single php
cdp menu

First party data Vs Second party data Vs Third party data



In the data economy, businesses are collecting billions of data through various mediums. For a marketer, data plays a significant role in his marketing success. A major challenge for a marketer is to understand the data, prioritize, segment them and use them in various platforms to acquire new customers.

In this post, we’ll take a look at the difference between various data used by marketers

👉 First-Party data
👉 Second-Party data
👉 Third-Party data

First-party data Vs Second-party data Vs Third-party data

First-Party Data

First-party data is the information that a company collectes from its customers or audience directly. The data collection can happen via website cookies, in-app forms, purchase, ad campaigns, in-store beacons and a lot more. In general, first-party data is used for sending hyper-personalised messaged to their site visitors or customers.

First-party data collection is completely free and is bound by regulations of GDPR or CCPA regulations.

A CDP can help you collect, centralize and segment the data as per your requirements

Benefits of first-party data are

Knowing the source of data – By knowing where the data comes from you can understand what kind of message they have consumed, can check the lead quality, their purchasing power etc.

Segmentation – With the insights of first-party data i.e, their content consumptions, interests, lead quality, etc. You can segment them based on various factors and run personalised campaigns which increases the chances of conversion.

Retargeting Campaigns – Instead of running a mass message camapign to all audience, Since you know the audience better and the type of content they consume. You can segment them based on interest to run remarketing campaigns for a better conversion.

Reports and insights – By knowing the pattern in first-party data. You can generate reports, analyse them and infer solutions from it. Let’s from the reporting, you infer that case-studies are getting more conversions. You can change strategy and create more case-studies to increase conversions.

Second-party data

Second-party data in general is termed as another companies firs-party data. As a business you’ll be getting another companies first-party data through some partnership or you’ll be purchasing the data from other company which is their first-party data.

Let’s say you are running a ecommerce business selling high-end fashion clothes, and you partner with another firm which sells high-end shoes. You purchase the data from your partner who sells high-end shoes. And this data is called second-party data.

The Benefits of second-party data is that you can reach out to new audience who has similar interest to your product as well. Like in first-party data, with second-party data you can segment data based on interest and can run camapigns as well.

Third-party data

Third Party data is data that can be bought from the data aggreagtors by paying them. The data providers will aggregate the data sets from various platforms and websites where it was generated, they are not the original collectors of that data. Further data aggregator segments the data based on category, interests, etc.

Benefits of third party data

Expand your audience: By using third-party data, you can reach out to new audience groups, run ad campaigns and expand your outreach programs.

Run targeted campaigns: As aggregators segment data based on various categories like demographics, interests, context etc. you can run targeted campaigns for them

As the digital industry is shifting its gear towards privacy-first approach, it is expected that companies who balances privacy as well as personalisation is going to win the long-term game.

Raja is passionate about using first-party data for targeted advertising. He studies Google and Facebook's strategies and case studies to help businesses maximize their customer data for powerful marketing.

The latest news, perspectives, and insights from CustomerLabs

Get started with CustomerLabs CDP

Schedule a 1-1 Demo


Unified data to boost ecommerce growth


Engage your customers across the funnel with a unified martech stack


Increase product metrics with a unified martech stack


Scale your customers quickly with the right data