Third-party data is aggregated from multiple external sources and sold by data providers. It includes behavioral, demographic, and interest-based data collected across websites and platforms not owned by the advertiser. While it helps expand audience reach, it’s often less accurate and faces increasing regulatory scrutiny. With the deprecation of third-party cookies, its role is diminishing in favor of more transparent, permission-based data strategies like first-party and second-party sources.
Frequently Asked Questions
What’s a risk of relying heavily on third-party data?
It can be outdated or inaccurate, leading to wasted ad spend and poor targeting.
Can third-party data still be useful in a cookieless world?
Yes, if integrated with first-party data in privacy-safe environments like clean rooms.
How is third-party data different from second-party?
Third-party data comes from aggregators, while second-party is shared directly between partners.
What are alternatives to third-party data for scaling?
First-party expansion, contextual targeting, and AI-driven cohort modeling.
