Indeed, the demise of third-party cookies has compelled marketers to make concrete moves towards boosting their capabilities around the way they collect and use data.
While having taken a step towards data clean rooms on the one hand, GM putting greater emphasis on zero-party data on the other side is an outright efficient move in a soon-to-be cookie-less world.
For a brand like GM, which is racing to bring about a huge transition in the automobile industry, it is critically important to come up with a highly targeted advertising strategy.
To make it happen, using zero-party data is a no-brainer option. According to a recent Gartner survey, 60% of surveyed marketers believe that executing first-party data strategies that balance a value exchange with privacy will be more difficult this year.
That is, even though marketers are bending over backwards to leverage first-party data to fill the void left by third-party cookies, it is still an ongoing challenge to deal with privacy issues.
But zero-party data, more than anything else, is willingly provided by customers, so the data is more accurate and leaves no room for errors or privacy violations for brands.
With AI marketing tools that keep evolving by the day, marketers can even more effectively filter the insights from first-party data and incorporate those into their campaign strategies.
This way, zero-party data will help brands comprehend the users’ preferences and create relevant and personalized experiences at every step of the customer's purchase journey. As a result, brands will be able to increase engagement rates, maximize campaign performance, and increase conversion rates.
And, zero-party data isn't just for bigger brands.
The value of zero-party data will only increase in the coming years. As privacy enforcement becomes stricter and customers become more concerned about their data, brands will have no choice but to rely on a data stream that people trust. And it is only achievable with zero-party data.
In short, the GM’s move with zero data is nothing but a wake-up call for brands to dive into the pool of zero-party data if it has yet to be explored.