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How Marketers Can Use CDPs And DMPs To Collect And Utilize First And Third-Party Data

As a healthcare marketer, you need a reliable tech stack with tools that allow you to collect and store data while following all regulations and compliance guidelines.

Your tech stack may include platforms that help you securely manage first-party and third-party data. Because these two data sources are very

different, they require distinct collecting, processing,

and storing methods.

That’s why many healthcare marketers use a customer data platform (CDP) and data management platform (DMP) to manage their data.

Before we dive into the differences between a CDP and a DMP, let’s talk more about what we mean by first, second, and third-party data.

First vs. Second vs. Third-party Data

All data is not created (or collected) equally. That’s why marketers use terms like “first-party, second-party, and third-party” to describe how data is collected.

Here is a short breakdown of where each type of data comes from.

First-party data is data an organization collects using its own sources. Examples include email addresses you get from opt-ins on your website or client information you gather on a discovery call or email form. First-party data is the most unique and relevant to an organization because it comes directly from its target audience.

Second-party data Is data that another company collects and shares or sells. It can be shared with co-partners. For instance, if you partner with a company to collaborate on a book, you may decide to share email lists to improve your distribution. Second-party data can still be valuable and valid, but it might be less accurate than first-party data.

Third-party data comes from sources that do not have a direct connection to your business, making it the least reliable type of data available. Because third-party data can come from anywhere, it’s essential to ensure that it has been processed correctly by following GDPR, CCPA, and CPRA guidelines. You could face steep fines and potential litigation if you use data that does not follow legal requirements.

CDPs vs. DMPs

The primary difference between CDPs and DMPs is the type of data they work with. While both use second-party data, CDPs are designed to gather, organize, and dispense first-party data. They rarely work with second or third-party data. Their focus on first-party data makes CDPs great for audience building and creating a single view of a customer.

CDPs want to collect as much information as possible to create a thorough customer profile that can help businesses make better decisions. They can collect almost any kind of personal identifiable information (PII) you want, including email addresses, names, social media interactions, and transaction data.

In contrast, DMPs work primarily with third-party data that is anonymized, meaning that you don’t have insight into the specifics of the people providing their PII. DMPs enhance first-party data with third-party data to improve targeting efforts in digital marketing and advertising campaigns.

A good use case for a DMP is building marketing campaigns for unfamiliar audiences. The third-party data that the DMP uses can help you get access to audiences you don’t know. These campaigns will be less personalized than campaigns you create using first-party data.

HealthLink Dimensions Can Help You Manage Your First and Third-Party Data

Staying on top of data can be challenging for anyone, especially healthcare marketers who must comply with HIPAA, CPRA, and other laws. Fortunately, you don’t need to do it alone.

Healthlink Dimensions can help you build, enhance, and replenish your first party data. Contact us to learn more about our digital, email, and programmatic marketing solutions.


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