Marketing Success Depends on Data Analytics Through Accessibility, Accuracy and Action
According to Forbes, over 90 percent of all the world’s consumer data has been created in the past two years alone. With the immense amount of data available, it sometimes feels impossible for marketers to sort through and understand how to use it. However, being able to read and understand data analytics could help you to gain valuable insight and draw informative conclusions about your customers.
Consumer data can be used to optimize the customer experience by giving businesses the information they need to establish more effective marketing strategies. It enables brands to identify consumer behaviors, understand their ideal consumer segments, and then produce personalized campaigns to improve brand reputation and experience.
By utilizing the data, businesses are proven to achieve higher return on investment (ROI), stronger customer loyalty, increase frequency and engagement, as well as grow ticket sizes. Also, by targeting specific consumer segments with tailored messages, marketing dollars can be saved by not sending general campaigns to any unknown audience who may not care to engage with your brand.
In order to reap the benefits of data analytics, businesses should follow The Three A’s process of collecting data – accessibility, accuracy and action to ensure the success of their marketing strategies and campaigns through properly cleansing, organizing, collecting, and implementing refined marketing campaigns.
Accessibility to The Right Data
Obtaining data can be from third-party databases, IP targeting campaigns, first-party opt-ins and preference centers. Although, once the data is collected it should be cleansed and organized in such a way to comprehend and utilize accurate insights when making business decisions. Once your gleaning process is set up, businesses can pull the right data needed without the stresses of sorting through data waste – leading to quicker and more effective decisions for all marketing initiatives.
Accuracy of The Data Being Collected
People don’t want to be just another consumer; they expect a personalized experience and connection with the brands they are purchasing from, leaving the age of generalized advertisements to a thing of the past. It’s a proven fact that most general campaigns delivered to unfiltered audiences result in wasted ad spend, lower ROI, and lower or negative response rates. Although, these consequences can ultimately be prevented by creating personalized campaigns using the accurate data you’ve acquired. In order for data to be accurate it must be consistent and correct. It’s important to consistently use rigorous quality checks to ensure the accuracy of data and analytics models and outputs.
When there are inconsistencies, consumer data cannot be properly grouped or summarized. When it is not properly grouped, consumer behavior data could cause businesses to target the wrong audience with the wrong message. By also implementing waste management strategies you can remove ineffective records from your databases for more accurate targeting efforts. And as a result, save even more marketing dollars, increase ROI and improve response rates.
Actions Taken with The Collected Data
The final step toward using data and analytics towards campaign success is to ensure the proper action is taken with it. Actionable data is the analysis of the data being collected that can help make strategic decisions for driving action in your customer’s behavior, by the actions you take in the campaign.
So, how do you know if your data is actionable?
Marketing tools like AI and machine learning algorithms can be used to gain further insights and optimize the customer experience. Once these smart tools are in place, actionable data strategies can influence everything from the design of the campaign, messaging, distribution channels, and then tracking the results.
The way we obtain data is shifting. As restrictions on third-party data start to take effect, marketers are utilizing different methods, like zero-party data, to supplement this loss of accessible data. But with the insights learned from data analytics to implementing them in our marketing strategies, we are putting consumer data and marketing dollars under a microscope, leaving no room for error, wasted efforts or waste of precious marketing dollars.
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