5 examples to use Zero-party Data to improve your marketing performance
Rise of zero-party data
Forbes called it the ‘new oil’ a while ago. It's becoming a prominent marketing trend for 2025.
What is Zero-party data?
Zero-party data is data that users proactively and willingly share. It provides insight into an individual's preferences, purchase intentions and personal context. It's more accurate and less implicit than first party data.
Unlike other types of data, such as first-party or third-party data, which might be inferred from behavior or collected without direct consent, zero-party data is voluntarily provided by individuals. Zero party data includes preferences, interests, intentions, and personal information that customers knowingly share. It's like a direct conversation with your customers, where they tell you exactly what they're looking for.
Zero-party data & marketing automation
So that data is very valuable. Especially given the increasing regulation and when you use it to optimize your marketing automation and personalization.
Collecting zero-party data
So that’s awesome! But how do you collect it? Via forms, surveys and guided selling, among others.
We also see the latter back in our sign-ups. More and more customers are using Qonfi, not only to give personalized product advice and guide users through the buying process, but also as a tool to collect more zero-party data to further optimize their marketing automation and personalization.
5 Ways zero-party data can boost your marketing strategy
Here are a few examples on how zero party data can enhance your marketing performance. These are just some examples - let us know if these sound familiar or whether you have any other examples.
1. Increase repeat purchases and CLV
If you sell consumable products like skincare, supplements, or pet food for instance, you can calculate a user's consumption rate based on their shared preferences and personal habits. This enables you to send timely restock reminders with exclusive discounts.
2. Targeted e-mail campaigns
When a user shares their preferences you can determine the best product matches (e.g., through Guided Selling). Use this zero-party data to send targeted promotions and emails that increase conversions.
3. Improve on-site personalization
Use zero-party data to optimize (product) content that resonates with your user. If a user values sustainability, showcase your eco-friendly products to enhance engagement and brand connection.
4. Optimize (PPC) prediction models
PPC depends on precise targeting and personalized ads. Leveraging zero-party data allows you to enhance prediction models, improving ad performance. For example, user preferences and personal context help assess user (or conversion) quality and better predict the likelihood of a repeat purchase.
5. Optimize product assortment
When you know the personal context of your users and what they prefer, you can optimize your product assortment to better align with their needs.
Zero Party vs. First Party vs. Third Party data
Let's break down the differences between zero party data, first party data, and third party data.
Zero Party Data
Zero party data is information that individuals willingly and explicitly share with a business. This data is given by customers directly, often through surveys, quizzes, or preference settings. It includes personalized insights into customers' preferences, interests, and intentions. For instance, when a customer provides details about their dietary preferences in a food delivery app, it's zero party data. This type of data is highly valuable as it offers genuine and accurate insights into customer preferences, allowing businesses to create highly targeted and personalized experiences.
First Party Data
First party data is data that a company collects directly from its own interactions with customers. This data includes customer behaviors, transactions, website visits, and interactions with email campaigns. For instance, when an e-commerce store tracks a customer's browsing history on their website, it's first party data. This data is essential for businesses to understand customer behaviors and preferences, enabling them to tailor their marketing strategies and improve customer experiences.
Third Party Data
Third party data is data collected from external sources, often aggregated from multiple sources and then sold to businesses. This data can include demographic information, interests, and behaviors gathered from various platforms. For example, a business might purchase third party data to target ads to users who have shown an interest in a specific product category. However, third party data can be less accurate and relevant compared to zero and first party data, as it's not directly obtained from customer interactions.
In summary, zero party data is the most explicit and valuable, given directly by customers. First party data comes from a business's own interactions, and third party data is purchased from external sources. Utilizing zero and first party data can lead to more accurate targeting, better personalization, and enhanced customer experiences.
Collect Zero Party Data with guided selling
If you're looking to take your guided selling strategy to new heights and drive growth for your business, Qonfi's Guided Selling is the answer. Our platform is designed to enhance the online customer experience of your customers and boost conversions like never before. From tailored suggestions to real-time guidance, the tool ensures every customer finds the perfect fit for their needs. Incorporating zero party data through the product finder enhances customer engagement. This personalized approach builds trust, acquires insights, and optimizes experiences, boosting conversions and ensuring success in the digital age.
Is guided selling right for you? Feel free to create an account and start a free trial. Discover for yourself how simple and effective it can be to assist your customers in making the right choice.