What is Data Driven Marketing?
Before I dive into “Why We ♥ Data Driven Marketing,” you may be asking yourself, what is Data Driven Marketing?
“Data Driven Marketing as the combination of collecting and connecting large amounts of data, rapidly analyzing it and gaining insights, and then bringing those insights to market via marketing interactions tailored to what’s relevant for each customer.” Definition by Teradata Corporation – the global leader in analytic data platforms, applications and services
With Data Driven Marketing, you essentially collect and analyze data surrounding all of your marketing efforts to develop and optimize your marketing approach in a way that best fits your current and potential customer base.
Why we ♥ Data Driven Marketing?
It allows you to make educated marketing decisions.
Since Data Driven Marketing provides hard numbers and stats, it allows you to make marketing decisions based on actual results and past customer behaviors rather than “what ifs”.
A simple example application of this type of educated marketing decisions would be A/B testing for a mass email marketing campaign. Using the real data results of the A/B testing, you can determine which email (A or B) produced more engagement and conversion. Then you can optimize your next email campaign to incorporate the items that maximize your conversion and/or engagement with your target audience.
It provides an easier way to monitor your Return On Marketing Investment (ROMI).
Nowadays Multichannel Marketing is a must! There are social media channels, email marketing channels, paid and organic marketing channels…just to name a few. With the plethora of marketing channels, how do you know which channels provide the best return? That is where Data Driven Marketing comes in! With the stats it provides you can see which channels influenced customer conversions. Such data allows you to justify all of your marketing channel investments and reevaluate the channels that are under-performing.
It helps you better understand your customer base and acquisition channels.
With the information provided by Data Driven Marketing, you can develop a more complete understanding of your customer base. You can learn specific information such as who your audience is and what their demographics and interests are, what source of medium do they prefer (print, email, social, paid online ads, organic website placement, etc.), and what devices they prefer using (desktop, mobile, or tablet). All of this information can be highly beneficial when trying to maximize conversions and engagement.
How can I implement Data Driven Marketing?
There are a lot of Data Driven Marketing tools out there, especially for big business; but if you want to implement Data Driven Marketing on a small scale, Google® Analytics is a great place to start! With Google Analytics you can gain access to the Who? What? When? and Where? associated with your website traffic. Additionally, you can even keep track of goal conversions associated with your website visitors, and you can even monitor the navigational flow of your website visitors.
There you have it; a short and sweet overview of Data Driven Marketing!
Let’s start the discussion! What tools do you use for Data Driven Marketing? What do you need the most help with when it comes to small scale data analytics?
