He Analyzed The Entire Website Visitor ID Industry And Now Thinks It's A Complete Scam — Larry Kim | How Visitor ID Tech Works, Why Bad Visitor Data Is A Disaster For Your Marketing, The Impact Of Bad Data, How To Test Your Visitor ID Provider (#381) | Ecommerce Coffee Break – The Ecom Marketing & Sales Podcast | Podwise
He Analyzed The Entire Website Visitor ID Industry And Now Thinks It's A Complete Scam — Larry Kim | How Visitor ID Tech Works, Why Bad Visitor Data Is A Disaster For Your Marketing, The Impact Of Bad Data, How To Test Your Visitor ID Provider (#381)
This episode explores the accuracy and effectiveness of website visitor identification technology in e-commerce. Against the backdrop of stubbornly low conversion rates, the promise of identifying website visitors to enable targeted marketing is alluring. However, Larry Kim, CEO of Customers.ai, argues that the industry is largely fraudulent, with most vendors providing data that is 70-95% inaccurate. More significantly, Kim highlights the catastrophic consequences of using this inaccurate data for email marketing, leading to damaged email deliverability and potential ESP account termination. For instance, one case study showed a 16-fold increase in purchases using Customers.ai's data compared to a competitor's data, demonstrating the impact of data accuracy on conversion rates. Kim explains that Customers.ai's approach differs significantly, focusing on engineering and controlling data sources for higher accuracy (65-80%). He offers a free data accuracy test to help e-commerce businesses assess their current providers and make informed decisions. This reveals emerging industry patterns reflecting a critical need for transparency and accuracy in website visitor identification technology.
