As source data becomes more focused, it can be exchanged, sold, or shared within limits. Called second-party data, this use of the source data of one brand by another brand often takes place in exchanges established for this purpose. If the person consents to do so, you can share their data at the user level with a third party. That said, your proprietary data is valuable.
Why give it away? In addition, nothing highlights their commitment to user privacy like never sharing or selling PII. Offline data can be just as valuable as online data. However, if a company wants to use it for digital marketing campaigns, it will have to “incorporate the data”. The onboarding process takes information offline to the digital realm.
It requires some work, but it is extremely beneficial in the long run. You collect first-party data, which is basically free for businesses, outside of the cost of time and effort to collect the data. It is also of a much higher quality, resulting in higher returns. The problem with customer data obtained from third parties is that you don't know how, why, or when it was collected.
There are many data providers in the market that sell customer information online on global data platforms. When a company decides to share this data with you, whether through a partnership, a mutual exchange of audience data, or selling the data to you, it becomes second-party data. Aggregators buy data from publishers and other data owners, collect it into a massive pool, and sell it as third-party data. It targets the same audiences and the exchange of data allows both parties to increase their audiences.
However, it is important to remember that data providers sell third-party data quickly and in large volumes. If consumers share their data with you, they often expect you to not sell or share that data with any other company. If you follow first-party data best practices, you probably won't sell data in the first place, making it easier to comply with the CCPA.
