By Haleigh Beckman, Director of Product Marketing, Listrak
Brands strive to deliver the right message to the right customer on the right channel. But before that can happen, they need to know exactly who their customers are.
This is where identity resolution comes in. However, effective identity resolution isn’t about collecting as much data as possible; it’s about leveraging the right data—specifically, the data you own and customers willingly share.
What is Identity Resolution?
Today’s consumers interact with brands through a variety of touchpoints: multiple email addresses, devices, browsers, and phone numbers. Without the right tools, this fragmented activity can lead to inflated contact lists and muddled performance metrics. Often, it’s the same individual on the other side of these interactions.
Identity resolution solves this by unifying disparate data points, such as email subscriptions, onsite behaviors, purchase history, and cross-device activity, into a single, actionable customer profile. This clarity is what makes personalized and impactful marketing possible.
The Power of Seeing Your Customer as One
Through our data, we’ve observed that shoppers subscribed to both email and SMS have a 30-40% higher lifetime value (LTV) compared to single-channel subscribers. This is a clear example of why understanding your customer as a single individual—across channels—drives better outcomes.
When marketers rely on fragmented data or fail to stitch together subscription points, they miss key opportunities to engage customers effectively. Knowing not just who your customers are, but also how and when they prefer to engage, is critical for maximizing long-term value.
Why First-Party Data Matters
For years, marketers have relied on third-party data to enhance customer profiles. But with stricter privacy laws, the decline of cookies, and rising consumer expectations, third-party data is no longer a sustainable solution.
Instead, a first-party data strategy enables marketers to build trust and engage more effectively:
- Trust and Relevance: First-party data is willingly shared by customers—whether through email sign-ups, SMS opt-ins, or website interactions. These customers are already engaged, making your messages more relevant and welcomed.
- Compliance and Confidence: First-party data collection ensures your marketing remains fully compliant with regulations like GDPR and CAN-SPAM. This not only safeguards your brand but also reinforces customer confidence.
- Higher ROI: Campaigns based on first-party data consistently deliver better results. Messages tailored to known preferences and behaviors drive higher open rates, clicks, and conversions, leading to stronger lifetime value.
Optimize Subscription Points Across Channels
One of the most critical aspects of identity resolution is understanding your customer’s subscription journey—when and where to ask for opt-ins and how to manage those subscriptions across channels.
For example, if a customer has already subscribed to your email list, consider prompting them to opt into SMS when they interact with your website or make a purchase. By encouraging multi-channel engagement, you not only improve personalization but also significantly boost customer LTV, as seen in our 30-40% LTV uplift for dual-channel subscribers.
A First-Party Future
The era of indiscriminate data collection is over. Today, brands that focus on zero- and first-party data create lasting relationships built on trust, privacy, and mutual value.
By prioritizing first-party data and optimizing subscription points across channels, marketers can craft more meaningful, multi-channel experiences. This doesn’t just enhance short-term engagement—it builds a foundation for long-term growth and success.
When it comes to identity resolution, remember: owning your data means owning your customer relationships—and your future.
