Constant dollars

Why you should look at the data for smart marketing


Opinions expressed by Contractor the contributors are theirs.

At first glance, the brand’s communication optimization strategy based on customer information may seem very simplistic. But the layers it encompasses are anything but simple.

Communication and customer engagement is the place to start, but the focus should be on collecting in-depth information about customer preferences, needs, demands and analysis to develop a strategy.

The first connection is where the data needs to be relevant and complex, yet easy to analyze. Analytics plays a huge role here, and there are many tools that can help cleanse, structure, and analyze big data to gain insight into customers. But a big part of marketing is making connections – data provides us marketers with information that can make that connection.

As all market leaders understand, marketing relies on this special connection. Data that has been carefully sifted and analyzed can help create that connection, especially for modern strategies like ABM. With data available from an almost endless number of sources today, there are plenty of opportunities to deliver personalized marketing messages to millions of customers. This connection reveals another important data point: their choice of medium or channel. And this is where the strategy must be positioned for the target.

Personalized messaging

Personalized messaging tends to be much more effective at finding its target. In a 2018 report from Business2community, some exciting facts proved that data-driven personalized marketing can deliver 5-8x the return on investment for the marketing dollar.

The benefits go far beyond the company’s ROI or sales success. Personalized marketing made possible by excellent data analysis builds customer loyalty. They know that you know their preferences and that you can trust them implicitly to meet their needs. Of course, there is a lot less spending in selling dollars since there is no investment wasted in shelling rugs for market courier. The budget is then better allocated and spent.

Related: 5 Must-Have Skills for Data Scientists

How to be successful in data-driven marketing

But a big part of the success of data-driven marketing depends on a few critical features. Data analysis is a complex exercise and requires specific skills and competences to obtain convincing information. With a plethora of data available today, data collection is undoubtedly one of the lesser of the challenges.

What is still feared is the overabundance of data to identify relevant points of use. From the available aggregate data, the task is to derive shaped and actionable data from the analysis. There are plenty of marketing analytics and visualization platforms that can help with this, but technology isn’t the only issue here. From experience, it is also the ingenuity of management that will help identify critical information from average data. An experienced and knowledgeable team leader is therefore imperative. And this is especially the case at a time when the preferences of the target group are constantly changing. It takes both technical skills and life experience to focus on the best information to make strategic decisions.

Sometimes the challenge is also the technological readiness of the organization. Often, companies store data in different silos, and marketing data analytics must integrate and analyze them all. It can be a brilliant idea to have an integrated database that can be accessed by the analysis team for insight.

Related: Why Data Is The World’s Most Valuable Resource Today

Benefits of data-driven insights

Data-driven insight also offers the flexibility of multi-channel or omnichannel marketing, with personalized offers. Since the data also enables location-based analysis, targeting becomes all the more light on investment. It also provides for a constant evolution of the content, allowing the delivery of the best possible messages.

Careful study of customer and market data could also provide insight into competitor behavior, strategic trends and planning. This would be invaluable information for crafting creative and holistic strategies that satisfy customers while keeping an eye out for the competition. And of course, pricing strategies can ultimately be data driven, providing an opportunity to increase the bottom line.

But, the most crucial benefit that data offers to market makers is the ability to reconstruct strategies based on fact – not ego. It can be disappointing to know that there has been a mistake, possibly costly. But backed by data, it’s never too late to make a course correction, reducing wasted time. Data insight can refine each strategy to a specific point of efficiency – without wasting resources or investments – and focus on each customer requirement. Marketers can use the power of this information to create a lean and agile strategy, fight the competition with targeted messaging, and get extra ROI for every dollar spent.

Data is arguably the most critical weapon for a marketer looking for the highest points of success and the lowest costs.

Related: How to Use Real-Time Data to Refine Your Business Decisions