First-party data is reshaping the marketing landscape

The trend: Acquisitions and innovative product launches are revamping the first-party data landscape to meet the demand for more personalized, privacy-compliant advertising in a future less dependent on cookies.

• AI-powered marketing cloud platform Zeta Global is acquiring LiveIntent for $250 million to bolster its position in the AI-driven marketing space. The deal integrates 235 million hashed email addresses from LiveIntent into Zeta's Data Cloud and adds 2,000-plus publisher partners to expand Zeta's offerings.
• Earlier this year, LiveRamp acquired data clean room provider Habu for $200 million, enhancing its ability to securely share first-party data across platforms, a crucial step in the cookieless future.
• In July, BlueConic acquired Jebbit, combining their CDP and data collection capabilities to enhance first-party data collection.
• Last week, PayPal Ads formally launched at Advertising Week New York, leveraging first-party data from 400 million users and 225 billion transactions to offer advertisers cross-merchant and market share insights.

Why it matters: As third-party cookie policies change, brands are seeking more control over their data usage to pave the way for targeted marketing, insights, and personalization. This shift is evident in advertising and other sectors:

• Companies like Instacart, DoorDash, and Gopuff are expanding their ad formats and leveraging their first-party data, indicating broader trends in retail media creativity and off-site advertising growth.
• Non-retail verticals like financial services and travel are adopting the retail media model to monetize their first-party data, though advertiser demand remains uncertain.
• Retail media networks, led by platforms like Walmart Connect, are also incorporating non-endemic advertisers. This strategy uses first-party data to offer targeted ads beyond traditional product catalogs, enhancing revenue opportunities and future-proofing advertising strategies.
• Roku's decision to open its first-party data to demand-side platforms like The Trade Desk signals a potential shift away from walled gardens in the connected TV (CTV) space. This move may pressure other streaming platforms to follow suit, potentially transforming the CTV advertising landscape.

Our take: As privacy concerns continue to shape advertising strategies, companies that can effectively leverage first-party data and AI technologies are poised to drive the next generation of marketing solutions.

• Over time, expect to see more creative applications of first-party data to enhance advertising effectiveness—like Instacart’s Clorox pilot incorporating its first-party data into shoppable YouTube ads to expand its retail media reach.
• The future of marketing appears to be centered on the intelligent use of first-party data, AI-powered personalization, and cross-channel integration.