Milton Pedraza, founder/CEO of the Luxury Institute, has partnered with industry experts to launch a personal data exchange that empowers consumers to legally download their Facebook, Google, Twitter, Instagram and other data securely and privately.
Called DataLucent, the platform will allow consumers to license their data to brands that they trust in exchange for fair-value benefits and rewards. This way, marketers can create direct, first-party data relationships with consumers for more targeted advertising in an environment where Google is down on third-party cookies and Apple close to banning tracking user activity on apps with opt-in permission.
“With direct consent-provided access to consumer data, brands will be able to generate highly actionable insights and customer segments and audiences for accurate targeting, online and offline,” Mr. Pedraza said.
DataLucent cofounders include CEO Brad Davis, Tim Moynihan and Howard Hall. Mr. Pedraza is chairman.
Consumer platform data has become the world’s most valuable asset, with little value provided back to consumers – the actual data producers.
Moreover, advertisers and brands have no access to most of this valuable data, which has been monopolized by consumer social and ecommerce platforms.
Per market researcher Gartner, 65 percent of the world’s population will have its information covered under modern privacy regulations by 2023, up from 10 percent currently.
In this Q&A, Mr. Pedraza explains how DataLucent works and what problems it addresses for marketers dealing with data in an era where consumer privacy is becoming a growing priority for regulators.
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What need does DataLucent serve? Who is it targeting?
DataLucent serves ethical brands and consumers, globally.
As an exchange, DataLucent educates and empowers consumers to download their data from platforms like Facebook, Twitter, etc. and license it to brands in exchange for fair value while empowering brands to create direct, first-party data relationships with consumers to enhance insights and achieve the most predictive customer segments and audiences for high-performance targeted advertising.
DataLucent is creating the next generation of consumer panels.
Through data portability, consumers can take legal control of their data. However, consumers do not have a way to earn value for that data, until now.
We help consumers to take control of their personal data assets and gain immediate value for it from brands they trust.
Consumers are seeking opportunity, inclusivity and moments of joy. DataLucent is the outlet.
Additionally, with the elimination of third-party cookies by Google and opt-in by Apple, brands need to find a new way to gain legal access to consumer data. DataLucent is the outlet.
With direct consent-provided access to consumer data, brands will be able to generate highly actionable insights and customer segments and audiences for accurate targeting, online and offline.
Consumers are generating gobs of data through their digital transactions and interactions that advertisers are looking to tap into and monetize. Obviously, this has created a concern about data privacy and rights, has it not?
It has, which is why DataLucent systems, technologies and workflows are privacy by design.
Everything is built to and meets the eight GDPR standards. As a consumer uploads their data file from Facebook, Google, Twitter, etc. it is immediately aggregated, encrypted and secured in the DataLucent Xchange (DLX).
Consumers have the power to be anonymous or recognized. Every individual’s data is secured in a personal data store and never mixed with another individual’s data. The consumer is, at all times, in control of their data.
How does DataLucent work?
DataLucent operates through two streams.
For DTC brands, brands can invite customers or subscribers to license their data in exchange for a reward or benefit – for example, complimentary room nights, upgrades, invitations to private events, merchandise, etc.
Through a two-step process, the consumer downloads their data from their social platforms of choice – Facebook, Google, Twitter – and takes full possession of it on a device they own and control – mobile, laptop, desktop, tablet, etc. The consumer then uploads it to the DLX platform. Once the file is uploaded and confirmed by DLX with the brand, the consumer receives their reward directly from the brand.
The second stream enables brands to invite prospective consumers through ads on social platforms where the consumer will download their data directly. The same two-step process applies.
This process takes no more than 5-10-minutes to complete, depending on the amount of data in the file; more or less data – i.e., time spent on the platform – more or less time.
What is the future of data-based advertising and marketing across platforms?
It will be far more consumer-data driven.