May 9, 2023
Firstly, what is it?
Data-driven marketing is the approach of optimising brand communications based on the customer information that you have. Data-driven marketers use customer data to predict their needs, pain points, desires and future behaviours. These insights help to develop personalised marketing strategies for the highest possible return on investment (ROI).
One of the first things you should do before embarking on any marketing/lead generation campaigns is to create a data strategy.
- To support data-driven decision making/Understanding your audience: A data strategy helps us make informed decisions based on data. By collecting, analysing, and interpreting data, marketers can better understand their target audience, their behavior, preferences, and buying patterns. This helps you create more effective marketing campaigns and personalise your messages to better resonate with your target audience. Did you know that 74% of customers feel frustrated by seeing irrelevant content from brands. 79% of them won’t consider an offer unless a brand personalises it to their previous interactions.
- To make informed decisions: With a data strategy in place, you can make informed decisions based on real data rather than just assumptions or intuition. This helps you allocate your marketing budget more effectively and target your efforts where they are likely to have the most impact.
- To improve ROI: A data strategy can help you optimise your marketing spend and improve their return on investment (ROI). By analysing data on campaign performance and customer behaviour, you can identify which marketing channels and campaigns are most effective and allocate your budget accordingly. Businesses that use personalisation deliver 5x – 8x higher ROI from their marketing efforts.
- To optimise marketing campaigns: A data strategy can help you optimise your marketing campaigns by tracking key metrics such as click-through rates, conversion rates, and return on investment. This data can help you identify what’s working and what’s not, allowing you to make adjustments and improve the performance of your campaigns over time.
- To keep up with the competition: In today’s digital age, data is a key competitive advantage staying ahead of your competitors and ensuring that your marketing efforts are effective and efficient is key.
- To make your audience feel important/Personalisation: This is a must for your marketing messages and offers. By collecting data on customer preferences and behavior, you can tailor your messages to better resonate with your target audience and improve engagement.
- To encourage the audience to take action: With the right messaging, that is timely and relevant, your audience will take action rather than unsubscribing!
Why wouldn’t you want to better understand your customers, identify opportunities for growth, optimise marketing performance and stay ahead of the competition?