Marketing in a Post-iOS 14 World: Why In-App Data is Your New Best Friend

August 18, 2023

In the wake of iOS 14, marketers are rethinking their strategies. With Apple’s new privacy updates, the traditional methods of tracking and retargeting have taken a significant hit. Gone are the days when email lists, shopper lists, and look-alike audiences built on third-party data were the cornerstone of a successful campaign. Today, these once-reliable techniques are becoming increasingly obsolete.

Why the change? iOS 14 has introduced stringent privacy measures that make it harder for marketers to track user activity across apps and websites. As a result, the effectiveness of external email lists and site visit tracking for retargeting has plummeted. Marketers who once relied on these methods are now facing a new reality where in-app data has become king.

First-party data, collected directly from user interactions within apps like Instagram, is proving to be invaluable. This data includes everything from engagement metrics and in-app behavior to purchase history and user preferences. In this post-iOS 14 world, leveraging this first-party data is no longer just an option—it’s a necessity.

The iOS 14 Privacy Shift

Apple's iOS 14 update brought significant changes to how apps can track user data. The most notable change is the App Tracking Transparency (ATT) framework, which requires apps to get explicit permission from users before tracking their data across other apps and websites. This shift towards greater user privacy has dramatically affected the way marketers collect and use data.

For years, marketers relied heavily on third-party data to understand user behavior and target ads. Cookies and other tracking methods allowed them to gather information from various sources, build comprehensive user profiles, and create targeted marketing campaigns. However, with iOS 14's privacy updates, the effectiveness of these methods has been severely diminished. Users are more likely to opt out of tracking, leading to a significant reduction in the amount of third-party data available.

Key Impacts:

  • 96% of iOS users have opted out of app tracking (Flurry Analytics, 2021)
  • 39% decrease in the size of advertisers' addressable app audiences on iOS (AppsFlyer, 2021)
  • 38% increase in iOS CPMs post-update (Tinuiti, 2021)

These statistics underscore the urgent need for marketers to adapt their strategies and find new ways to reach and engage their target audiences.

The Importance of First-Party Data

In this new landscape, first-party data has become a crucial asset for businesses. But what exactly is first-party data, and why is it so important?

First-party data refers to the information collected directly from users based on their interactions with your app, website, or other owned properties. Unlike third-party data, which is gathered from external sources, first-party data is obtained straight from the source: your customers. This makes it more accurate, reliable, and valuable for crafting personalized marketing strategies.

Examples of First-Party Data:

  • Engagement Metrics: These are the interactions users have with your content, such as likes, comments, shares, and saves. By analyzing these metrics, you can gauge what type of content resonates most with your audience. In-app interactions with your organic content are more important than ever, as they provide direct insight into user preferences and behavior.
  • In-App Behavior: This data tracks how users navigate and interact within your app. It includes actions such as clicks, page views, time spent on different sections, and features used. Understanding in-app behavior helps you optimize the user experience and identify areas for improvement. Additionally, you can retarget users who interact with your photos or videos, making your marketing efforts more precise and effective.
  • Purchase History: For e-commerce apps, first-party data includes detailed records of users' purchase histories. This information is invaluable for creating personalized offers, recommending products, and developing loyalty programs.
  • User Preferences: Over time, users provide explicit information about their preferences through settings, choices, and interactions. This data can help you tailor your messaging and product recommendations to better meet their needs.

Social Platforms and In-App Shopping

Social platforms like Instagram and TikTok are increasingly moving towards in-app shopping experiences. Features like Instagram Shop and TikTok Shop allow users to browse and purchase products without leaving the app. This shift not only enhances the user experience but also provides businesses with additional first-party data to use for retargeting.

With in-app shopping, you can gather data on what products users are viewing, adding to their carts, and purchasing. This data can then be used to retarget these users with personalized ads, recommend similar products, and even create look-alike audiences based on their behaviors. As a result, this approach offers a higher return on investment (ROI) compared to relying on third-party data.

Traditional Retargeting vs. Modern Retargeting

Old Methods

Before the iOS 14 updates, marketers heavily relied on external email lists, site visit tracking, and look-alike audiences for retargeting. These methods allowed them to reach potential customers who had shown interest in their products or services but hadn't yet converted. However, with the decline in the availability of third-party data, these traditional methods have become less effective.

New Methods

In the current environment, retargeting efforts have shifted to focus on first-party data. This means using information gathered directly from user interactions within your app or website. Here are some practical strategies:

  • Using Engagement Metrics: By analyzing engagement metrics from social media platforms, you can retarget users who have interacted with your content. For example, you can create ad campaigns targeting users who have liked or commented on your posts.
  • Leveraging In-App Behavior: Understanding how users navigate and interact within your app allows you to create personalized ads and offers. For instance, you can retarget users who have viewed specific product pages but haven't made a purchase.
  • Building Custom Audiences: Use video views and other in-app interactions to build custom audiences. For example, you can create a segment of users who have watched a particular video and target them with related content or offers.
  • Retargeting Followers: Your followers on social media are already interested in your brand. By using first-party data, you can retarget these followers with specific campaigns, increasing the likelihood of conversions.

Tools and Resources

To effectively gather and utilize first-party data, you need the right tools and platforms. Here are some essential ones:

  • Google Analytics: A powerful tool for tracking and analyzing user behavior on your website.
  • Facebook Pixel: Helps you measure the effectiveness of your advertising by understanding the actions people take on your website.
  • In-App Analytics Tools: Platforms like Mixpanel and Amplitude provide detailed insights into user behavior within your app.

Conclusion

In summary, the importance of in-app data has skyrocketed in the post-iOS 14 world. As traditional tracking methods become less effective, leveraging first-party data is essential for creating personalized, targeted marketing campaigns. By focusing on engagement metrics, in-app behavior, purchase history, and user preferences, marketers can build stronger relationships with their customers and drive better results.

It's time to prioritize first-party data in your marketing strategies to stay ahead of the curve. Embrace the shift, adapt your tactics, and unlock the full potential of in-app data to thrive in this new digital landscape.

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