Building Trusted Data Connectivity at Every Touchpoint

April 14, 2021

Neustar explained the importance of a unified approach to data and analytics.

Neustar has identified several factors that hamper marketers' approaches to measurement and analytics. In the first place, they use a variety of technological platforms for managing data and not all of the data in a given platform can be matched up with the data in the other platforms. Data is lost as it moves from CRMs to Customer Data Platforms to onboarding providers to measurement providers. Neustar estimates that this cascade of unmatched data from one platform to the next diminishes the effectiveness along the customer data lifecycle to a mere 32 percent.

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Further eroding markers' efforts to engage in measurement and analytics effectively is the trend toward "data deprecation." This trend is seen, for instance, in Google's decision to phase out support for cookies in its Chrome browser and in the twilighting of IDFAs (Identifier for Advertisers) in Apple operating systems. The effects of this trend are further exacerbated by data privacy regulations such as the EU's General Data Protection Regulation and the California Consumer Privacy Act.

To overcome these challenges and engage in successful measurement and analytics, Neustar recommends that marketers pursue a "unified truth," which it defines as a unified view into the organization's entire data ecosystem across platforms combined with a unified analytics approach. This analytics approach should enable an organization to holistically measure all channels (online and offline, linear channels and walled gardens) to ascertain what is having the greatest impact on marketing effectiveness.

Neustar went on to identify four measures that organizations should take to pursue this "unified truth."

  • Acquire audience intelligence for a post-cookie world by accessing and linking first-party, partner, and true identity-based data. This audience intelligence can be based on data pertaining to demography and past behavior and can be used to generate insights into path to purchase and purchase propensity.
  • Understand "market impact" factors — i.e., factors outside marketers' control such as seasonality, competition, and pricing, which affect sales. According to Neustar, such factors can deserve the lion's share of the credit for a sale, which needs to be understood if budget is going to be allocated effectively.
  • Optimize media through the improvement to the incremental ROI of channels, including linear and connected TV, as well as walled gardens. Neustar stressed that it's important not to measure in silos, that is, platform by platform; on the contrary, organizations need to achieve a holistic view into the impact of the channels they're using.
  • Establish conversion attribution to optimize the customer path-to-purchase across offline and online touchpoints. To do so, Neustar urged organizations to capitalize on machine learning and data science and to thereby generate actionable insight with which to inform their media planning.

According to a Forrester study, achieving a unified approach to one's data ecosystem and analytics discipline results in a 458 percent ROI, with payback within six months. Furthermore, it can be responsible for an incremental revenue increase of $189 million. Neustar explained that this is in part because this "unified truth" helps enable a consistent test and learn process, which can be so powerful for marketers.

Source

"Building Trusted Data Connectivity: Informing Critical Decisions at Every Touchpoint." Brett House, VP of Marketing Solutions at Neustar. ANA Data and Analytics Conference, 4/14/21.

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