Each year, advertisers are becoming more focused on advertising to the right shoppers, rather than blanketing efforts to a large pool of shoppers. This leads to a major question: would you prefer to advertise to a shopper who has some similar qualities to your current shopper base, but unsure if the new prospects are in-market, or advertise to shoppers who have demonstrated intent in what your site sells, but may not reflect your current shopper base?
Many would choose to focus their efforts on prospects who mirror their current shopper base. It seems logical: if they have similar qualities to current shoppers, wouldn’t they be interested too? However, which qualities are similar between the current and prospective shoppers? Same gender? Similar age? Similar geographic area? While many of these are great tidbits of information to know, they won’t be an end-all notification that they will shop similarly. Not every woman of similar age will shop the same way. Not every man who lives in a 10-mile radius will shop in the same way. While this will get your products in front of many people, that doesn’t mean they are the right people.
On the other hand, focusing efforts on buyer’s intent allows for eCommerce retailers to expand their reach in a smart, focused manner. Without data, digital advertising today would be useless. The greater the specificity in reach the more beneficial the data. By utilizing intent in the advertising process, you know the individuals being advertised to have demonstrated interest in items like what you sell. That makes them even more of a warm lead for advertising. Intent gives advertisers and eCommerce sites a leg up in the advertising process. You can focus efforts towards shoppers who have demonstrated interest in you or, at least, what you sell.
However, the next step remains in question: which type of data will help you best utilize intent? The majority of advertisers focus on first- and third-party data. First-party data is great: you know exactly where the data is coming from and the validity is proven, since it is your data, however is the amount of data limited? Possibly. Once you cycle through your first-party data, the well is dry. You must then venture out to other sources to fill the well.
With third-party data, the amount of data is unlimited! That is the major positive, but can you trust the validity of the data? This data has been aggregated through data houses with data from numerous other sources to fit together. How trustworthy is the data after it’s been touched to fit a set for sale? At this point, you are back to the beginning, wondering if your data will drive the right shoppers to your site and if they truly have the intent to buy.
The answer where to search for the data next sits numerically in between first and third: second! Second-party data is simply another company’s first-party data. The skepticism of data and its validity will not be an issue. The data provider knows the intent of those shoppers because it’s already being utilized to retarget in a first-party manner! By joining together through a data co-op, like Hivewyre, advertising smart based on intent is easier and more effective than ever before.
When advertising, it pays to be smart. Guessing if the people you are advertising to will want your products is not going to increase your company’s revenue. Instead, focus your plan on intent. When you advertise smart, the revenue will follow and decisions will pay off in spades.
Hivewyre is a forward-thinking programmatic advertising company. Their private data cooperative allows advertisers to share first-party audience data and build targeted campaigns for prospecting new customers based on their competitors’ unconverted shoppers. Hivewyre advertisers have access to fresh, exclusive data that will never be sold to a third party. With over 500 retailers and over 100 million monthly in-market shoppers in our co-op, our distinct advertising strategy allows you to combat rising search engine PPC & PLA costs and the ever-expanding online marketplace growth. In addition to access to the exclusive data, co-op members benefit from full-service account management and detailed reporting of the return from advertising spend. To learn more about Hivewyre, visit www.hivewyre.com.