Data Analytics is Critical for Precision Marketing
admin | Jun 30, 2009 | Comments 0
A core methodology of Precision Marketing is Data Analytics. Many marketers, including online and traditional focus mainly on customer segmentation and there is a difference. Social media and the economy are forcing the requirement for relevency to drive customer interaction. Just last year, many were pleased with page hits, and page views – but today the name of the game is getting your customer to interact with your brand to build loyalty. In short, we are quickly moving from acquisition of new customers to proven or predicted outcomes with your customer to drive revenues and loyalty.
Some believe the ability to leverage data analytics is only in the domain of power companies, but today this is not so. Data analytics is now a critical skill for marketing professionals as companies attempt to deal with increasing market pressures and economy. Marketers who embrace data, analytics, and campaign measurement will be well positioned to provide proven returns back to the business.{+}
In the Routes to Revenue report, 76% of the top marketers stated they were not realizing full customer value mainly due to data integrity, isolation and inaccuracy. In fact, many predicted they would be improving their ability to access meaningful data to drive personalization and more meaningful call to actions. Today, the challenge isn’t data, rather the challenge is generating insights and meaning from the data. By applying analytics to the data, we can gather necessary insights needed to facilitate faster customer call to actions and relevant conversations which will help improve bottom line results.
Best Western International’s ™ recent work with InfoPrint Solutions Company ™ demonstrated the value of applying data analytics within existing customer segments (gold, gold plus, platinum, and diamond). For example, data interrogation within the segments was implemented to determine who had or did not have the co-branded Best Western Credit Card. Traditionally, Best Western would have provided all customer segments an insert to apply for the credit card, regardless if the loyalty member was card holder or not. The TransPromo document placed the marketing imagery and messaging in a key location to drive non card holders to apply. The response was about 500% over the control group.* Again supporting the principals of Precision Marketing – keep the communication targeted, relevant and timely.
Customer segmentation is not enough to drive impactful business results. Leverage technology to drive predictive modeling should improve campaign relevancy and improve brand interaction. Remember, the days of counting web hits is soon coming to an end as social media grows as the tool of choice for information and research. Brands that provide relevant information based on deeper customer knowledge will be ahead of the competition – taking market share.{+}
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