First-party data refers to information that a company collects directly from its customers or users. Before it can be utilized in marketing, first-party data should be verified for accuracy and relevance. First-party data relies on four major foundations—collection (gathering information from your platforms, such as websites, apps, or surveys), accuracy (ensuring that such information is task-specific and up to date), segmentation (organizing the data into different categories) and privacy (following confidentiality regulations and asking for user consent).

In online marketing, insights from first-party data are crucial for understanding customer behavior and delivering personalized advertisements. First-party data can enhance consumer engagement and increase sales while safeguarding individual privacy and upholding pre-existing principles of confidentiality.