The facts tell it all. Big data has helped major companies improve their business.
Whether it’s real-time user behavior data that help brands create personalized offers, the use of cloud-based big data tools to outpace competing companies with marketing emails, or employing a multi-cloud environment to help streamline marketing calendars, big data has revolutionized the way marketing and digital marketing is done.
With the help of three types of big data, namely financial, operational, and customer data, marketers and companies understand their target audience better, improve their business processes, and, more importantly, measure their performance while ensuring efficient operations.
Advantages of Big Data in Digital Marketing
Let us discuss the advantages of big data in marketing and how it can help you enhance your company’s performance.Â
Improving customer engagement
Through the use of big data, cloud computing, and other relevant software like a CRM, all your crucial Know Your Customer (KYC) data can now be made available to all kinds of businesses, regardless of their industry or scale. This data is important, especially in engaging customers, including how they interact and view one’s brand, which is a major factor in all digital marketing undertakings.Â
Included in this benefit is the ability to improve customers’ loyalty. The usage of customer analytics is a huge benefit because, through this, companies can outperform competitors in acquiring (and retaining) customers.
This can be made possible through consistent and accurate data collection and analytics. This way, companies would know what to offer and market. Companies can even get some leadsOpens a new window whom they can target thanks to big data.
Building brand awareness
Another benefit and role of big data in marketing is the ability of companies to build brand awareness. An annual increase of 2.7 times is observed when efforts are data-driven compared to those that are not, according to a study by Aberdeen GroupOpens a new window .
Moreover, customer-specific content is built through this data, which leads to the improvement of brand recall and recognition. This is possible even without a huge marketing budget.Â
Making pricing decisions
Big data influences the pricing decisions of companies due to information about incentives, completed deals, and performance-based data. Other basic information such as product cost, demand, competitor pricing, and product value is also culled.
The clarity in pricing can then be achieved, especially when you’re in the business-to-business (B2B) sector, given that deals vary from time to time. General customer preferences and economic information also provide valuable insight into pricing.
The use and integration of AI technology is something to consider as well. After all, this functionality can further improve accuracy and minimize pricing decision errors.
Lastly, pricing strategy based on other data such as exchange rates, interest rates, government spending (within countries of operations), and other macroeconomic indicators such as growth rate and quarterly GDP also leads to better insight in making the correct pricing decisions.Â
Optimizing the company’s performanceÂ
Part of how big data helps optimize a company’s performance is through marketing automation. This is how the business processes and marketing activities are automated.
An example is the use of email marketing software. Dissemination of all gathered data on existing customers and prospects is made easier through automation.
Another way of optimizing a company’s performance is to create campaigns based on customers’ purchasing patterns, customer behavior, etc. With the use of all available data, such as social media activity, website visits, log files, emails, and other unstructured data, companies won’t need to waste resources on trial-and-error campaigns anymore.Â
It is already possible to streamline operations while also increasing their chances of success.
Driving sales increase
Marketing is all about driving sales, and big data helps companies achieve this. Data on customers’ payment methods, frequency of purchases, and their product and service choices can help both marketing and sales teams decide on the best methods to approach.
Creating improved platforms
Finally, all of the customer data gathered can be used to refine a platform’s algorithmOpens a new window . At the very least, big data can help you refine your content, products, services, and operations to make them easier and more convenient.
According to market experts, personalization is the key to running a successful company during this era of information.Â
It’s these small details that can complete a positive user experience and go a long way in making customers feel appreciated and validated.
Marketing, the Way Forward
All in all, big data raises the bar and opportunities for companies to strategize and market properly and efficiently. Moreover, big data helps companies give the best customer experience through effective data analysis.Â
Integrated with a company’s already existing best practices and other actionable points, truly the way forward in any industry is digital marketing with the use of big data. Predictive models and social insights can significantly help you get ahead of your competition.
This isn’t even the full scope of big data’s power. Only the future will reveal the further utilization and benefits that this technology can provide.