Why First-Party Data Matters Less Than You Think for Retargeting

Here’s why 

First-party data usually means the names, emails, and phone numbers of customers who purchased on your Shopify (or brand) website.

That’s the 2% who converted. Only 2% of all the traffic you paid Google, Meta, TikTok, or others to bring in.

The remaining 98%? They didn’t buy. They didn’t share their details. They just left. And that 98% is where your biggest opportunity lies.

Let’s break this down:

• First-party data on Amazon Marketing Cloud (AMC) or Amazon DSP is only useful for repeat/refill campaigns.

• You’re targeting those who already bought from you.

• That’s retention, not acquisition.

• Important, but very limited in scale.

• The 98% of non-converters are more valuable to focus on.

• You already paid for them once.

• They showed intent by visiting your site.

• They’re far more likely to buy if they see you again on Amazon.

So, how do you capture and retarget that 98%?

• Install the Amazon Ad Tag (pixel) on your website.

• The pixel collects data on both converters and non-converters.

• You can segment out the non-converters and re-engage them through DSP.

This way, when they browse Amazon, your product shows up. They remember visiting your site. And now they get a chance to purchase—often with a much higher conversion rate.

So while the industry is busy glorifying “uploading first-party data into AMC,” the real question is:

Why chase the 2% when 98% of your audience is waiting for you on Amazon?