When marketing is driven by data it is far more effective. Today even small businesses have access to data that can help them to gain insights into consumer behavior. They can identify consumer preferences and make personalized offers.
Marketing driven by data engages consumers more and increases conversions and sales.

Reach the right people

Why is collecting data important? Access to data can help small businesses to reach the target people with their marketing. There are various marketing tools they can use to collect data. They have access to demographics such as:

  • Age
  • Gender
  • Interests

Seeing a history of behavior and purchases is also informative. Marketers with access to data like this can create marketing messages that resonate with people who are most likely to want to purchase their products or services.
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Segment an audience

Not every potential customer should be approached in the same manner by marketers. Since each of them is in a distinct phase in the buyer’s journey, they require specific messaging to propel them to the next stage.
Data-driven marketing statistics can help marketers to segment an audience by:

  • Habits
  • Interests
  • Demographics
  • and more

This makes it possible for them to tailor their marketing accordingly. Consumers may be at the awareness stage of the journey where they want entertaining explainer videos. They may be ready for more in-depth information, like tutorials, if they are closer to the journey’s end.

Create relevant content

How do marketers use data to develop product strategies? Data can give them more understanding of the needs and pain points of their audiences. This means they can design product strategies that offer solutions. From data, they can also discover more about what type of content their audiences like to interact with.

  • What length of content they prefer
  • What types of visuals resonate with them
  • What format do they prefer
  • What social media platforms do they use

Deliver a strong brand experience

Consumers don’t want generic messages. They want to feel valued and that businesses know them on a more personal level. Creating more personalized messages creates a stronger connection with a brand.
Data can even influence the type of products a brand creates. Brands can develop products according to data insights that show them with prospects’ needs and wants. When they provide solutions to consumers, their products are more likely to sell.

Find out which marketing channels to use

CRM software tracks a customer’s journey from the initial point of contact. With CRM, small businesses can observe how customers behave and react to their marketing initiatives.
This can help them to find out which marketing channels work best. If they know which social media platforms customers frequent and the days and times they are on them, they can tailor their strategies accordingly.

See what works and what doesn’t

When marketers understand which marketing methods are most effective, they can save time and money. They will not squander their resources on techniques that provide ineffective results. They can improve their resource utilization and conversion rates by using a data-driven marketing approach.

Increase opportunities for cross-selling and up-selling

Data can help marketers discover opportunities to cross-sell that they may not have been aware of before. Data can give marketers ideas of how to further engage customers after they purchase.
Post-sale engagement can create loyal customers who continue to make purchases. They may be more willing to upgrade a service or more open to up-selling.
data-driven marketing

Implementing data-driven marketing

To implement data-driven marketing small businesses need to define their goals.

Once they define their goals they can collect the right type of data. This data will give them the insights they need to keep refining their strategies.
Data from various sources in an interactive dashboard can help them find out what’s working and what isn’t. Marketing dashboards can help them to visualize metrics in real time. They may even be able to pick up patterns or trends that can help with future marketing efforts.

Final Thoughts

Marketers may target the appropriate audiences on the most effective channels at the appropriate times by gathering data and utilizing insights. To make improvements to their strategies, they have to keep testing, analyzing, and iterating. This will help them to continue providing a great customer experience and will bring in more sales and revenue.

Need a data-driven marketing strategy?

BrandLume provides expert digital marketing services to assist you in connecting with your target markets and achieving success. With our data-driven marketing startegies, we can create focused campaigns to support the expansion of your business.
Never undervalue the importance of data; use it in your marketing campaigns today!