Does your organization need an identity resolution platform?
Identity management platforms can be a big help to marketers, but do you need one? This guide will help you find the answer.
Identity resolution platforms are a key tool for marketers to understand who their customers are and how to comply with the many different consumer privacy regulations. Deciding if your company needs one requires the same steps involved in any software adoption. The first thing to do is a comprehensive self-assessment of the organization’s business needs, staff capabilities, management support and financial resources. The following questions can serve as a guideline for this.
Does our customer data reside in disconnected silos throughout the organization?
Data silos within sales, marketing, procurement and/or customer support can lead to inconsistent customer experiences with a brand. An identity resolution platform can connect these systems. It will integrate consumer identifiers across channels and devices in a way that is accurate, scalable and privacy compliant to create a persistent and addressable individual profile.
Do we have customer knowledge gaps that could be filled with trusted second- and third-party data?
First-party data is essential to build a strong relationship between you and your customers. However, identity graphs using anonymized second- and third-party data can provide valuable demographic, locational, financial and other information to fill gaps in customer insights. As data collection and matching techniques improve, creating a 360-degree view of customers through identity resolution platforms may make sense.
Are we in compliance with CCPA, GDPR and other data privacy regulations?
Data breaches and misuse of consumer data continue to make headlines, leading to an increase in privacy regulations. It’s crucial to ensure your data governance practices comply with the EU’s General Data Protection Regulation (GDPR) and/or the California Consumer Privacy Act (CCPA). While collecting and using consumer data is an essential part of marketing, it also escalates the risk of damaging your brand and incurring legal consequences.
Can we successfully integrate our existing customer data systems with an identity resolution platform?
Your various martech and ad tech systems absolutely must be able to communicate with each other. If they can’t, your organization likely would benefit from an identity resolution platform. This platform can incorporate identifiers and profiles between and within these systems for consistency and accuracy, creating a persistent and addressable individual profile
Does our C-suite support identity resolution initiatives?
Most C-level executives overestimate their marketing organization’s customer identity accuracy and persistence, according to a Forrester study. This can lead to inadequate budgeting, campaign measurement and performance, and broken customer experiences. Therefore, it is critical to secure C-suite support for identity resolution initiatives across the organization.
Identity resolution is not only critical to marketing success but is essential for compliance with consumer privacy laws such as CCPA and GDPR. Explore the platforms essential to identity resolution in the latest edition of this MarTech Intelligence Report.
How would we use identity resolution?
Identity resolution has many marketing use cases, from complying with data privacy regulations to developing more accurate lookalike audiences to improved marketing segmentation and targeting. Identifying the use cases that would most benefit your organization is fundamental for establishing and prioritizing the capabilities you’ll need.
What KPIs do we want to measure and what decisions will we make based on the data?
It’s critical to measure the impact of an identity resolution platform on your marketing ROI. Resolving customer identities will provide new cross-sell and upsell opportunities because your marketing team knows more about your customers. Although KPIs vary by organization and/or industry, you should be able to measure incremental lift in metrics such as average order value, average revenue per user, basket size, response rates or customer retention.
What is the total cost of ownership?
Most of these platforms use on-demand pricing, meaning customers pay a monthly subscription price that will vary by usage. Pricing is typically based on the number of data records or customer profiles under management or the number of matches or API calls. Some also have add-on customer support options.
Identity resolution platforms: A snapshot
What it is. Identity resolution is the science of connecting the growing volume of consumer identifiers to one individual as he or she interacts across channels and devices.
What the tools do. Identity resolution technology connects those identifiers to one individual. It draws this valuable data from the various channels and devices customers interact with, such as connected speakers, home management solutions, smart TVs, and wearable devices. It’s an important tool as the number of devices connected to IP networks is expected to climb to more than three times the global population by 2023, according to the Cisco Annual Internet Report.
Why it’s hot now. More people expect relevant brand experiences across each stage of their buying journeys. One-size-fits-all marketing doesn’t work; buyers know what information sellers should have and how they should use it. Also, inaccurate targeting wastes campaign spending and fails to generate results.
This is why investment in identity resolution programs is growing among brand marketers. These technologies also ensure their activities stay in line with privacy regulations.
Why we care. The most successful digital marketing strategies rely on knowing your potential customer. Knowing what they’re interested in, what they’ve purchased before — even what demographic group they belong to — is essential.
Dig deeper: What is identity resolution and how are platforms adapting to privacy changes?
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