Why Zero Party Data Matters: Personalized Experience Without Cookies
Why Collecting Marketing Data Matters
Table of Contents Show
1. The Curious Case of the Third-Party Cookie
I feel like my family are the last outliers who don’t use Alexa or Siri.
“I talked to that speaker at Jake’s house again today. I forgot.”
My husband grins and I give a small sigh.
“Kiddo,” I say, “I don’t want you to worry, It’s totally fine. We don’t use that technology at our house but absolutely nothing will happen if you do at a friend’s a couple of times.”
It’s hard to explain to my 7-year-old why at his friend’s house he can tell the lady to play whatever music or ask about the weather, and that it’s ok – but at our house there are only real live people to talk to, and it’s probably going to stay that way.
We also don’t do things like:
Post pictures of him and his brother on social media
Give our phone numbers for rewards cards
Have a fridge that knows when we’re out of milk (is that a real thing??)
His dad tries to explain: “The reason we don’t like those devices – and some apps – is that they take the information you pass to them, then sell or give that to other companies, and then they either use that info or aggregate it, without our knowledge or consent.”
My kid knows the word “consent.” (He’s Gen Alpha, after all).
He does not know “aggregate”.
“Buddy,” I say. “If you’re not paying for the product, you are the product.”
But by then he has moved on to telling us about the boss he beat in Super Mario Odyssey.
2. Why Marketing Data Feels Like a Spy Novel (But Doesn’t Have To)
I recently read a report that 86% of Americans say their data privacy is a growing concern. And a recent McKinsey study reported that only 33% of American consumers believe that companies use their data responsibly.
I’m in that camp, obv.
Ironically, 71% of customers also expect brands to personalize their experience.
Ummmm…
There is a disconnect happening here.
To personalize, which IS important, we need data.
And this is why I will not stop talking to online biz owners about zero-party data tools.
3. Zero-Party Data: The Hero We Didn't Know We Needed
Zero-party data is info that your audience shares willingly.
It is when you ask them straight out about themselves, and they say, “Oh gosh, where do I even begin??” and you (virtually) scooch your chair right on up and (figuratively) order two salted caramel lattes for a little sesh.
Rather than sneaky-sneaky slipping an AirTag in their purse to check which 5 stops they make, after you wave hello as you pass by.
Which – real talk – is essentially what a Facebook pixel does. And other third-party cookies.
Zero-party data is also the most accurate form of data since it comes straight from the source, rather than assumptions based on demographics, behaviors, and observation.
Accuracy will always win in connecting with your audience.
4. A Cookieless Future Is Upon Us: What’s Next?
Now, if you're thinking, “Hold up, hold up, hold up: what's the difference between cookies and data?” – let's take a sidebar to clarify:
They are related, but should not be confused.
Data is the info collected on someone.
A cookie is the way you collect it. Simply put, it is a string of HTML that attaches to your browser.
The bit that makes data Zero-party, 1st-party, 2nd-party, or 3rd-party is the way it is collected.
If you collect it yourself, it’s first party.
It becomes 2nd party if it’s shared with someone else.
It’s 3rd party if it’s collected with a tracking pixel (like a 3rd party cookie).
And it’s zero-party if the person offers it up themselves
3rd party cookies provide the least accurate data.
And they’re going away.
Huzzah for anyone with privacy concerns! But not ideal for the marketers and businesses that rely on them:
No more 3rd-party cookies:
Google has started deprecating these and will not allow any by Q4 of 2024
50% of browsing activity is already hidden from 3rd party cookies
However…
75% of marketers rely on them
45% of marketers still spend at least half their budget on them
5. Gathering Insights Without the Guilt: Marketing Data Collection Methods
So, how do you get to know your clients that want you to personalize their experience?
Well, you can get info in other ways:
Zero-Party Data:
Zero-party data is like sitting down for a coffee date where your client eagerly tells you all about their preferences.
You simply ask, "Americano or frappe?" and they share, giving you the scoop directly from the source.
Zero-party data equals privacy plus personalization—like brewing their perfect cup based on their exact tastes. It takes longer, but is a people-first approach.
EXAMPLES:
Quiz
Post-purchase Preferences Form
Email survey in welcome series
Interactive tool (calculator, configurator, product selector)
First-Party Data:
Gathering first-party data is like noticing your coffee date’s natural behavior at the cafe:
do they chat with with the barista;
if they prefer the corner table or in the middle of the action;
or whether they try new drinks or always go for a double espresso.
This insight lets you tailor the experience next time, maybe by suggesting their favorite spot or drink as soon as they walk in.
EXAMPLES:
Demographic data
Sales interactions
Purchase history
Email activity (clicks, opens, etc)
Web activity (i.e., Google Analytics)
Second-Party Data:
Imagine if another café owner, whom you trust, shares what they've learned about their visitors—who loves the gluten-free brownies and who spends hours lingering over a single latte.
This exchange is like swapping notes to ensure everyone gets their favorite treat or drink, enhancing the coffee date experience based on shared insights.
Insights shared by partners like Google or Facebook.
Exchanging valuable data with another small business for mutual benefit.
6. Collecting Data in Market Research Without Being Creepy
Now that we’ve sifted through the different shades of data—zero, first, and second party—it’s clear that zero-party data shines the brightest for everyone involved.
It benefits you because it builds trust with your audience; and it benefits your audience because they get what they want.
But how do we get this magical unicorn zero-party data?
By asking in a way that’s FUN and NOT BORING AF.
My best bets are from a sexy-looking online quiz, a quickie little survey or link trigger sent via email, or connecting via large-scale yet one-on-one relationship building.
There is a whole world of platforms I adore that you can enlist for zero-party data that can also grow your business:
Note: these are affiliate links, which I’m sharing because I currently use or have used them all in my own biz
7. Tools of the Trade: Zero-Party Data Collection Platforms
Typeform:
My personal fave, which you can use to craft insanely beautiful quizzes to showcase your brand, educate, and bring your right-fit clients into your universe.
There are other quiz-builders out there, but none have both the design capabilities and logic + scoring functionality.
With a quiz, people love to find out about themselves plus give you that info too.
(Check out my own quiz if you haven’t yet!)
Plus, with Typeform you can create post-purchase surveys, onboarding forms, calculators, event forms… with the design, logic, scoring and integration potential, the possibilities are endless.
Mailchimp or ConvertKit
Email marketing is always a winner for segmenting your audience (& allowing them to choose what content they want to receive) and starting authentic convos in the inbox.
Best of both worlds? Sync up a complex quiz with your email builder and segment directly.
For email builders: I like Mailchimp for design & integration capabilities (and medium-sized businesses) and ConvertKit for ease of use (and smaller-sized businesses).
VideoAsk
This engagement tool is so powerful and dynamic, it feels like a secret weapon.
Use it to create interactive video with multiple choice built right in, plus logic and scoring capabilities to segment the journey.
I’ve used it for interactive sales pages, having 1:1 lead gen convos, market research, and even to collect video testimonials.
I not only use these methods in my own business, I use them to build pathways for my clients who want to connect authentically with their audiences – and grow their businesses in a way that feels good too.
8. Zero Party Data: Your New Fave Kind of Party
Embracing zero-party data in marketing is like your favorite barista knowing your order because you've shared it with them—not because they've spied on you through a hidden camera.
With personalized marketing plus privacy so important to your audience, it’s about building trust cup by cup, ensuring each interaction is perfectly tailored to their tastes while keeping their privacy intact.
At SmallBiz Sidekick, I have a few ways I can help you with collecting that engaging zero-party data:
the Two Week Site Solution VIP Tier Email Marketing Startup
the Two Week Site Solution VIP Tier Interactive Lead Generation
The One-Week Sales Page Sprint’s Conversion Boost
And if you’re looking to craft a custom project that combines multiple strategies to make zero-party data collection easy for you, fun for your audience, and grow your business: let's chat about brewing something especially delicious together.
And stay tuned for Part II, where we'll take a look at how to use your newly collected zero-party data to keep your audience coming back for oh so much more.
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