Marketing and advertising is all about reaching target audiences in a meaningful and relatable way, standing out from the crowd, and producing innovative and unique messages that customers will not only receive, but preferably convert into purchases. In order to create such effective advertising and marketing campaigns, industry professionals need to have access to information on their target consumers, and this is where data comes in handy. Knowing who the consumers are, what they buy, and their name and location not only paints a picture of their current purchasing behavior, but also helps predict future patterns, which, in turn, translates to more optimal marketing strategies.
In 2021, the global marketing-related data market was estimated to be worth nearly 17.7 billion U.S. dollars. The United States is by far the leading market in this area, as it set to account for 47 percent of the 2021 global value, equaling roughly 24.7 billion U.S. dollars. Marketers in the U.S. spend most of their money on demographic, transactional and behavioral types of third-party audience data.
On top of privacy regulations, marketers now have to deal with the deprecation of cookies – the main source of third-party data on consumers and their online behavior. With the usage of cookies being eliminated, new solutions are tested and implemented to counteract the loss. One of these solutions is customer data platforms (CDPs) which are meant to be a one-stop shop for information on customers. So far, the United States is the biggest market worldwide in terms of the number of CDP solutions vendors. CDPs are considered effective in improving overall marketing effectiveness, reducing time spent preparing reports and managing customer data as well as improving operational inefficiencies. In fact, owing to the use of customer data platforms marketers have been seeing significant improvement in online sales, return on investment, engagement, and brand lift, just to name a few.
In 2021, the global marketing-related data market was estimated to be worth nearly 17.7 billion U.S. dollars. The United States is by far the leading market in this area, as it set to account for 47 percent of the 2021 global value, equaling roughly 24.7 billion U.S. dollars. Marketers in the U.S. spend most of their money on demographic, transactional and behavioral types of third-party audience data.
Marketers are betting on data
Data related activities and goals are top of mind among marketers in the United States. CMOs in the country name data and analytics, personalization, improving data privacy and data-driven transformation as their leading marketing priorities. However, the usage of data analytics in the marketing decision-making process has decreased recently, to which one possible solution is the growing number of privacy regulations that influence how marketers can collect, acquire, and use the data for commercial purposes. The most commonly cited way in which privacy regulations impact marketing data strategies is the need to increase transparency around data use. Creating new internal standards for data collection and limiting the collection were also mentioned as top factors influencing data usage.On top of privacy regulations, marketers now have to deal with the deprecation of cookies – the main source of third-party data on consumers and their online behavior. With the usage of cookies being eliminated, new solutions are tested and implemented to counteract the loss. One of these solutions is customer data platforms (CDPs) which are meant to be a one-stop shop for information on customers. So far, the United States is the biggest market worldwide in terms of the number of CDP solutions vendors. CDPs are considered effective in improving overall marketing effectiveness, reducing time spent preparing reports and managing customer data as well as improving operational inefficiencies. In fact, owing to the use of customer data platforms marketers have been seeing significant improvement in online sales, return on investment, engagement, and brand lift, just to name a few.
