In the modern age, knowledge is power. You can’t sell to a customer without properly profiling them. They crave a personalized shopping experience. If you end up marketing a streaming service to a boomer who is loyal to their cable service like Charter Spectrum cable, of course, they are going to turn down the offer. This explains why marketers are obsessed with customer data and they are leveraging big data analytics tools in their marketing strategy.
Have you ever wished you knew how much your customers are worth over their lifetime? For example, what are the customer acquisition costs and how can you reduce them? If so, the good news is big data touches every component of the marketing funnel.
Let’s find out how big data can benefit in marketing:
1: Efficient Marketing Campaigns
Knowing exactly what the customer wants will help you create appealing ads that can better express your brand’s philosophy while also catering to the needs of your customers. Big data helps with that exactly.
The tools provide you with all the insights you need to launch the right marketing campaign and make it effective. The information can help in developing effective tactics for narrowing down potential customers and sell to them.
2: Better Pricing Decisions
Companies have traditionally priced items and services based on basic facts such as product cost, rival pricing, customer perceived value of the product, and the product’s demand. No doubt these are information elements, but you could be neglecting significant other data. What to know what that data is? Big data may have the answer. Observe data from closed deals or performance-based statistics and maybe you will find something useful.
Companies have failed to realize that they already have lots of underused data at their disposal, such as consumer preferences and broad economic statistics. All this information can be used when employing big data for price setting. Big data can also encourage you to use information such as what products have your customers purchased over the last 5 years. Or what is their income? How much can they afford to pay for a product? You can also consider macroeconomic indicators like the inflation rate, interest, and GDP growth rate to make better pricing decisions.
3: Show Appropriate Content
By using their knowledge base to identify which marketing material will be most engaging for each visitor, internet marketers can provide tailored content to users on their websites. Netflix does an excellent job of tailoring suggestions based on the movies and episodes users have watched.
You can apply the same approach to your website. Take a look at the “time spent on page” statistics to see what your visitors are actually interested in. the next time they visit your site, you can display the relevant information based on their previous browsing history.
Using the power of big data, you can make your website look different depending on who is looking at it, just like search engines produce varied results when you search for a term in different places. Though showing tailored material would be a technical barrier, a growing number of shoppers are wanting personalized experiences. It’s the next big thing if you want to offer a personalized experience to potential buyers.
4: Enhanced Forecasting
Have you come across the term “predictive analytics”?
It is one of the most crucial features of big data marketing. This technology is all about analyzing previous data and predicting major future outcomes using this data, ML, and some other statistical algorithms.
Predictive analysis allows marketers to go beyond what has actually happened and predict what will happen in the future. Big data is allowing marketers to improve their efforts with the help of predictive analysis in the form of sophisticated reporting and real-time forecasting to make more informed decisions.
5: A Good Measure of ROI
Unfortunately, some marketers have no idea how to calculate ROI. According to a research, half of B2B marketing executives find it challenging to properly link marketing activity to revenue results when justifying budgets. This challenge is solved by big data, which considers all marketing channels, activities, and investments and does a cost-benefit analysis for each one.
Not all businesses have started using big data in their marketing plans. If they wish to compete, companies that haven’t started yet will have to review their current systems.