-party data.
It doesn’t matter so much what they are normally interested in or what they’ve bought before when you’re sending out a marketing message about buying their mother something before May 10. However, if you do have information about the customer, say you know they’ve ordered flowers for their mother last year, then you can combine the trending recommendation with what you know about their behavior.
Read more in
Advanced Segmentation and Automation Are Changing the Marketing GameThursday, October 15, 2020
Pick a Pumpkin for Perfectly Personalized October Marketing
Pick a Pumpkin for Perfectly Personalized October Marketing
by Ariella Brown
We in the 2020s, and it's time for marketers to take a more inclusive approach for their messaging this season. Not everyone celebrates Halloween, and even those who do are likely to be scaling it back this year.
Halloween is a major occasion for sales in a normal year as close to 70% of Americans, according to Statista, celebrate. Ever think about the 30% that don’t?
This is a good year to take them into consideration.
A combination of outright restrictions and individual choices are taking parades, traditional trick-or-treating and big bashes off the table for October 31. Consequently, even people who normally do shell out the NRF’s estimated average of $86 and change for the day are expected to spend less this year, reports Market Watch.
But that doesn’t mean that October is a bust for marketing. On the contrary, there are opportunities to effectively target customers by understanding what this point in the calendar means to them.
That means identifying what kind of pumpkin resonates with your customer: Is it a jack-o’-lantern, an ordinary gourd, or pumpkin spice flavor?
Jack-o’-lantern marketing
https://p0.pikrepo.com/preview/471/304/jack-o-lantern-on-brown-surface-thumbnail.jpg
These customers are the prime target for straight-up, over-the-top Halloween marketing. Even among them, though, there are still distinct segments, and marketing should be targeted accordingly.
You have your customers who think of it as a celebration centered around children and who want the products and imagery to reflect that. Think cartoon-style ghosts and witches to go with your classic or plastic jack-o’-lantern.
For those at a different stage of life, Halloween may be about adult parties where alcohol is served and where the spookiness rating goes from G to R. Imagery for that is more realistic and possibly more risque.
How to know which witch to go with for your messaging? Segment your communication.
Plain pumpkin marketing
The picture above is from the Bed Bath & Beyond site. The classic harvest setup is the one that was chosen for the cover of the catalogue it sent me with the “let’s get this fall rolling” emblazoned on it.
The decor is about celebrating Fall rather than Halloween, though even that can come with different vibes, according to one’s particular taste. It makes sense for Bed Bath & Beyond to target the plain pumpkin type of customers because they make up the general Fall market.
That market is far-reaching, extending from food to fashion, cosmetics to decor, even blankets needed for cooler nights. Bed Bath & Beyond carries items from all of those categories.
For those who want a particular date to which to tie their purchases, this year there is 10/10. As Bloomberg reported, the designated shopping day is inspired by China’s Singles’ Day, which sparks record levels of shopping every year on 11/11.
This new October shopping event is the brainchild of Deborah Weinswig, a retail consultant. She told Bloomberg that she has been pressing for it for years, though this year retailers finally embraced it in the hopes of starting December shopping earlier to make sure inventory and delivery can keep up with demand.
Pumpkin spice marketing mystique
For some, ordinary pumpkins just don’t cut it. But pumpkin spice is another matter, particularly the latte associated with the flavor that owns the acronym, PSL.
The pumpkin spice mystique is not just about the flavor; it’s about building a connection with customers based on anticipation and engagement. Starbucks does it brilliantly.
Beginning in August, Starbucks kicks up the buzz as speculation about when the first one of the new season will be poured builds. Starbucks deliberately switches the date of release each year to maintain the mystery and increase anticipation.
Even brands that don’t sell anything associated with pumpkin spice directly can apply this marketing approach. When you want to build up to the launch of a new product, a special event, or even a return of a seasonal item, you can let your customers know to look out for it and build their excitement.
A similar approach can work for just about any retailer who can deliver the right message to connect with customers. It’s all about finding what they will find relevant to them and segmenting accordingly.
This season, the marketers that show they really know their customers are the ones who will deliver the inclusive and on target communication. They know that one pumpkin does not fit all.
Tuesday, August 18, 2020
Why you need a little Christmas in your marketing earlier this year
Among the many shifts in shopper behavior thriggered by the global pandemic is that of thinking about the December holidays as early as April. Marketing insights from Pinterest and Facebook were already published in June, so businesses can start to gear up earlier than usual.
Dreaming of the holidays under lockdown
In June, Pinterest put out its guide to marketing with the apt title, Earlier Than Ever Holiday 2020. While pinners always show earlier holiday activity than the public at large, this year, they were thinking of Christmas as early as April.
Pinterest reports that its search volume on terms like “Christmas gift ideas,” “holiday recipes,” “Christmas,” “holidays,” and “Christmas decor” were 70% higher in April 2020 than for April 2019. Clearly this past April was different from those of other years.
By then a fair amount of us were told to stay home to stay safe under lockdown conditions with no clear end in sight. Feeling both bleak and bored at home, it’s no wonder that people felt they could use a little Christmas right this very minute.
Cue up the song from Mame:
“As the coronavirus pandemic grips us with anxiety and fear, we should all follow Mame's lead and light up the night with holiday lights and lighthearted music.” That’s the comment from April 2020 on the video.
From dreaming to planning and shopping
One major difference to note between the two guides, though is this: While Facebook does draw on some data from 2020 to account for the pandemic’s impact, it primarily draws its holiday trends from 2019, in contrast to Pinterest’s focus on 2020 for holiday searches.
Read more in
Holiday Season Arrives Early for Data-Driven Marketing
Wednesday, June 19, 2019
Data quality check
3 Tips for Achieving Customer Data Quality
Friday, May 3, 2019
Banking on Data
from https://encrypted-tbn0.gstatic.com/images?q=tbn:ANd9GcRH-kmEjZvyctZ4TTM3CN_1H5Ex0Bdn0ME02k820JZ8Wryp_Y6o |
Data You Can Bank On
Wednesday, January 23, 2019
Wearables Pose Security Risks
Demonstrated Hacks
Saturday, January 12, 2019
Extracting marketing value from data
As businesses strive to become more data-driven, the challenge lies not amassing data for
data's sale, but in getting the right data.
Tapping Data for Marketing Insights
Tuesday, August 7, 2018
A different lookalike strategy to fit GDPR
Redefining Lookalike Strategies For GDPR Compliance
Wednesday, June 6, 2018
The Personal Touch in Marketing
Monday, May 21, 2018
Everybody lies with visualizations
While we can all fall for it, we can immunize ourselves to some extent with vitamin C.
Back in 2016, I identified three key C's in a Baseline article, Data Visualization: You Must 'C' It to Believe It: Context, Correlatin, and Causation.
Context: This includes contextual information for the graphs, which sometimes indicates that the results visualized represent outliers rather than typical results. Getting the context also requires getting the baseline for the survey, including timelines, locations, and the population size and type used to get the numbers.In revisiting an argument offering data visualization as proof, I've come to add some additional C tests:
As data visualization tools include ways to slice and dice your data, it is not all that difficult to zero in on just the segment that yields the results you want. So you need to know the larger context, as well as any added-in points that are outside that particular context.
Correlation: This is the supposed strongpoint of visualizations: showing up correlations. But they are easily manipulated and misleading, as there are many correlations of time that are not necessarily causally connected—though visualizations can make them appear that they are.
Causation: This is what real insight is all about: finding out what causes what. There is no substitute for thinking this through, no matter how seductive it may be to simply go with the correlations presented by the visualization.
- Correspondence to reality. Just because someone claims expertise doesn't mean they are completely correct about their assertions. For example, when I was in labor with my first baby, the doctors and nurses at the hospital just dismissed my pains, claiming the contractions were "mild" and that the birth was far from imminent. I was not the expert; they were, but I knew that I felt the baby coming. As it turned out, the resident barely got to me in time. I learned from that experience that you should not be gaslighted by expert views that directly contradict not what you just think you know but what you do know and directly experience.
- Convenience: This pertains to both means and ends. Convenience of means refers to using the data that is on hand or easily measured even if it's not necessarily the data that is the most relevant. It's rather like measuring how much snow fell on your windowsill because it's easy to reach rather than going out to get the measure on the street and in drifts to get a more accurate measurement. Convenience for ends is about selecting data that you can easily fit into the conclusion you wish to draw AKA cherry picking.
- Confirmation Bias:In general, when you look for data on something, you have to bear in mind that absolute objectivity is rare. Many of us have deeply-seated values and beliefs that will not allow us to entertain the possibility that we are on the wrong track,which would skew our results because of what we allow and disallow in the data set. It is the equivalent to painting a bull's eye around where your arrow went. So ask yourself, does the person have some personal agenda that could be coloring the outcome? If so you should treat them with the same healthy skepticism you would treat cigarette tobacco studies sponsored by tobacco companies.
- Certainty Camouflaging Contingencies: Few things are absolutes, so if someone states something without qualifiers, likely something is being hidden or glossed over -- like the fact that the data is out of date or taking searches of racist terms and jokes as proxies for the person being a racist and then shifting labels from what actually is measured to what the person says is signified by the measurement. This leads to a triple F: Fudging Figures and Facts.
All of these were inspired by an argument made in Seth Stephens-Davidowitz's book Everybody Lies. Read more about it in Sex, Lies, and Data Profiles
Friday, May 11, 2018
Marketing for Mom's Day
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Vintage mom image from /thegraphicsfairy.com/wp-content/uploads/2014/03/ Vintage-Apron-Mom-GraphicsFairy-463x1024.jpg |
Wednesday, December 13, 2017
Can Facebook Prevent Suicide? Ethical Questions Arising from AI
The Ethics of AI for Suicide Prevention
Wednesday, August 23, 2017
AI for Customized Consumer Communication
Now it's possible to apply real time analytics to a campaign that is tested, tweaked, and tailored to an audience.
Read more in
AI: The Ultimate Game-Changer for Media
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be. Only one standing in your way is yourself.And Jan wrote:We should agree to disagree and give the current administration 2 full years to show American just what they will do for us. I may not have liked prior Presidents but I never wished harm on our working people. After 2 years, THEN speak up and change things with the Mid-Terms. However, I believe we will see our economy turn around over the next 6 months and no one will want to change anything! It's only been 5-6 weeks...... Wish for the BEST for our Country! We the People have spoken with our votes
What does the data show?
Everybody lies with visualizations