Brands are continuing to turn to outside sources to supplement their own customer data, with third-party audience data sales increasing 40% in EMEA and 25% globally as marketers gear up for the cookieless world.
So says a new study from Lotame Data Exchange, claimed to be one of the world’s largest second- and third-party data marketplaces, comprising billions of monthly unique users.
Back in October last year, the company reported that it had witnessed a 40% rise in sales for H1 but it seems there has been no let up in demand.
In EMEA, the UK remained the top sales driver in the second half (2H) of 2021. In both halves of the year, five of the ten biggest data spenders globally were EMEA countries – Italy, Germany, Spain, and France.
Lotame saw an increase in audience segments, in particular, UK Precision Demographics (18+) increased by 182% YOY. Precision audiences are validated age and gender segments that exceed industry benchmarks at scale.
Audience segments in EMEA that experienced substantial 2H YoY growth include UK homeowners’ insurance; Germany C-level executives; Precision Demographics France Female 25–34; UK College Students; and Precision Demographics Male 18–24.
As advertisers continue to invest in their audiences, they are increasingly augmenting first-party data with third-party data, as the latter provides volume and reach in addition to a more rounded view of the consumer.
The IAB State of Data Report 2021 confirms that ad spend is continuously being allocated to third-party audience data, increasing 3.3% to $12.3bn YoY.
Globally, the top-performing audience segments in 2H 2021 include Advanced Demographics, B2B (33% increase), Age, Business, CTV (78% increase), Lotame Precision, Entertainment, Home & Family and Hispanic.
Lotame vice-president of data solutions Alison Harding said: “Against a backdrop of insufficient volumes of first-party data, and its limitations on the allowing for an understanding of the customer and how to discover new ones, our analysis demonstrates companies are seeking new sources of high-quality data for prospecting, data sharing, analytics and modelling as they prepare for the phase-out of cookies.
“The continued investment in audience segments will remain vital long after third-party cookies are retired because it plays an integral part in creating a holistic view of the consumer.
“Throughout 2021 we kept hearing about first-party data, but the IAB found investment in it flatlined while spending on high quality, third-party data surged. The ability to map an accurate customer journey is paramount and brands are flocking to the data and cookieless identity solutions that allow them to do so.”
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