The Benefits of Data-Driven Marketing in 2021
As life and trends are moving faster than ever, marketing has no choice but to play catch up. But, it’s not always easy to determine what your customers want.
This is where data-driven marketing strategies come in.
Data-driven marketing strategies provide brands with a huge competitive advantage when executed correctly. They enable brands to identify what works and what doesn’t — all backed by numbers.
After all, gaining actionable insights from analytics and implementing them in real-time is what drives successful marketing campaigns.
But, let’s not hide behind buzzwords like “actionable”, “competitive advantage”, and “successful”. Instead, let’s look beyond these buzzwords and find out exactly how data driven-marketing benefits you.
Personalised Customer Outreach
One of the biggest benefits of data-driven marketing is that it can help you create highly-targeted campaigns and strategies.
Here, the data provide reliable information about your target audience and, when leveraged, these insights can help you create campaigns and strategies that engage and resonate with them.
The ability to create a personalised user experience for customers in the marketing funnel can lead to greater ROI on spend. Plus, you’ll know exactly what works with your customers and audience.
Better Product Development
Forget what they say about Eskimos and ice. In the real world, the best marketing strategies will go nowhere if the product you are promoting fails to meet customer expectations.
With the help of the data, you will have the best chance to distinguish between what works and what doesn’t. This simple distinction will help you to develop better products and services for customers.
After all, the data has already let you know what your prospective customers’ wants and needs. This should help to guide the direction for your products and services. This, in turn, will significantly reduce product failure rates.
Complete Control Over Segmentation
Another benefit of data-driven marketing strategies is segmentation. Now, here’s the deal: segmentation helps you to shrink the massive internet audience into manageable groups of potential customers.
Now, most of the more widely-known ad platforms — such as Facebook and Google Ads — allow you to segment your target market based on these four elements:
Demographic: this includes the potential customer’s age, gender, education, income, and ethnicity.
Psychographic: this includes elements such as lifestyles, interests, priorities, beliefs, and attitudes.
Geographic: here, the target audience is categorised based on geographical factors such as zip code, radius from a certain place, state, country, and region.
Behavioural: this includes things like purchasing habits, spending habits, and brand preference.
This segmentation will help in predicting customers’ preferences and enables personalisation of campaigns in real-time.
Easier Marketing Integration
With the insights gained from the data, you can leverage them in order to streamline all communications and interactions.
Here, the data (and the insights within) ensure that your brand’s messages remain consistent and aligned across all marketing campaigns. Plus, they also help to make sure that the messages reach prospects at the right place and at the right time.
And there you have it! Some of the most important benefits of data-driven marketing strategies for your business in 2021.