Welcome to our 2022 identity to do list, where we list and break down the 4 most important items that brands and marketers should add to their identity strategy playbook for the coming year.
1. Select an identity provider that puts data accuracy first
2. Choose an identity provider that continues to invest in technology
3. Your identify provider must deliver (and doesn’t just say they are) transparency
4. All identity providers must have high-security standards
It is no secret that identity is a fundamental component of the digital ecosystem. It’s the holy grail that powers personalization, measurement, and efficiency. Brands need to prepare for a future where accurate identity is the only ruling principle and the definite source of all data.
Use the simple list below to make sure you’re asking your identity provider the right questions as we kick off a new year of first party consumer data.
1. Select an identity provider that puts data accuracy first:
An identity graph full of data doesn’t mean a brand can target individual consumers across numerous devices and channels. It needs to be accurate, or it’s useless. Unfortunately, accuracy is one of the most prominent pain points for brands, and it’s about to get worse.
On average, consumers use three to four internet-connected devices throughout their buying journey. By 2022 analysts expect that number to escalate to 13 connected devices. In other words, the data flood gates are opening and accurately matching records across devices becomes even more complicated.
So, ask yourself, does your current or potential identity provider have a strong strategy for cleaning, appending, and keeping your data up to date? If not, you’ll find inconsistencies and inaccuracies when it comes to marketing to an individual within your CRM file. Even if your identity provider successfully synchronizes new data, matching the right data with the wrong customer profile makes the data inaccurate instantly.
The best identity providers deploy a variety of “data hygiene” steps, such as email validation, de-duplication, deceased processing, and National Change of Address (NCOA), to ensure a customer’s data is at the highest level of fidelity BEFORE matching occurs. This allows for the highest possible match rate. Throtle always recommends a data match test before any contracts are signed or pricing discussed. It’s important that both sides understand the depth and wealth of the data and how it might or might not perform before entering a partnership.
2. Choose an identity provider that continues to invest in technology:
If your identity provider isn’t consistently investing in technology, it’s time to break up. Not only should your provider be investing heavily in underlying data technology, but also in curating the most recent, accurate and rich data currently available in the market.
Identity providers should constantly expand their network of like-minded data and media partners, focusing on tech-forward leaders. Without this network and a constant stream of integrated multi-sourced customer data including email addresses, MAIDs, and cookies, your identity partner won’t have scaled accurate identifiers to validate individual consumers on a deterministic basis.
3. Your identify provider must be transparent (and not just ‘say’ they are):
Actions speak louder than words. Moving forward, identity providers will be held accountable for having a transparent data supply chain and stringent criteria for measuring data quality. A mere data match percentage will no longer cut it. They will need to implement a rigorous, multi-step data process to ensure that all data is properly cleansed and prepared. Furthermore, brands deserve a comprehensive report that discloses how data is collected, built, and validated. Make sure your identity resolution provider can show you:
- The recency and frequency of the data
- Email and attribute append rates
- Address standardization
- Number of devices per record (after removal of record/device duplicates)
- Net usable records and unusable records
- Distinction between: proprietary data vs. white labeled data, individual match rates vs. household match rates and probabilistic match rates vs. deterministic match rates
4. All identity providers must have high-security standards:
Without a doubt, security breaches and consumer distrust will follow us into 2022. If brands want to retain consumer confidence, they need to know that the data they receive is accurate, privacy compliant and responsibly sourced.
Make sure that your identity provider has a privacy-compliant identity process. Well-executed identity embraces industry best practices and principles that ensure data is harnessed in ethical, compliant, and privacy safe ways. In the wake of GDPR, CCPA and others to soon follow, a brand’s identity strategy should ensure secure data transfer and encrypted storage, data processing controls and access restrictions, as well as regulatory compliance.
Conclusion
The right recipe for identity is subjective to a brand’s need but should always have a strong foundation of highly accurate and resilient ingredients. This is a guideline, that if followed, we guarantee it will help your brand to remain competitive in this empowered and connected consumer age.
