BOSTON, Nov. 13, 2017 /PRNewswire/ -- ownerIQ, the leading second-party data solution powering the largest transparent data economy for retailers and brands, today released a new research study conducted by Forrester Consulting and commissioned by ownerIQ in partnership with Universal McCann. The Data Transparency thought leadership paper (TLP) focuses on the growing importance of data strategies and transparency for digital marketing and advertising campaigns. According to the study, 67 percent of marketers feel that the advertising/marketing industry as a whole is not doing enough to address the sharing and transparency challenges associated with audience data and $11 billion of wasted dollars on the line due to questionable data.
As the use of audience data becomes mainstream, marketers struggle with the issue of transparency. The study found that marketers want more from their data providers, with 75 percent of them reporting a lack of transparency into data sources.
Specific findings include:
- If data quality and transparency issues aren't addressed, dollars wasted on low- or no-quality display ads will grow to $10.9 billion by 2021.
- Transparency is critical - When purchasing data for digital marketing and advertising campaigns, 80 percent of marketers think it's important for providers to provide information around data quality
- The demand for more visibility - 85 percent of marketers think the lack of visibility into data used to define audiences poses a challenge to their ability to effectively put data to work
"The data market is evolving to demand transparency." said Jay Habegger, CEO of ownerIQ. "We provide a platform for second-party data sharing where marketers can maximize the value of transparent and relevant data, and this report reaffirms that need."
Data use is on a positive growth trajectory over the next two years, with most of the growth expected in shared or second party data. Successful campaigns are increasingly being fueled by robust data from trusted business partners. As the use of this data continues to become more mainstream, marketers will become more confident in the accuracy of their audience targeting, according to the study.
The data market's shift to transparency will bring increased investment
Marketers find data incredibly valuable for today's digital and advertising strategies. As more media channels become connected, audience data will become more essential. The study found that:
- Marketers are using data to support CRM - 72 percent of retail and CPG marketers use data to support customer relationship management (CRM)
- The power of programmatic - 6 out of 10 marketers use data to inform programmatic media buying. Additionally, data will account for roughly 60 percent of programmatic media budgets in 2018
- Speed of Change - Marketers expect the market to make the necessary adjustments in next two years, as the use of third-party data will decline from 42 percent to 35 percent, while second-party data is expected to grow from 56 percent to 65 percent.
- Spend increases - investments will increase in the areas of CRM, measurement and programmatic if quality and transparency issues are addressed
"A data environment that provides transparency and choice will always be a better option to opaque or anonymous marketplaces." says Joshua Lowcock. It creates optimal conditions for marketers to better measure, learn from and optimize their data across all marketing activities.
For more of the findings, download the full report related to how second-party data growth will help drive solutions for data transparency by visiting: www.ownerIQ.com/TLP.
Findings from the report are based on an online survey Forrester conducted with 100 advertising and marketing leaders at retail and consumer packaged goods (CPG) organizations and advertising and marketing agencies in the U.S. Survey participants included advertising and marketing leaders at midsize to large enterprises. Forrester analyzed the responses received to evaluate the role that data plays in digital advertising and marketing strategies, and the challenges that marketers face as they aim to collect relevant, quality audience data at scale. The survey was completed in July 2017, and the telephone interviews were completed in August 2017.
ownerIQ brings the most valuable consumer data to market – explicit shopping and purchasing data from retailers and brands – to power a new data economy. This provides better quality data inputs to power all marketing tactics and enables fundamentally new marketing tactics, such as allowing brands in increase sell-through by giving retail partners access to audience data. Currently, ownerIQ works with more than 1,500 brands, retailers and agencies. The company was founded in 2007, and is headquartered in Boston and has offices in New York, Chicago, San Francisco, Los Angeles, and Seattle. In 2017 ownerIQ was named to the the Inc. 5000, Deloitte's 2017 Technology Fast 500™, received Digiday's Signal Award for Best Data Management Platform and was recognized by The Boston Business Journal as one of the 50 Fastest Growing Private Companies. For more information, visit www.ownerIQ.com.
Lisa van der Pool