How Data-Driven Digital Marketing Strategies can ensure Maximum ROI for Your Business?
With the advancement of the global technology scenario, businesses are finding more success and growth with their online channels compared to the unmeasurable offline alternatives. Marketing, as a concept, has highly evolved throughout the last decade and so has its various implementations.
Businesses have started to embrace concepts like data mining and data analysis to cut-short the chase of the audience and engage in relative targeting that yield better results.
Therefore, in this age and time of evolution, where every other vertical of an efficient organization is rapidly adopting and implementing advancements in technology and techniques, marketing doesn’t get to remain the odd one out!
What is Data Driven Digital Marketing?
Data driven digital marketing ensures that a marketing strategy is properly implemented as a channel where the audience and their behavior is thoroughly studied in order to ensure maximum retention with adequately targeted marketing campaigns!
The proper analysis of the data of given demography goes a long way in ensuring adequate marketing tactics with measurable results. The term “measurable” holds high value in this scenario.
Measurable insights from accumulated data guarantees that marketing outcomes stay measurable while implementation, hence, ensuring maximum value/ ROI/ Return of Investment as well as planned investments. This was not the case with traditional marketing processes where initiatives are taken and budgets are implemented, however, with no measurable outcomes.
Data is a boon to every top digital marketing agency in India.
It makes or breaks a strategy and with the perfect blend of creativity, it can do wonders to the world of marketing. Don’t take me wrong if you feel that creativity still holds the high chair in the realm of marketing.
It does and will always do so but data is not here to replace it in the first place. It is the essential fuel in order to churn out the maximum value from creative professionals. Let us consider a case:
In a hypothetical consideration of a Brand named “X”, we will explore a scenario where it is a relatively new brand in the space of Healthy Eating where it sells smart cooking kits. There is already a significant presence of big level brands in this space and thus, a competitive scenario is established. We will consider another hypothetical brand “Y”, which is already a highly established player in the Healthy Eating space. Thus, it is a competitor to brand X.
So, how does X convey itself as a trusted brand in this vertical, gain customers and establish itself as a significant player? The answer to this is an effective market and competitor research and gain valuable insights from the same. This enables the brand to save itself from trial and error, committing costly mistakes and enabling itself to redirect its strategies in the most effective manner possible.
The top digital marketing strategies for this kind of a scenario for a brand such as X would be to:
a. Conduct deep analysis of the competitor’s strategies
b. Gather insight into the market from the competitor’s experience
c. Utilize this experience to formulate the ideal paths to approach this market, and
d. Identify opportunities that the competitor must have missed
Thus, with the usage of this analytical methodology, Brand X can gain a significant advantage over Brand Y by targeting the audience with what they exactly need.
Think of it in this way, you plan to conduct a marketing campaign for your Surfboard business but don’t know how to effectively target your audience base, which is probably youngsters with a passion for water sports and adventure sports. Deriving relatable and detailed data on them would reveal significant methodologies to chalk out the most effective way to design and place your campaign as well as calculate the Return of Investment or ROI.
The most effective pathway to design and implement a campaign like a top digital marketing agency in India is to follow the methodology of Awareness-Decision-Consideration-Renewal. Determining the right answers to these will help you to fabricate the most effective and impactful campaign and also help you to track your Return of Investments on them as well.
The Perks of having Data-Driven Models in Your Digital Marketing Strategy
Data has brought in many avenues and possibilities in the domain of marketing that has never been imagined before. With analytical insights in order to chalk out measurable outcomes, it has helped marketing initiatives to create near-perfect campaigns with pre-determined results. We have mentioned the comprehensive perks of data driven marketing below:
a. Personalizing Consumer Experiences: With the help of relative data, marketing agencies and brands can now formulate better and more directly-toned messages with effective results. The right data can help in generating proper insights about the behavioral and decision-making pattern of the target audience and thus, can result in much more personalized marketing campaigns and drive better results.
b. New Customer Acquisition: Data can help your brand by identifying various factors that can lead you to make the perfect customer-brand match and thus, orient your marketing efforts to create a more inclusive and direct sales funnel with consumers who are on the lookout for a brand like yours. With the availability of huge pools of data, identifying the right channels for effective targeting can always lead to better customer acquisition results.
c. ROI based Marketing Efforts: Never before did marketers have the ability to deliver marketing results based on pre-decided insights. With the entry of data-driven digital marketing, this is now a possibility. Probably the greatest advantage of a Data-driven Marketing agency or department is to deliver calculated results based on actionable insights from pre-accumulated data. This has resulted in more measurable and effective marketing investments as well as ROI.
d. Better Targeting of Individual Market Segments: With relative data at play, it is easier to design and formulate marketing communication based on actionable insights. This enables an effective understanding of newer markets and better targeting of its audience with content that actually fulfills their characteristics.
e. Effective Integration of Data across Platforms: Researching on data from various market sources along with the help of relevant tools can lead to creating an effective mapping of the target audience. This helps in generating specific insight that can render a deep-level understanding of the target consumer base. The array of tools available to accomplish this is huge and with their proper utilization, one can derive insights that reveal
f. Building a Growing Marketing Database: It is already evident that there are multiple applications and uses of the data that you derive from your business. One of the most beneficial ones is the ability to maintain a resourceful database. This can help you in proper retargeting, reselling campaigns as well as for conducting a deep-level analysis of your audience in order to improve your product/ and services better.
The Origin and the Future:
Data driven digital marketing came into existence and usage via the effective implications of various levels of marketing activities through the online way. As digital marketing techniques started to evolve, the market realized an immediate need for calculative prediction of results of the various marketing campaigns that would also act as a primary differentiating factor between traditional marketing and digital marketing. The utilization of data in decision making proposed a lucrative way to derive accurate ROI based on deep level analysis of the target audience.
In order to trace the origin of data driven based digital marketing, we need to understand CRM or Customer Relationship Management software. Modern data-driven marketing decisions were born out of the availability of the sheer amount of data that one can avail from the CRMs. The ability of CRMs to send direct emails to their customers led to the rise of marketing automation software that enabled marketers to design and deliver relevant and effective marketing communication to their target customers.
This eventually led to the rise of the need to manage this data in a structured manner. Data management software filled this gap and provided the ability to manage, analyze and deliver relevant content to the target audience. Data-driven decision making rose from this very point!
Relevance and Impact on the Creative Department:
Analytics and creativity must go hand-in-hand in order to create effective marketing communication. Creativity had always been the core foundation of impactful marketing campaigns. There is a common misperception that relying heavily on data driven decisions in marketing can hamper the creative perspective. However, that is not the case. Through years of testing various aspects of marketing based on data at the Senrysa Labs, we could reach to a conclusion that data-driven decisions and creativity are complementary to each other in data driven digital marketing and with both of their contribution, a poignant campaign can be designed.
Marketing communication has an unavoidable necessity to keep a personal connection, one that can affect the audience’s emotions on a personal level. Creativity is the primary key to unlock that door. Therefore, it is almost impossible to design marketing communication only by analyzing data and forsaking creativity completely. Modern marketers should be considering an amalgam of data-analysis-based decision making and relevant creative content in order to target their audience with impactful communication. Therefore, it is highly essential that marketers bring data geeks and creative team together for smart marketing!
Looking at these scenarios and perspectives, we can reach the effective conclusion that data driven digital marketing is indeed the future of marketing as a whole. The capability of predicting actual outcomes or results were not really prevalent in earlier marketing initiatives until the entry of data. With the help of data, marketers can make informed decisions as well as investments by calculating the actual behavior and need of their target consumers. This, in turn, allows for a more structured marketing communication in order to enable more impact as well as ROI from the marketer’s perspective. Data driven decisions are going to make dynamic changes in the marketing scenario of this world and the message is interim and clear as water: You either board the bus of Data or get left behind in the race of getting actionable attention to your brand!