Identity Resolution Platforms Helps Marketers Tackle Consumer Data Crisis.
Every new electronic gadget in the market is now getting more user interactive helping users to personalize as per their needs and choices. Therefore, with the help of Identity Resolution Platforms, marketers can connect their customers with the things they need!
Today every customer is using multiple smart devices in their daily life. Maintaining a collection of data usage for each device is elusive. This is where Identity Resolution Platforms come into the picture. They accumulate consumers based on their identity. Likely, based on IP, they make sure that the marketers can approach them in a much efficient manner.
This not only helps the marketers but also help the government to make sure the compliance is followed. For example, helping in compliance with the privacy of consumers by the European Union’s General Data Protection Regulation (GDPR) and California Consumer Privacy Act (CCPA).
According to an Annual Internet Report released by CISCO, the number of smart devices connected to a single IP is going to increase tremendously. The number will be three times more compared to the global population by 2023. These include devices like Smart TV, speakers, wearable, and other home management solutions. By 2023, the consumer share of the total market will increase approximately 75%.
Similarly, consumer demand for much more personalized and interactive devices is increasing. Therefore, the whole market can’t be evaluated in a single parameter. This requires a much wider approach to the market.
Today, consumers are sharp-witted, they grant permissions to applications and brands of their choice. According to a survey made by Forrester, nearly Three-quarter of people wants the brands and application to know in advance why they are making a call.
Situations like these make marketers thrive for goal orientation and perfection. They must familiarize themselves with consumers’ online and offline behavior and even know who the customer is?
Winterberry Group surveyed half of the total marketers. According to their survey, audience matching and identification on cross-platform is marketers’ highest priority. Every time a customer interacts with a brand he is assigned with a different identity(Key) element. This identity can be an IP, email, or a physical address like MAC, mobile phone number, a digital tag, or a cookie.
So many customer identities is a challenge faced by marketers. They struggle To keep a track of their customers. Nearly, 71% of marketers acknowledged that they lost the trail of their consumers with time. They were unsuccessful in maintaining a record of their online and offline customers. Thus, marketing campaigns struggle and fail to provide accurate data for their customer.
The identity resolution market projected to cross $2.6 billion by 2022.
Several platforms maintain databases for households or individuals’ data. This database is based on the user’s first-second-or third party data. These data sources help marketing companies to overcome the problem of consumer tracking and record keeping. US marketing is anticipated to disburse $2.6 billion on the identity resolution project by the year 2022. This will be a 122% increase in the time frame of four years. The money will be consumed potentially so that the customer gets the best experience. whereas marketing campaigns will be conducted successfully, keeping the choices of their customer in focus.
According to Forrester, two-third of marketers accepted that with identity resolution policies in place, they have started seeing strong returns in their investments. They also accepted that with Identity Resolution Platforms their customer data is secure, and profiles are easily traceable.
With an emerging market, many brands are applying Identity resolution strategies to their business. However, businesses are still facing significant challenges in their success models, maybe because consumer details are dispersed throughout the business. Many of it often resides in a vault that is jamming marketers’ potential to establish and encourage relationships.
A consumer might use variable identifiers to look-up something on one gadget (i.e., login name or desktop cookie), call on different (i.e., mobile), and then purchase something from the supply (i.e., credit card or loyalty ID). All of these identifiers will be stored in a different vault with the contrasting collection and parallel requirements.
Marketers also lose data, these likely include location, and third-party cookies. Application developers and Google provide security so that these data can’t be traced or stored.
Location Sciences is a company that helps in verifying the location data. They have estimated that since September 2019, with the release of iOS 13 on iPhone it is impossible to track users’ locations when mobiles are inactive.
To resolve this issue for marketers Identity Resolution Platforms has developed solutions like Merkle’s Merkury. This can help brands to stock data as first-party details in graph format.
However, retailers create graphs from the second-party data. They receive these data based on their agreements on data-sharing.
One such vendor is Neustar, it is a second-party data marketplace. It uses first-party-data from different brands employing a common, anonymous identity valuable. Engaging businesses can create plans, trigger, and compute customary audience inventory to either pick or censor customers across addressable media.
Oracle Data Cloud Cooperative is a similar example that collects data from more than 1500 retails partners. In return, these retail partners get a model that can predict the best approach for the audience. It can even help in guessing the next best thing that can be pitched to the user.
Users providing misinformation and Strict government policies increase the challenges for marketers.
As people are getting smarter they have also started to understand the data linking techniques of marketers. Customers sometimes themselves enter a piece of wrong information, for example, typing their name incorrectly! just to make sure that they can’t be traced by that data. This makes the job of marketers even dreadful.
Winterberry Group and the Internet Advertising Bureau (IAB) Data Center of Excellence in a joint report stated that marketers have complained, that due to strict restrictions on user data access and re-usage policies their jobs have become relatively difficult. Due to the increasing pressure of government in the field of user data privacy, and the implementation & introduction of new reforms in data privacy laws, they can’t access value data with ease.
The compliance rate of GDPR for marketers range from 8-42%. GDPR was implied on marketers in May 2018. In January 2020, CCPA became effective and the brands that won’t comply will be facing fines.