Data-driven marketing isn’t the newest thing that appeared in the marketing strategist’s toolbox. But today, when lots of the brands are working with thousands and even millions of clients from all over the world, it becomes a must. Even the smaller companies may ease their work by using a data-driven approach: starting from creating the missions and up to adjusting their sales campaigns.
What is data-driven marketing?
In a nutshell, it is a marketing strategy based on the clients’ personal information such as age, sex, interests, income, family status, and so on. This data is processed without connecting with each client (or potential client) personally. The data-driven model creates “average customer types” instead and allows the marketing strategists to create special types of advertisements keeping in mind the groups of people they are made for.
Data-driven marketing has changed digital advertising the most (especially when it comes to big data processing). The current technologies allow your brand to adjust the customers’ personalization after each purchase, dividing them into even finer groups without extra effort from your side. You may scale in and out, from a single person to the whole chunk of your audience. Data-driven marketing in the digital world allows you to see who, when, and where bought your goods or services and, what is more important, make this data work for you.
Benefits of data-driven marketing
The US marketing experts spent 11.4 billion dollars on data analysis in 2018, which is 8.85 billion more than in the previous year. The reason is that data-driven marketing gives you the ability to show the right ads to the right people to make them your customers and convert as many views into leads as possible. It eliminates most of the guesswork in marketing planning because the self-learning AI algorithms provide you a large amount of relevant and ready-to-use information about your customers.
Using data to boost conversions in your email marketing
One of the simplest and most obvious ways to use data-driven marketing is email campaigns. For example, the meal-kit delivery service Freshly gathered information about the rating of their meals, types of changes the customers make to their meals, and the time they spend at Freshly website. This data allowed Freshly to understand which types of meals are the bestsellers and adjust their email campaign properly. They have also introduced the altered meals, implementing the changes that customers suggested. That drove Freshly to impressing results: the weekly order value increased by 64%, customers’ lifetime increased by 19%, and churn rate decreased by 22%.
Another example of successful data-driven marketing is the Netflix campaign. When you get the Netflix email you see the recommended movies that you might like. If you have watched a comedy show a couple of years ago, now you may see a bunch of the new ones or the shows with the same cast. Netflix saves this information and chooses the email topics accordingly. Netflix won’t try to return you as a customer with promotions and coupons if you took a break in your subscription. They will try to remind you what you liked instead.
Higher engagement in the social media
Social media have access to the most abundant data pool provided by the customers themselves. For example, Facebook and Instagram can give you information about the time when most of your audience is online and about the most engaged followers. Tools like Facebook Insights show you data about the most effective post and all the interactions of your audience, divided by gender, age, country of origin, and lots of other parameters. Also, there are lots of independent software like Buzzsumo and others, if you aren’t satisfied with default statistics tools. They can get information from several social media at once, combining the most popular ones such as Facebook, Twitter, Pinterest, Reddit, and others. You may check any keyword this way (e.g. you may type “health and fitness tips” and get all the latest fitness trends from all the social media starting from the highest rating).
Using data as a launchpad for your strategy
There are plenty of ways to improve your overall marketing campaign with data-driven researches. You may see which topics are the most popular and what audience likes them and create the content your followers want to see. You may analyze the media and use the type that gets the most responses from your audiences. You may also provide email content that will grab your audience’s attention. The data-driven principles can be used almost anywhere: in emails, blog posts, social media content, and so on. It is a powerful tool that will provide you a solid strategy based on facts about your audience and not guesses.
The data collected from your current and potential clients is a great instrument that can help you to provide proper content to engaged people and increase the number of returning customers. The market offers you a variety of software to collect and process information most conveniently and helpfully for your brand. If you have plans to achieve great marketing success in 2021, we urge you to start working with data-driven marketing. It is easier than you think!