October 24, 2017 / By Cynthia Ramsaran
For brand marketers, big data represents a huge opportunity. In fact, according to NewVantage Partners’ 2017 big data survey, more than 85% of organizations have started programs to create data-driven cultures, but only 37% report success thus far.
When data is analyzed in a way that aligns marketing campaigns to target consumer needs, successful marketers convert new consumers via relevant and actionable insights.
But when consumers are constantly bombarded with marketing messages from multiple channels, how can marketers sail above the noise to compete and win? The elements of data-driven marketing that will differentiate the modern marketer include an integrated strategy; considering either an omnichannel or multi-channel focus; leveraging predictive analytics; attrition, and developing customer insights from data.
Marketers that can incorporate these components successfully into their marketing mix can achieve the following benefits from data-driven marketing:
1) Targeted, relevant messages – To make an impact, data can be actionable only by knowing exactly who your audience is and the channels they interact with. Peter Horst and Robert Dubroff, state in an HBR article, Don’t Let Big Data Bury Your Brand, “When a marketer’s message can strengthen the connection between how consumers perceive a brand and a particular problem they need to solve, it drives sales but also links to the broader brand positioning.”
2) Personalized marketing – companies are always striving to convey the right message to the right audience at the right time. Big data enables personalization on a scale not possible before, which is critical to breaking through the marketing message clutter. Personalization is key because consumers will only respond to those messages that are relevant to them.
For example, Taylor client partner Capital One has a tool called “Second Look” that provides detailed insights into customer spending patterns to help them solve problems to personalize the customer experience, such as being charged twice for the same expense, having a recurring charge increase, or being extra generous with restaurant tips.
3) Multi-channel experiences – by leveraging data that span multiple networks and channels, brand marketers can create a refined consumer experience that helps in tailoring their products for specific market segments. For example, Disney’s multi-channel marketing experience includes a mobile-responsive website that allows you to plan your entire trip to a Disney property and park; the My Disney Experience mobile app helps locate dining locations and secure your FastPass+. In the park, the app can locate attractions of interest and estimated wait times for each.
A MagicBand program enables users to access Disney theme parks, unlock your Disney resort hotel room, check in at FastPass+ entrances for pre-selected attractions and entertainment, store photos with Disney characters, and as “currency” at shops, restaurants and more.
Data-driven marketing also can determine how a specific campaign impacted overall sales, as well as the reaction of individual customers to that campaign. By uncovering consumer behavior such as what they purchased, their process before purchase, and instances when they clicked through an email or blog post without purchasing anything, marketers can achieve a more intuitive and individualized approach to their marketing activities.
Big data is a critical tool for today’s brand marketers. When data is used to develop actionable insights, it can be invaluable in attracting and retaining customers, instilling brand loyalty and ultimately increasing the amount their target consumer spends.