3 Ways to Execute a Data-Driven Marketing Plan

by: David Schwartz

For every marketer in the world, the question that is often most prevalent is: “What next?” We have all this customer data, we sell certain types of products. What can be done to make the two connect? How can our offerings meet the needs of our customers, knowing what we know about our specific market?

In “How Marketers can use Data to Target and Connect, Intelligently,” Renzo DiPasquale sets out to solve the puzzle. He lays out three ways for a company to successfully create a marketing strategy that relies on the data readily available:

 

1. Get Personal.

First, DiPasquale suggests getting personal with customers. Creating content that fits a customer’s profile will make the customer happy to shop at your company. It will also ensure that the customer comes back to shop with your company in the future.

 

2. Go Mobile.

Next, DiPasquale urges companies to go mobile. It is absolutely crucial for companies to market to customers on their smartphone, particularly as shopping continues to move from brick and mortar to phone.

 

3. Get Educated. 

The final suggestion is possibly the most important: educate thyself. Learn what technology is out there that can help you improve your data. Possessing and utilizing the best marketing tools can often make or break a company.


In 2016, there is so much data available. The only question that remains is: how will companies use the data to ensure optimal customer experience and retention?

Segmentation Marketing: Do You REALLY Know Your Customers?

 

by: Tim Prugar (tim@nextcaller.com)

In Childless Women to Marketers: We Buy Things Too, the New York Times points out that the overwhelming majority of marketing and advertising aimed at women is through the lens of motherhood: either being a mother, or aspiring to be. As Karen Malone Wright, founder of TheNotMom.com, indicates in the article, this advertising is towards two specific female demographics: "hot and single" or "a mom with more than one kid." This strategy stemmed from the traditional view of the mother as the individual who does the bulk of the purchasing for the household. The mother as decider, if you will. 

However, as society shifts, so too does this "conventional marketing wisdom" about how to get the largest ROI on advertising and marketing efforts. As the Times notes, 15.3 percent of women in the United States are childless, and the percentage of women ages 15-44 without children increased from 2012 to 2014 (46.5 percent to 47.6 percent, respectively). This demographic shift was accompanied by a shift in spending patterns - according to a report by DeVries Global, cited in the article, childless women spend 35 percent more on groceries than women with children. Marketing and advertising executives who are unaware of this trend, and are relying instead on outdated schema, are likely leaving piles and piles of money on the table. 

So which marketer are you? The one who relies on conventional wisdom that may not apply to your specific customers? Or the one who has taken the time to drill down and truly KNOW your customers? And if you're the former, how do you become the latter?

Keys to Marketing Segmentation

The process for knowing your customer and meeting needs you may not even know existed are simple. 

1. Get the Demographic Data

If you're like most marketers or business owners, your customer list is just that - a list. Maybe it's just anonymous phone numbers. Or an email list. Or maybe, if you're lucky, you can add name and address to that combination. But have you captured household income? Gender? Presence of children? How about whether or not your customers have net worth of over a million dollar? 

Gathering all of this information is the first step towards finding out who your customers really ARE. Need help with that? Contact the author!

2. Define Your Target (and Missed Target!) Audiences

Now that you have a picture of who your customers are - what correlations can you draw? What household incomes are spending the most? Which gender is frequenting your business the least? Is there an age group whose use of your product surprises you? Is your product flying off the shelves in Flagstaff but laying fallow in Cleveland? 

Before you can even get into the why, you need to have a solid picture of what is happening. Building a portrait of your "ideal" or "consistent" customer allows you to target your outreach. Building a portrait of the customer who avoids you at all costs is helpful as well...so you can figure out why!

3. Retarget!

Now that you've segmented your list - find how to target your outreach towards people you know will value your offering. Selling Men's Navy Peacoats? Perhaps coordinate an email blast to existing male customers ages 20-40 in the Northeast. 

4. Attribution

If you've run a phone, email, or SMS marketing campaign, you can probably judge its efficacy by the ROI. But you're a savvy, segmenting marketer...you can do better than that! 

What demographic profiles contributed to that ROI? Where did you miss the mark? Were you surprised by any of the results? Or, better yet, how did individual people interact with the campaign? After all, knowing "what" someone did in response to your campaign and "why" is much more powerful than simply knowing "who" did it. 

This data driven reflection will really move the needle for your campaigns. 

Remember: marketing is good. Knowing your customer is better. Using your knowledge of the customer to fuel your marketing efforts, engaging in data-driven reflection after the fact is BEST. 

 

Big Data and the Value of Making Repeated First Impressions

Contributed by: Ryan Cash

We spoke a couple of weeks ago about the importance of utilizing big data to create engaging and personalized content for consumers.  In today’s environment, people demand personalization in customer service and experience, and, not surprisingly, that same sentiment exists for marketing and advertising.  However, there is a crucial difference between the two.  With many services, one great interaction and a personalized experience can create significant loyalty.  And one bad interaction can serve the exact opposite purpose  

For example, if a hairdresser does a great job cutting your hair and engages you in an enjoyable conversation, you will probably go back to the same hairdresser.  Then, if they do not cut your hair as well the next time, your impression from the first experience may still drive you to return to the same hairdresser.  Conversely, most people would not return to a hairdresser who gave them a poor haircut on the first try.  Essentially, first impressions matter for good service.

Advertising, however, does not work the same way.  Personalization of the content becomes a necessary but insufficient condition to even make a first impression.  And much of this derives from the rise of the mobile internet, which has created a massive increase in data traffic.  We referenced a statistic in our last post that, according to Cisco, more data passed through mobile internet devices in 2014 than passed through the entire internet in 2000.  Consumers on their mobile phones are being blasted with content from all angles making personalization imperative to stand out from the crowd.  It’s well known that standardized, mass advertisements are less effective today.  They end up in the abyss of disregarded spam and internet trash.

In order to personalize content, you have to know your customer.  This clearly is where data is important.  It’s self-evident that knowing more about who you want to reach empowers you to better reach them.  It allows you to understand what they desire, and why they desire it; it allows you to make your message relevant to them.  In essence, you are practicing the art of effective communication, that is summarized succinctly by author Stephen Covey, who teaches the maxim, seek first to understand, and then to be understood.  Until you fully understand who you are trying to reach, you cannot really expect to know how to be understood by them.

But, it is still a necessary but insufficient condition.  You have to understand to be able to personalize and you have to personalize to be able to make a first impression, but it requires more.  Why?  People are bombarded by a surplus of information and they have a scarcity of attention span.  We need to be reminded.  Something may catch my eye on a web page, but I may accidentally click the back button, or change browser tabs, or a call may come through my phone, and I forget about it all together.  Even if I’m enticed to click something or take a next step from a personalized, creative direct advertisement, I may not have the time to go through with the process at the current moment, and I forget.  People need reminders.  And if you do not give them reminders, then you cannot expect that first impression to last.  An enticing advertisement is not congruent to a great haircut.

This means that you must not just know your customer, but you mustcontinue to know your customer.  You must be able to consistently put forth content that is relevant and personalized to your audience, and in order to do so, you must have accurate and current data.  It is easy to say that storing good data about your customers is key to knowing them, but is it really?  How frequently does that data become outdated?  People move, get married, change interests and jobs, and if you sit on a store of dated data, it will no longer be relevant more quickly than you think.  This speaks to the benefit of aggregating data in real time, but it also means that data collection, validation and storage needs to be a continuous process for companies.  It’s vital to be abreast of changes in the lives of your consumers and to always desire to learn more about them, their habits and their needs.  Only then can you consistently engage with your customers in ways that are meaningful to them.  And only then can you remind them frequently enough to stay current in their mind, and to entice them to action.