Data Driven Marketing: Why Companies Who Don’t Use It Will Soon Be Left Behind
Consumers are flooded with so many marketing materials that they need to be selective about what products and services to consider. How they decide is often based on how well the marketing is presented. The underlying key to presenting relevant and effective messaging to consumers is data driven marketing.
From Amazon to Apple, the standard for the kinds of interactions people want has shifted dramatically over the last decade. The only way to meet those expectations and stand out is by using data driven marketing.
Here are some things you can achieve with effective use of your data – and what you’ll miss out on with older methods of marketing.
Know What Works
It’s tempting to think you know what your customers want, especially if you’ve been in business a while. Combing through data could feel like a waste of time.
Your experience is important, but it doesn’t always account for shifting data trends. To know for sure what your customers will do, you need to look closely at the information you’ve gathered.
Doing this allows you to uncover any unexpected customer behavior. You should also revisit the data on a regular basis to stay up-to-date on the latest changes.
Once you know this, you can make the best decisions for your company. Without this information, you’re likely to head down the wrong path.
Target Customer Segments with Personalization
One of the biggest changes with marketing is the focus on personalization. These days, being personal goes far beyond using someone’s first name. While personalization is as much art as science, data driven marketing provides the insights to meaningfully connect with the digital consumer.
Customers don’t want to waste their time on messaging that’s not specific to their needs and wants. They’re looking for companies that know their preferences and history and will tailor information based on that.
Having a customer driven marketing strategy allows you to do this.
The process starts with getting the data and mining it for as many details as possible. Then you can segment your customers based on demographics, preferences, and interests.
Once you know the segments, use that in every part of your campaign. This should influence what images you show, the language you use, and the benefits you want to highlight. Everything needs to relate to that particular segment.
The results show how effective this is. A recent study found that segmented campaigns had significant gains over non-segmented campaigns. This includes a 14% increase in open rates.
If you show something generic, you risk alienating a large part of your customer base. This could even be the population that drives the most revenue for your company.
Provide Consistent Messaging
Personalization is one of the most important marketing trends, but to get the full benefit of it, you need to carry it across all your channels. This will help you provide a true omnichannel experience.
An omnichannel strategy is about more than getting your message out on multiple platforms. The goal is to use personalization to keep the focus on the customer and give them a streamlined experience across channels.
How your customer interacts with your company in one location should be carried over and remembered in another channel. For example, if someone looks at specific products on your website, when they move over to social media, any ads should be about those products.
This isn’t always easy to achieve, but without it, the benefit of a specific customer approach in one area can be lost if it’s not included everywhere.
Support Team Integration
One of the challenges with consistent messaging is that different teams may not have access to the same data. In one survey, 80% of marketers said this prevents true omnichannel visibility into campaigns.
To make sure your teams are on the same page, bring both people and data together.
Your sales and marketing departments are separate, but they have the intertwined goals. Encourage them to work together instead of independently. This allows them to learn from and support each other.
You should also make sure all your data is easy to access from a central location. Unfortunately, this is far from the norm. Only 8% of organizations integrate their finance, sales, and marketing data.
Only having access to pieces of the information keeps you from seeing the full picture when making decisions. One department might even contradict another.
Sharing data and skills across teams keeps your organization fully aligned and your messages consistent.
Use the Best Marketing Tools
Managing all these details may feel overwhelming. Instead of trying to handle it manually, evaluate your options to find the best marketing tools for your company.
With data management software, you can collect, store, and manage all your data in one place. Many of these solutions come with a dashboard to give you a snapshot of the information. This gives you a single place for everyone to look for details and share insights.
You can also take advantage of automation. You don’t have to spend your valuable time looking for information. The software can do that for you, so you only need to review the results.
Artificial intelligence and predictive analytics are also key. These can help with recommendations and answers to questions, all in real-time. The result is a better customer experience, with increased satisfaction and loyalty.
Data Driven Marketing Is Here to Stay
Now that some companies have shown the benefits of data driven marketing, it’s even more important for others to follow.
If you don’t pursue this trend, your marketing campaigns will be lost in the noise. Customers won’t follow-through with your products or services.
If you take advantage of this opportunity, though, you’ll be able to stand out and give your customers the experience they want.