In-depth Data Analysis with Data-Driven Marketing Strategies

“ Our business is doing well now. ” When this statement comes from a business owner, it means the business has good components and products/services, allowing them to reach their target audience effectively. So, let's stick to this marketing plan forever. We guarantee that sales will always be good. Sounds great, right? But believe it or not, it's not the best approach. This is because people's minds and desires are always changing, and they can change rapidly.

Many of you have probably seen various trends on social media, such as charcoal menus. At one point, they were very popular and were incorporated into many dishes, but nowadays, they are almost nowhere to be seen. Or certain models of canvas shoes that people once lined up for hours to buy, but now they sit untouched on store shelves. These examples show that people can always change their minds. A trend that is hot today might become outdated tomorrow.

Therefore, sticking to old trends and marketing plans might not work in the future. So, what can help business owners? The answer is  Data Driven Marketing.

What is Data-Driven Marketing?

Literally translated, it means marketing driven by data. The data you should pay special attention to is Customer Data). The reason you should focus on customer data is that you need to analyze it. Once you have the analysis results, you can use them to design and plan more effective marketing strategies. The customer data you should prioritize includes customer behaviors, likes and dislikes, lifestyle characteristics, and problems they encounter.

Let's take a simple example of analysis. You run a grilled pork with sticky rice stall and choose a spot at the entrance of an MRT station, operating from 8:00 AM to 11:00 AM. In just three hours, you might make a profit of 3,000 baht. You might think you’re doing well and have chosen the right location and time. However, upon closer observation of people's behaviors, you find that the period from 6:30 AM to 9:30 AM is much busier, with people using the MRT, BTS, and buses. Seeing this, you adjust your operating hours to 6:30 AM to 10:00 AM instead to reach more and diverse customers, including students, office workers, and motorbike taxi drivers. Your profit increases, and you can close the shop earlier without staying in the sun until 11 AM. 

Not only that, but you also expand your product range from just grilled pork to include grilled chicken, reaching even more diverse customer groups. This simple example illustrates why you should care about Data-Driven Marketing. It allows you to analyze data and strategize your marketing plans to improve the sales of your products or services.

Why should you care about Data-Driven Marketing?

For a small business like a grilled pork with sticky rice stall, simple observation and minimal analysis might be enough to find ways to increase sales. However, as a business grows, with more complex structures, larger target audiences, and more competitors, starting with Data-Driven Marketing becomes increasingly beneficial. When you conduct Data-Driven Marketing and analyze data from all angles and perspectives, it leads to three important outcomes for strategic marketing planning:

1. Predictive Marketing 

Predictive marketing involves anticipating what customers are likely to like or dislike and what they are likely to purchase next. For example, if you have data showing that a group of customers has bought the same model of lipstick in different colors from your website twice, this indicates that they like this type of lipstick and prefer these color tones. This analysis allows you to predict that the next line of lipsticks should have similar characteristics and use similar ingredients to meet customer preferences.

2. Contextual Marketing 

Contextual marketing involves creating marketing strategies that resonate with what customers are currently interested in. This approach is also driven by data analysis. For example, if you discover that hundreds of people are searching for "Everyday Look makeup" on Google during the graduation season, you can then determine how to tailor your marketing efforts. You might create ads or articles that cater to this interest, such as producing an ad that reviews an everyday makeup look using products from your brand. This approach helps customers connect more deeply with your brand's products.

3. Augmented Marketing 

Augmented marketing involves using new tools, such as AI, to interact with customers. This includes providing product information and answering basic questions, making it easier and faster for customers to access your products and services. For instance, if 20 people simultaneously request information about cosmetics, relying on staff to respond to each customer might cause delays and potential errors in information delivery. Therefore, incorporating tools like AI can reduce the number of necessary personnel and increase marketing opportunities by providing quick and accurate responses.

The Benefits of Data-Driven Marketing in Aligning Your Business with Consumer Needs

From everything mentioned above, the most evident benefit of Data-Driven Marketing is that it helps you target your marketing efforts accurately. You can identify which customer segments your products should target and devise marketing strategies that resonate with them the most.

• More Targeted Marketing: By understanding and analyzing customer behavior, your marketing becomes more precise and directed at the right audience, making your campaigns more effective in engaging your target customers.

• Cost Reduction: With a clear understanding of your target audience's behavior, your marketing efforts will be more structured and less scattered. This reduces the costs associated with trial-and-error marketing investments.

• Product and Service Alignment: Having data at your disposal means you know exactly what products and services to produce, what to invest in, and what to discontinue, ensuring your offerings align with actual consumer needs.

• Increased Sales and Profits: With reduced marketing costs, optimized staffing, and products that meet consumer demands, your sales and profits are likely to increase.

Conclusion

From all the points discussed above, it is clear that Data-Driven Marketing is essential. You might say that your business is already doing well and generating significant profits. However, in an era where everything is rapidly evolving, including consumer preferences, demands, and technology, it is challenging for many businesses to maintain their success without adapting. While it's true that a good product will sell, it doesn't mean it can't sell even better. If any business is looking for professional marketing strategy planning experts, we have specialists ready to provide consultation.  Click here.

Information by :  Wisesight  Mekhastudio  Primal

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