Connecting first-party data to media buying: A guide for Performance Marketing Managers

In an era marked by the depreciation of third-party cookies and intensifying ROI pressures, first-party data has become the cornerstone of effective media buying. Performance marketers who successfully connect their data warehouses to platforms like Google Ads and Meta achieve remarkable results, typically 20-25% but up to 50% reduction in CPA through enhanced audience targeting.

While initial implementation may seem straightforward, the true challenge lies in developing a scalable, automated architecture. This guide will outline how to start leveraging first-party data in your media buying, focusing on easy, scalable actions that pay off.

Why first-party data is critical for media buying

As a performance marketer, you are witnessing firsthand the impact of strengthened privacy regulations and third-party cookie deprecation. First-party data provides the solution, enabling precise, privacy-compliant targeting while maximizing marketing spend efficiency. By connecting your customer data to paid media platforms, you can build deeper relationships with customers and uncover new opportunities for optimization.

In both the retail and telecommunications sectors, we’ve seen significant success. For instance, a telecom client achieved a 50% decrease in CPA through the strategic use of first-party data in their media buying.

How to get started with first-party data in media buying

While vendors often promote complex solutions, you likely already have the essential components and tools needed to begin activating first-party data. Consider additional technical investments only when you’re ready to scale or automate your operations.

Examples of first-party data applications:

• Lookalike audience creation
• Cross-sell targeting
• Customer lifetime value optimization
• Churn prevention campaigns
• Acquisition cost reduction

Step 1: Run a few experiments

Start with simple tests using your existing data. One telecom marketer began by identifying high-value customer segments and creating similar audiences in their paid media platforms. By targeting these segments with tailored messaging, they reduced customer acquisition costs by 20%. This initial step used straightforward exports and platform uploads.

Step 2: Automate

Once you’ve validated a use case, focus on automation. Key aspects include:

• Data flows and updates
• Audience management
• Campaign optimization

Choose the right technical setup based on your needs, whether that’s building on your data warehouse, implementing a CDP, or using middleware solutions.

Step 3: Scale up the number of use cases

As you expand your program, prepare to address common challenges:

• Data quality and freshness
• Cross-channel coordination
• Performance measurement
• Resource allocation
• Long-term sustainability

Best practices for success

Organizations that successfully scale their first-party data in media buying focus on:

• Starting with clear business cases
• Building scalable technical foundations
• Maintaining consistent data quality
• Measuring incremental impact

The path forward

Getting started with first-party data in media buying is straightforward, but the real value comes from scaling effectively. Begin with small experiments, automate what works, and expand methodically. While the journey requires careful planning, the potential rewards, including reduced acquisition costs and improved targeting, make it worthwhile.

Consider partnering with experienced practitioners to accelerate progress and avoid common pitfalls.