Data-driven organizations leverage customer data, technology, and analysis to attract new leads, retain existing customers, and improve revenue. Compared to less-informed competitors, data-driven companies are 23 times more likely to attain customers and 19 times more likely to be profitable.
To maximize your success in this increasingly changing era, you need to use big data to inform your marketing strategies. In doing so, you can create better customer experiences that drive sales and customer loyalty.
In this guide, you will learn why data-driven marketing is essential to business. We will also help you create your own data-driven strategies.
The Importance of Data-Driven Marketing
Still unsure why you need to use big data to inform your business decisions? Let’s start by understanding how you can benefit from using such a strategy.
Knowing Your Customer’s Needs
Data enables you to maximize your marketing efforts by running highly-targeted campaigns. With the right data, you can create more impactful campaigns that resonate with your audiences.
Creating Tailored Customer Experiences
With data-driven strategies, you can focus on producing and delivering valuable content. Since your data helps you understand who your customers are, you can use it to create better campaigns that are suited to their interests. In doing so, you can retain a clearly defined audience and drive profitable consumer action.
Your data lets you find profitable marketing channels. For instance, you can use it to identify a platform where you can sell the same products to consumers on a regular basis. You can determine a well-defined target audience for seasonal campaigns by understanding their preferences.
Building a Loyal Following
Armed with the right data, you should have no problem adjusting to the ever-evolving landscape of business and the ever-changing needs of consumers. Using a data-driven marketing strategy, your company can provide consistently good customer experiences.
How to Create Successful Data-Driven Campaigns
The world generates a whopping 2.5 quintillion bytes of data every day. To leverage big data successfully, you need to come up with a plan. When used strategically, you gain data-backed insights for creating better marketing campaigns that drive revenue.
Identify Your goals
Use the SMART method to set well-defined goals.
- Specific: Let’s say you want to drive website traffic. A more specific goal would be to double website traffic from social media networks like Facebook and Instagram.
- Measurable: All your goals have to be measurable. An example would be to gain 500 additional subscribers. By setting key performance indicators, you can measure the progress or the success of your campaign.
- Achievable: Of course, your goals must be attainable. No matter how challenging they are, they must be realistic. To find out if your objectives are achievable, come up with an outline detailing the path towards your target.
- Relevant: You must have a reason for setting such business goals. If you’re going through all this trouble, then your company must benefit from it in some way or another.
- Timely: Don’t forget to set a deadline for achieving your business goals.
Automate Your Workflow
Big data can overwhelm companies of all sizes. To make sure you’re collecting and analyzing the right data, you should connect disparate systems. This way, you and your customers can gain access to important information across different marketing channels.
Get to Know Your Target Audience
To create highly-targeted campaigns, you need to know your audience. These are the people who are most likely to purchase your products or services. They can help you achieve your goals.
So, how can you identify the right audience?
Take note of the demographic data that’s relevant to achieving your goals. That information may include consumers’ age, gender, income, location, etc. You can check customer behavior to figure out what kind of posts your audience wants to see and when they want to consume it. Not only will you be able to catch their attention, but you’ll also be able to retain it.
Leverage Ideal Marketing Platforms
Identify the best marketing platforms for running your campaigns. There are many options for this, including your social media channels, your website, and pay-per-click ads. However, the right choice would depend on your goal.
Then, you can produce and deliver personalized content. Based on the data you’ve gathered, you can create content that motivates and engages your audience. You can publish them online at an optimal time.
Monitor Your Campaigns
Tracking your campaigns’ progress is imperative as it lets you figure out the best way to move forward. Using the KPIs you’ve set early on, you can find out which tactics are working and which aren’t. As you monitor your progress, you can constantly refine your strategies and thrive in this ever-changing landscape of business.
Watch the Competition Closely
When you’re running a data-driven organization, you should seize the opportunity to learn from your competition. You can determine failed strategies – so you don’t have to go through them – and implement the ones that work.
By following the steps laid out above, you gain the means to collect your data, measure your results, and refine your strategies. With data-backed insights, you can guarantee that all your efforts are focused on achieving your goals. You can even go the extra mile and create better customer experiences. So, are you ready to move your business forward with an effective data-driven strategy?