Data driven marketing is not a sub-discipline of online marketing. Rather, it is a fundamental approach to rethink all previous marketing activities. It is based on the analysis of large amounts of data from which you make predictions and implement them. Correctly applied, the efficiency of marketing increases.
Focus on the data
Data are, as expected, the essence of the approach. This means that you make all marketing decisions based on existing data. Especially the use of marketing software such as CRM or Social Listening contributes to success. Almost every MarTech solution in use today has various analytics and reporting functions integrated. There are often clearly arranged dashboards. Here, initial insights can be quickly gained.
For truly data-driven marketing, you need to break down these data silos. If all data and analyses are in separate databases and software, important connections may be lost.
The first step is to connect (“integrate”) data and then visualize the big picture. This is the easiest way to crystallize strategies, but also problem areas.
It is important not to constantly carry out these compilations manually. Automation is the key. Only fast, agile action allows you to take all the advantages of data-driven marketing with you.
Opportunities and challenges in data-driven marketing
The greatest strength in data-driven marketing is the opportunity to leverage momentum. If I match the right moment with the highest interest, my success increases.
In addition, there are options for better personalization.
Properly implemented, data-driven marketing reduces the effort required to make a good decision. Complex analyses are no longer necessary. Instead, you can concentrate on creative and strategic tasks.
Nevertheless, many companies face various challenges in data driven marketing.
In particular, breaking down data silos is difficult in practice: often this requires extensive (IT) resources. Missing integrations are just another example.
In addition, the circle of experienced data experts in marketing is manageable. Even if resourceful employees get used to the job, they first have to gain practical experience in handling data.
All in all, however, the data-driven approach offers marketers numerous incentives for digital marketing. This opens up new options for shortening redundant analyses. The newly acquired resources can then be used for even more creative marketing.