Month: August 2019

Drowning in Data?

With such a flood of data in this day and age marketing teams can be drowned with the amount of information causing missed opportunities or leading to ineffective or poor business decisions. Mark Twain said it best “Data is like garbage. You’d better know what you are going to do with it before you collect it.”

Customer and Marketing data can have a value equal to garbage unless it’s used correctly. It should be cleaned through proper data hygiene and unified across the myriad of data silos and formats. From there you need to know what you are going to do with it and be able to ask the right questions or make the best queries.

Working with the right solutions partner or having the right tools in place will then allow you to analyze, profile, & model the data to be translated into insights and recommendations.

Those insights can tell you who buys what, how much they buy, the best time they buy, the best channel to reach them in order for them to buy, as well as how to retain them as buyers just to name a few.

Not only will those key customer insights show you who your best customers are but also allow you to allocate your marketing spend to increase return on investment and stay ahead of your competition.

No one really says “hey, that’s some great looking data” but bad data is worse than no data. So like Mark Twain said, you better know what you are going to do with it before you collect it. Otherwise, it’s as good as garbage.

Is Direct Mail Dead?

Since the introduction of email and digital marketing, direct mail marketing has slowly dwindled. Clearly digital marketing is cheaper.

Let’s really take a look at that though. Is it as effective? Is the ROI the same as direct mail?

Here’s a great article we found from Forbes that makes it clear that Direct Mail shouldn’t be ignored.

https://www.forbes.com/sites/forbescommunicationscouncil/2017/08/30/why-direct-mail-marketing-is-far-from-dead/#312b2f03311d

As stated in the article, direct mail achieves a 4.4% response rate, compared to 0.12% for email. That’s a substantial difference. The article goes on to talk about the emotional response to physical mail and the feelings people get when anticipating the trip to the mailbox.

So when considering your next campaign, don’t just go to the easy solution of email. We can help you get that next campaign in the mail and increase that response rate.

Remove the Data Silos – Drive the Strategy

In your tenure at a company, how many different software platforms have you been on? For some companies, that’s just 1. But not for most. Most companies transition software platforms as new and better technology comes along.

Data migrations from one platform to another can leave you with incomplete and unmatched data. Typically, part of the data is left in the legacy system never to be used again. But why? What determines what has value and not?

Software transitions are just one of the ways you can end up with silos of data. Today, data can be collected from an assortment of sources. Just think about your web presence for a minute; social media, e-commerce platforms, google analytics, paid search, and more.

What you end up with is silos of data and frankly a big mess. How can you market with intentionality if you don’t have a clear picture of your data? And data should drive strategy. Gone are the days of “spray and pray”. Marketing departments now need to be careful to send the right message to the right customer through the right channel.

So how do you do that? Step one is to get rid of the silos. Unification of data across all platforms is a must. Hygiene and standardization routines are required before any unification. The more sophisticated the hygiene logic, the better the standardization and thus the better the unification.

Once you eliminate the silos, you can use that data to drive your strategy and grow your business.

Market Segmentation & Strategy

One of the most important marketing decisions a company will make is figuring out which market segments to focus on. Each segment has unique needs and in most cases, certain products stand a much better chance of success when marketing strategy focuses on the needs of those unique segments vs trying to market and fulfill the needs of multiple segments.

What’s even worse is not doing the proper data analysis and going after the wrong segment. For example, a leading distributor of liquid vitamins was shocked to discover that their marketing effort to and perceived leading segment was not 65+ adults because they were easier to swallow but actually middle-aged adult business travelers who were always on the go.

Of course, a segment should be big enough to be profitable but the smaller and more unique the segment, the more precise the marketing strategy and message can be.

In this day and age, a marketing strategy that includes a marketing database can make it much easier to reach these smaller segments and individual consumers. For example, a large retail website has a marketing database with 60 million existing and potential customers and over 400 data points on each. These data points include hobbies, age, credit, marriage status, birthday, as well as # of children just to name a few. This marketing database allows them to send individualized catalogs when a consumer is most likely to buy.

Combine that with a 360-degree view of the customer and you will get even more accurate insights allowing you to reach the right audience with the right personalized message at the right time.