Blog HomeStruggling to maintain customer behavior visibility in a post-cookie era? What if we told you there’s a secret weapon that can skyrocket your marketing ROI in this post-cookie era?
Struggling to maintain customer behavior visibility in a post-cookie era? What if we told you there’s a secret weapon that can skyrocket your marketing ROI in this post-cookie era? Zero-party data is here to save the day. And it is the key to unlocking personalized experiences your customers crave.
Zero-party data refers to information that a customer intentionally and proactively shares with a business. This can include preferences, purchase intentions, personal context, and how they want to be recognized by the brand. In essence, it’s data that your customer freely volunteers, expecting a better shopping experience in return.
Why should you care? A majority of respondents in a Forrester survey acknowledge that data deprecation has made it more challenging to acquire customer data, cross-sell, or upsell, especially in a cookieless future where traditional data collection strategies are becoming obsolete. And, over 70% said it has become harder to track customer journeys across channels and touchpoints.
By directly engaging with your customers and asking for information upfront, you build customer trust and gather valuable insights straight from the source, you can create hyper-targeted campaigns that resonate with your audience and drive conversions through the roof. This report will be your guide to all things zero-party data—from the different types you can leverage, to how you can collect it, and what you can do with it.
So, what is the real advantage of collecting zero-party data? 🤔
To effectively leverage zero-party data, you need to know what types of information to gather and how to obtain it. So how do you go about collecting zero-party data? Here are some common data types and collection methods:
These insights give you a clear picture of customer desires and preferences, even if they haven’t made a purchase yet.
However, according to the same Forrester survey, while 82% of respondents said they have access to zero-party data, 42% admitted they don’t know how to use it effectively. This means that nearly half of the marketers surveyed are sitting on a goldmine of valuable insights but lack the tools and knowledge to transform that data into actionable strategies.
One of the most powerful applications of zero-party data is customer segmentation. By grouping customers based on specific criteria like behavior or preferences, you can deliver hyper-targeted marketing messages that hit the mark every time. Here’s how our customers have experienced the power of zero-party data and segmentation:
Crunchyroll Store’s segmented automated email campaign is a prime example of zero-party data in action. By targeting wishlist reminders, low stock alerts, and back-in-stock notifications, they drove significant revenue and engagement.
Makeup brand Jones Road also hit it out of the park, selling more in the first 30 minutes on Black Friday than their entire previous BFCM weekend! Their secret? Personalized messaging for different segments, made possible by the Klaviyo-Swym integration. (We also have a longer list of success stories later in this blog, but first let’s talk about how you can segment wisely with zero party data).
Your e-commerce store can also experience the success that Crunchyroll and Jones Road experienced—consider some of these ideas on how you can use zero-party data to create segments tailored for various marketing goals, such as:
With zero-party data, the possibilities for market segmentation are endless! But the key is to get this data into your marketing platforms (more on this in one of our later segments). But Swym’s advanced reporting features and seamless integrations with popular email marketing platforms like Klaviyo, Mailchimp, and Yotpo make it a breeze to create segments and trigger targeted campaigns that convert like crazy. If you loved this section, screenshot its summary, visualized in the table below.
Read on to know specifics of these types of campaigns that Swym merchants have found success with.
Want to see the kind of results zero-party data can get? Here are some real-world examples of different types of campaign strategies using zero-party data that drove great results for Swym merchants.
For example, fast-growing apparel company Lane 201, did a campaign exclusively for customers who wishlisted products or saved products for later over the last 3 months, as part of their winback strategy. They also ran a nudge campaign for Tapcart users, after running a ‘Win your Wishlist’ giveaway.
“Wishlist email digests have helped us generate over thousands of dollars in additional revenue in the last 6 months! It’s a very valuable tool to give your audience another method for shopping and provides personalized updates on the items they would like to buy.” – Lane 201
Some of our other brands in the Toys & Hobbies categories also use similar segmentations for their campaigns and saw conversion rates as high as 7.84%!
Another campaign strategy used by some of our most successful merchants includes sending coupon codes to folks who participated in the Wishlist giveaways.
There you have it! Examples of how segmentation can deliver results for you.
By now we’re sure you’re convinced about wanting to use zero-party data. While you can get started by manually creating these segments, read on to know how you can bring this information into your marketing tools and start automating at scale!
When it comes to leveraging zero-party data for your marketing campaigns, integrating it with your favorite marketing tools is key. By bringing your zero-party data into these tools, you can leverage the power of personalization at scale by applying context to your marketing campaigns.
“Advanced segmentation is especially essential in SMS marketing. With data-driven segmentation, brands can better understand their audience and tailor every shoppers’ experience with perfectly-targeted messages.” – Yotpo
When integrating zero-party data from apps like Wishlist, Notify Me, and Review apps into your preferred marketing platforms, automation plays a key role. Whether through seamless app integrations or manual data extraction, businesses can use tools like Swym to automate personalized marketing campaigns.
Swym’s analytics help you extract actionable insights, allowing you to not just collect, but derive maximum value from your data. Once the data is on your platform using Swym, you can start crafting segments using these third-party tools as follows:
In a nutshell, zero-party data is the key to precise customer segmentation, unlocking personalized experiences, and enhanced e-commerce conversion optimization in a post-cookie world. All of this eventually also contributes to improved revenue per recipient, because although you’re spending far less to obtain the data, you’re able to strike a connection with customers and encourage purchasing to a greater degree.
By directly asking customers for their preferences and leveraging that data for targeted market segmentation, you can create campaigns that convert like never before.
Remember, 90% of marketers are jumping on the zero-party data bandwagon. Don’t get left behind!
By leveraging tools like Swym to capture and optimize zero-party data, you’ll be well on your way to boosting revenue and building lasting customer relationships by creating targeted campaigns that resonate with your audience and skyrocket your ROI.
Third-party data is collected by entities that don’t have a direct relationship with consumers, often through tracking cookies or data aggregation. In contrast, zero-party data is willingly provided by customers directly to businesses, making it far more accurate and valuable for personalization.
First-party data is information collected by businesses through their own channels, such as website interactions or purchase history. While still valuable, it’s not as explicit as zero-party data, which is proactively shared by customers, like their preferences or intentions. Think of zero-party data as the cream of the crop!
Zero-party content refers to any type of content created by customers that provides valuable insights into their preferences, interests, or experiences. This can include reviews, user-generated photos, or even quiz responses. By leveraging this content, businesses can create hyper-targeted market segmentation and personalized experiences.
The term “zero-party data” highlights the fact that this information doesn’t rely on third-party tracking or inference. It’s the purest form of data, willingly and directly provided by consumers without any intermediaries. Zero parties involved, just you and your customer!
As third-party cookies phase out, first-party data becomes increasingly crucial for marketers. Without it, businesses risk losing valuable insights into their target audiences’ demographics and browsing behavior. However, collecting and activating first-party data can be challenging, which is where zero-party data comes in to save the day!
Let’s say you’re selling fitness products. You could ask customers about their experience level, workout frequency, and any health issues that might affect product use. This information helps you create targeted product recommendations and personalized content. Another great example is registering customers for loyalty programs, which allows you to gather valuable zero-party data while rewarding their engagement.
The clever folks at Forrester Research coined the term “zero-party data” to emphasize the importance of a customer-centric approach to data collection. By putting the customer first and directly asking for their preferences, businesses can build trust and create more meaningful relationships.
Helping e-commerce brands craft a more seamless experience for their customers
