Driving Marketing Strategy Through Customer Insights
According to Forrester, four out of five business decision-makers are prioritizing analytics funding. While investing in analytics may sound obvious, (who doesn't want to better understand their customers?) we’re finding that many brands are struggling when it comes to applying it to their marketing strategies. Here are a few things we're hearing – do any of these common barriers sound familiar to you?
- I have a ton of data, but I don’t know what to do with it.
- I don’t trust my data.
- I don’t know where to start.
- My data is siloed.
- I don’t have the right technology.
Many of our clients have overcome similar challenges and experienced outstanding payoffs. In fact, Forrester’s research shows that “a predictive model that provides a modest 2% increase in consumer direct marketing response rates can yield an almost six fold increase in profit compared with a similar campaign executed without a predictive model.”
The gifographic below provides a general framework for best aligning your data to understand your customers and begin building an actionable analytics strategy.
1. Dig into data to determine your best fit customers.
2. Append third party data to better understand their characteristics.
3. Identify their shared attributes.
4. Create a scoring formula that can be applied to current and potential customers within your database.
5. Broaden your reach by identifying new customers with similar attributes.
Results: Identify those who are much more likely to become high value customers and best prioritize your marketing investment to create the greatest impact.
If you'd like to learn more about using customer insights to drive your marketing strategy, reach out to Rise.