Customer data is now the most reliable source of information. Gone are the days of relying on gut feelings and assumptions. Learn what data-driven marketing is, its benefits, as well as how to use it to your advantage.
What is Data-Driven Marketing
Data-driven marketing is defined as the approach where one focuses on optimizing brand communication deriving from consumer information. Marketers use this information in order to predict customer needs, desires, and future behaviors; this information can also help create individualized marketing strategies to yield a high return on investments (ROIs).
Whereas traditional marketing uses market studies that are available at the time, makes assumptions about a target audience, and often results in trial and error, data-driven marketing opens a bridge for marketers to connect with customers at the right time, personalize the customer experience, get new customers, hone in on well-defined marketing segments, and most importantly, measure and improve their strategies in real-time.
The Benefits of Data-Driven Marketing
1. Clearer Insight About Target Audience
Information on customers gives marketers a better understanding of their target audience and allows a marking campaign a guarantee to deliver customers with the right message at the right time. In addition, they can give campaigns that can satisfy their audience
2. Best Channels For Promotion
Data gathered can serve two functions. The first function is revealing a target audience's preferences. The second function is possibly suggesting what avenues brands should use to engage with an audience as time goes on.
This information can also help position a message to where the target audience currently is or will be shifting to over time.
With customer data, marketers can achieve a comprehensive understanding of their target audience and can be used to identify possible triggers for potential customers. Utilizing customer information is then used to strengthen any communication between brands and their customers.
How To Make A Strategy With The Data
Now that you know what data-driven marketing is and its benefits, it's time to put that information to good use. Read below for instructions on how to use this information to your advantage.
Step 1: Create an objective
Here, you should create a clear goal on what you want this data to do for you. Your goal will serve as a guide through the next steps. Furthermore, you will know the most important information to gather and where to get it from.
Step 2: Gathering data
After your goal has been selected, it is time to figure out what information must be collected. Referring to objectives can help contemplate what information is necessary and you can then pinpoint where you can access said data.
Step 3: Collecting/Organizing data
This is two steps condensed into one. Before collecting data, you must first decide on a data platform to organize your data. Afterward, you can use it to start collecting your data.
Step 4: Creating a team
At this point, it would benefit you to build a team to analyze and respond to the data collected.
Step 5: Organizational buy-in
To incorporate the data-driven approach, you may need permission from stakeholders.
Step 6: Measuring/Tracking Progress
Here, you must make a process to monitor how the campaign performs. This process will be a required aid for a better analysis as well as reporting the progress to stakeholders.
Data Marketing is a vast field that can be explored. With the right data combined with the right goals, data marketers can do anything they desire to do.