Data is the lifeblood of any successful marketing strategy. Whether you’re launching a new product or trying to reach past customers, the insights gleaned from quality data are crucial to driving growth and engagement. With the world moving faster than ever before, the importance of data for marketing teams can’t be overstated.
Here are four key reasons for why data will be more important than ever for marketing teams in 2023.
1. Keeping up with your audience’s attitudes and actions can give you a competitive edge.
One of the biggest benefits of data is that it allows marketers to gain a deeper understanding of their target audience. This includes demographic information, as well as insights into their attitudes and behaviors. With these insights, marketers can craft more effective messaging that resonates with their target audience and drives engagement. For example, some traditional data companies still offer antiquated or outdated data points like “Interest in the Yellow Pages.”
It’s important for brands to choose a data partner who brings individual-level insights to the table that reflect today’s modern world of media and lifestyle habits – from whether they prefer Ubers to if they like their e-commerce experience to offer buy-now, pay-later options.
2. Creativity doesn’t live in a silo; it relies on data, too.
Data also plays a critical role in determining the creative elements of a marketing campaign. By analyzing – and even predicting – consumer behavior, marketers can gain a better understanding of what type of content is most likely to engage their target audience. For example, by understanding your audience’s motivations, you could choose to feature a different image or call to action. Let’s say that your audience is a value-seeker, then you’ll want to include pricing or discount information. But if your audience is more focused on brand recognition, you may want to appeal to them by including logos of the top brands you sell or even include social proof from other customer reviews.
With this more data-driven approach, you can save some of your “test and learn” budget for other tactics and channels.
3. Predictive data can stretch every marketing dollar further.
Maximizing the ROI of your marketing budget is made possible when you leverage data to predict your customers’ and prospects’ future needs. Today, many advertisers are familiar and comfortable with the idea of building a look-alike model thanks to digital media buying platforms, like Facebook. With thousands of real-world data points that capture the things you can’t see, like motivations, decision drivers and attitudes, brands can create even more powerful audience segments that can also be activated across all channels – both offline and online.
With the right people-based models in place, you can even conduct backtesting to see how your audience would have performed based on historical data.
Another marketing hack where you can save a bit more of your “test and learn” budget. We’re working smarter, not harder here.
4. Safeguard your brand from changing privacy regulations.
Finally, it’s important to note that the data landscape is constantly changing. New privacy regulations are being introduced, even on a state-by-state basis, and consumer attitudes toward data are evolving. As a result, marketers need to stay ahead of the curve by using data in a responsible and ethical way. It’s important for brands to choose a partner to ensure their data is being handled securely and that they’re staying ahead of the latest privacy regulations.
Whether you’re looking to understand your audience, optimize your marketing creative, maximize your ROI or stay ahead of changing privacy regulations, taking inventory of your current data strategy should be at the top of your to-do list.
Kevin Dean is a seasoned executive with extensive experience in data-driven marketing strategies. He has a passion for leveraging data to drive business growth and improve customer experiences. Kevin is the chief strategy officer of AnalyticsIQ, a leading provider of data and analytics solutions where he is focused on helping partners and brands unlock the full potential of their data to drive meaningful results.
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