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Personalization Glossary
Second Party Data

Second Party Data

What is Second Party Data? 

Second party data (2nd party data) is another company’s first party data that they’re selling to another company — or sharing with a trusted business partner. 

Second party data comes from a source other than your own audience, but the same type of data as first party data. In short, you’re getting access another company’s first-party data.

Imagine you run marketing at Nike. If you’re collecting data from visitors on your own site, that’d be First Party Data. If you run a trade deal with or — the information you receive would be considered Second Party Data. 

How do you get Second Party Data?

As a company, you have control of what you buy and what you share. There are a few methods you can utilize to collect second party data:

Option 1: build relationship

Form new partnerships with companies and leverage current relationships with partners to get more data. Having trusted business partners who you’re willing to share data between is a valuable and cost effective way to get better data and better connect to your audience. 

Option 2: increase the scale of your data 

The more trusted partners you have with other companies where you feel comfortable sharing data back and forth is only going to help you get closer to the customer! 

Option 3: predict customer behaviors

With the combination of first and second party data you have more insights on your audience than before. You now have more insights about how certain audiences are acting on and off your site. This all of these insights, you can predict how a customer is going to act down the road! 

First Party Data. Second Party Data. Third Party Data. What’s the difference?

On a basic level, we are all pretty familiar with these 3 terms. But let’s discuss the difference between first party data and third party data.

First Party Data 

First party data is data that your company has collected from your own audience and your own website. The purpose of the data is to be used for personalization retargeting. This is reliable and accurate data because it comes directly from visitors to your site.

Third Party Data 

Third party data is very different than first party data or second party data. This is data that you buy from a large data aggregators (Acxiom, Factual, Infogroup, Localeze) who gather the data from other websites and platforms was created. These large data aggregators don’t have a direct connection to the customer.

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