Digital marketers should consider online data co-ops for three reasons: 1) First-party data alone lacks scale while third-party data can be costly and inaccurate. Data co-ops provide a scalable and validated alternative. 2) Data co-ops allow marketers to gain insights from aggregated first-party data from multiple brands and publishers, providing more reach and granularity than any single source. 3) Case studies found marketers who used a data co-op approach saw improved marketing ROI, customer acquisition, and customer experience versus relying solely on their own first-party data or third-party data.

1. 4REASONS
DIGITAL MARKETERS
SHOULD CONSIDER
AN ONLINE DATA
CO-OP
Webinar with:
Jacob Ross
PRESIDENT ADROIT DIGITAL & Fatemeh Khatibloo
PRINCIPAL ANALYST CUSTOMER INSIGHTS PROFESSIONALS FORRESTER

2. Jacob Ross became president of Adroit in October 2014.
He has previously held leadership positions at Metamarkets,
Criteo, Demand Media and Right Media (now Yahoo!).
Jacob graduated with honors from Reed College.
Follow him @jacobaross
Fatemeh Khatibloo serves Customer Insights Professionals at
Forrester with a focus on the shifting consumer data ecosystem.
She has previously worked at Times Two Marketing, Binger
Catalog Marketing, Epsilon and Haggin Marketing
(now SolutionSet). Fatemeh has a B.A. from George
Washington University.
Follow her @fatemehx2
About Our Speakers

3. CHAPTER 1:
Everything Old is New Again:
The Modern Data Co-op
CHAPTER 2:
Better Together:
How Marketers Can Benefit
from Digital Data Co-ops
CHAPTER 3:
Making the Case for Digital Co-op Data:
A Tale of Two Brands

4. Everything Old
is New Again:
The Modern
Data Co-op

5. How do digital marketers stay
ahead in the current landscape?
Note: digital display ads transacted via and API, including everything from publisher-erected APIs to more standardized RTB technology; includes advertising
that appears on desktop/laptop computers as well as mobile phones and tablets; *includes banners, rich media, sponsorship, video and other

6. To make predictions about
what customers will buy
in the future you need to
have good data on what
they have bought in the
past Harvard Business Review
A Predictive Analytics Primer, September 2014

7. Your 1st-party data
is powerful
but doesn’t offer scale
3rd-party data is vast
but can be costly, inaccurate and
often opaque

8. Better Together:
How Marketers
Can Benefit from
Digital Data Co-ops

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Agenda
› What is a digital data co-op,
anyway?
› Why first-party data isn’t always
king
› How marketers should leverage a
digital data co-op

10. © 2015 Forrester Research, Inc. Reproduction Prohibited 10

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A story of three data types
First Party
• “Owned” by your firm
• Generated by
interactions with your
own audience and/or
customers
• Governed by your own
privacy policies
Second Party
• May be co-owned
• Shared co-operatively
by or between
business partners
• Includes data shared
by your own
customers
• Often anonymized or
shared in aggregate
• Governed by a shared
set of policies
Third Party
• “Owned” by a vendor
• Usually acquired on a
CPM-type basis for
specific purposes
• Governed by a
purchase agreement
• Can be aggregated or
at the individual level

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“An online pool of shared
shopper data as well as shared
first-party digital data from other
brands/publishers.”

13. Image source: falsefabs.wordpress.com

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Privacy and security are primary
concerns

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But many companies already share data
› 38% share some data and analytics with their
business partners
› 34% share data and analytics with their
customers
› 19% either already sell, or plan to sell, data and
data services to their business partners

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Too many questions
but the wrong data
to answer them
Too much data but
unable to answer
the right questions
16

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Marketers rely on more than 1st party
data
55%
rely on
third-party data
68%
rely on data from
business partners
– aka “second-
party data”

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In fact, it’s a critical tool for media
strategy

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Use a co-op to gain insights at scale
› Forrester has found that second-party data provides
more reach than first-party data, which is limited to
brand’s own internal data
› Second-party data also provides more granularity than
traditional third-party data
› The combination delivers far better insights, at scale,
than either first- or third-party data alone

20. © 2015 Forrester Research, Inc. Reproduction Prohibited 20
Co-ops enable more accurate reach
across channels
› Digital co-ops help brands isolate prospects from their
existing customers in digital media
› Then, brands can suppress existing customers from their
prospecting efforts, creating far better-tailored acquisition
programs, specific to each channel or medium

21. © 2015 Forrester Research, Inc. Reproduction Prohibited 21
Better insights improve customer
experience
› Meanwhile, the ability to isolate existing customers from
prospects enables content and offer customization to
each of those segments
› Using selective suppression, brands can create a
consistent experience across channels for each segment
› As a result, 46% of marketers using a co-op point to
better customer experience as a result of their insights

22. © 2015 Forrester Research, Inc. Reproduction Prohibited 22
Ultimately co-ops improve marketing
ROI
› The combination of recognition + CX + scale = an
overwhelming improvement in marketing ROI
• 42% of survey respondents using a co-op saw better ROIs
• 71% of marketers think co-ops deliver incremental revenue
• 76% of marketers expect to see financial efficiencies in the first
12 months of participating in a co-op

23. Data co-ops are
now being used
in the digital
world
This transaction data is:
Scalable
Validated
Secure
Actionable

24. ADROIT DIGITAL SHOPPER COOPERATIVE
Customer Success | Case Studies
Digital data co-ops drive better:
• ROI • Customer acquisition • Insights
GOALS
TACTICS
RESULTS
Online-Only Children’s Furniture Retailer
• Prospect for new customers
• $6 Return on Ad Spend
• % of New Customers at 40%
• Media: Display
• Strategies: Prospecting Only
• Targeting: Shopper Co-op model, Private Marketplace,
Whitelist, Goal-Based Optimization
• Exceeded primary metric goal by 33%, delivering
$8 Return on Ad Spend
• Delivered 50% new customers

25. ADROIT DIGITAL SHOPPER COOPERATIVE
Customer Success | Case Studies
Digital data co-ops drive better:
• Remarketing • Full-funnel results
GOALS
TACTICS
RESULTS
Multi-channel Men’s Clothing Retailer
• Prospect for new customers and grow
remarketing pool to drive purchases
• $5 Return on Ad Spend goal across both strategies
• Media: Display, Social, Mobile
• Strategies: Prospecting, Remarketing
• Targeting: Shopper Co-op model, Co-op Segments,
Private Marketplace, Goal-Based Optimization
• Delivered $7 Return on Ad Spend, 40% higher than goal
• Adroit was consistently the top-performing partner

26. Questions?