Francesca van Blerk
Senior Director – Performance, Wasserman UK
First-party data isn’t a future goal – it’s a now-or-never situation.
80% of marketers say first-party data is critical. So why are so many not using it effectively, or at all? With digital advertising spend surpassing $790.3B in 2025* and the industry evolving at pace, the advertisers best positioned for long-term success are those that stop renting audiences and start owning them.
Why aren’t marketers taking action when the majority of digital ad spend will be directed toward Google and Meta platforms**?
Consumers are still being served generic and cluttered targeting, which makes it harder for advertisers to consistently stand out and truly engage their targeted consumers. We’ve all ridden the rollercoaster of Google’s updates, and despite years of noise around data privacy, platform changes, and the supposed death – and now return – of third-party cookies, many brands may not see the value in first-party data or know where to start their journey.
But the truth is that owning and activating your own data is the only way to take control of your advertising strategies, reduce dependency on third party targeting within platforms like Google and Meta, and improve long-term campaign performance.
Here’s the good news: owning your data doesn’t have to be intimidating, and doing it effectively can cut through the noise, build trust with your audience, and unlock real performance. Let’s break down what that looks like and why it’s easier than you think.
The Real Barriers to Embracing First-Party Data
One major concern around embracing first-party data is data handling and misuse. While these concerns are valid, they mostly stem from a misunderstanding of how to approach data in a way that maximises its value.
56% of consumers don’t trust social media companies with handling their data***. This is an opportunity for advertisers to be able to build that trust and have open transparency with their audience on data usage. They must clearly communicate their data usage policies to their audiences and provide an easy-to-use opt-out or opt-down mechanism in accordance with their country’s data protection requirements. There is short-term pain in getting the right advice on proper data collection methods to ensure they are compliant, but the long-term gain for advertisers makes it worth it.
The second barrier consists of advertisers focused solely on upper-funnel objectives who don’t recognize the value of owning their data. This misconception holds brands back from moving away from third-party targeting. Advertisers integrating first-party data with upper-funnel campaigns can see a 35% rise in new customer acquisition rates****. This shows that taking ownership of first-party data enables audience growth that aligns with brand advocates. Prioritising the development of the owned audience supports broader targeting strategies, making them more cost-effective and driving stronger engagement.
The final barrier is that many companies are collecting the wrong kind of data – and in the wrong manner. Capturing basics like name and opt-in status is necessary, but having the bare minimum is not what will unlock the real value of first-party data.
What matters more is collecting data through authentic, non-transactional interactions that both enrich audience profiles and build trust. This could include data on user preferences, feedback on their experiences, or insights gathered through voluntary interactions, such as surveys or content interactions.
Marketers need data that reflects genuine interest and engagement of their audiences rather than transactional behaviour. When data collection feels one-sided, consumers disengage. But when brands offer real value and meaningful experiences, they attract users who are more invested and more likely to stick around for the long term.
The Overlooked Power of Match Rates
Another common oversight in many digital advertising strategies is the lack of focus on improving match rates. A match rate is the percentage of anonymised first-party data that overlaps with users on a paid media platform or dataset. Increasing match rates allows brands to extend their audience base while better understanding and engaging their users across multiple platforms. This is a critical step to growing your database incrementally and effectively leveraging your data across your advertising efforts.
Further opportunity lies in knowing more about the audience or enriching the data you are collecting. 51% of marketers believe that data enrichment is the biggest barrier to email marketing*****, and this opportunity applies more broadly across channel marketing if you are able to truly dissect an enriched database for wider use. The more holistic and integrated the audience profile, the more opportunities for application across multiple channels – whether email, paid media, or personalised content strategies. Having confidence in your data will only unlock more value in a multi-channel world.
What Marketers Need to Do Now
If marketers want to drive stronger performance across their digital campaigns, they should be spending more time learning about their audiences and shifting more budget towards growing those audiences. This will support their long-term goals by having a robust and consistent audience to expand across any channels they want to use.
There is extensive room to be creative beyond a data capture form to gain valuable insights from your audience. This is the first step in building a long-term relationship with that group and seeing how this can benefit your campaigns across all stages of your campaign funnel.
First-party data shouldn’t be something to shy away from – it’s your competitive advantage. The question isn’t if you’ll need it. It’s whether you’ll be ready when it matters most.
Sources:
* https://datareportal.com/reports/digital-2025-sub-section-global-advertising-trends
** https://www.emarketer.com/content/worldwide-ad-spending-forecast-2025
** https://hbr.org/2015/05/customer-data-designing-for-transparency-and-trust
***https://www.criteo.com/blog/upper-funnel-real-results/?utm_source=chatgpt.com
*****https://ascend2.com/wp-content/uploads/2017/03/Adestra-Original-Report.pdf
