When it comes to marketing, almost nothing is more important than having high-quality data on your target audience. So it’s no surprise that changes to data privacy that limit marketers’ visibility into what their customers are doing pose a major threat.
But what if I told you that data privacy changes are actually having a positive impact on marketers?
I get it – you’re probably used to hearing about how damage third-party cookiesGDPR, and iOS privacy changes spell certain doom for the marketing industry – but our survey shows that’s not true.
Of more than 1,000 marketers affected by data privacy changes, 32% say their marketing strategy has been positively impacted over the past year, while only 10% say privacy changes have had a negative impact.
Meanwhile, 58% of marketers report a neutral impact, which makes sense since Google’s changes are now delayed until 2024, and the impact of other privacy changes may not be fully clear yet.
But the big question is why are marketers seeing a positive impact from the privacy changes? Let’s dive into your data to find out.
3 Ways Privacy Change Is Helping Marketers
1. Marketing budgets are increasing to accommodate data privacy changes
Government regulators and consumers are both demanding changes in data privacy, and marketers have no choice but to move with the times.
Fortunately, marketers are being given the necessary budget to explore alternative tracking and targeting solutions.
Nearly half (48%) of marketers say they budget has changed To compensate for data privacy changes this year, 71% of them reported increasing their marketing budget.
Interestingly, these alternative solutions are potentially more accurate and effective than the ones marketers currently use, which brings us to the second benefit of the data privacy changes.
2. New data solutions are better
What Tools Do Marketers Currently Use Really Effectively? It turns out that most marketers are missing vital information on their target audience – only 42% know their basic demographic information, and even less their buying habits, purchase history and content/media consuming channels.On the other hand, options such as collecting first-party data can be used to gain high-quality insights and provide highly personalized experiences to your customers.
Since first-party data is collected directly from your customers, it is highly accurate and unique to your company – but in order for customers to give you their personal information, they first need to trust you.
3. More Trust = Better Data
Our Consumer Trends survey shows that nearly half (45%) of consumers do not trust companies with their website behavior/cookie data.
Data privacy changes can make consumers feel safer sharing their personal information, so they’ll be more willing to trust marketers with it. As one marketer in our survey put it:
“When it comes to marketing, it’s all about hitting your target audience. For Google to remove third-party cookies makes customers more likely to trust them. Turning that trust into more reliable information which I use to target my audience through Google.
Currently, untrustworthy consumers leave marketers with poor or incomplete data on their target audiences. The change in data privacy will enable marketers to access high-quality data while respecting the privacy of consumers, which will mutually benefit both parties.
What’s next for data privacy change
Adapting to data privacy changes is challenging because regulations and public opinion around data privacy are actively evolving.
The most important thing marketers can do is to explore new tracking and targeting solutions so that they are ready to adapt their data strategy when the time comes. Ultimately, our research shows that data-driven and agile marketers will win in 2023.