It’s no secret that today, high-quality data is one of the most valuable assets a company can have. The term ‘Big Data’ was coined in 2005, 16 years ago, and 14 years after the World Wide Web came into public use in 1991. Since then, the market for Big Data has increased significantly, with companies such as Amazon and Facebook showing the true power of thorough data collection to implement effective selling techniques. Data has even become its own market (the ‘data-as-a-service’ or DaaS) industry, which, due to the availability of low-cost, high bandwidth cloud computing, has been expected to rise in value to an estimated 47 billion USD in the next four years.
Data collection is useful across the full scope of a business’s day to day activities, such as setting targets and KPIs, making predictions and forecasts, and securing the future of your company. But one of the places it can be most useful is marketing.
Marketing using data-led insights is called ‘predictive marketing’: the use of data analytics to decide upon the best course of action for campaigns and strategies, predict trends, and sell better. This is done by leveraging data collected from consumer behaviours across your brand’s touchpoints and creating a singular store of historical user data. Formulae and algorithms then work with your data to pull key insights, help you to strategise future purchasing trends, and make predictions on consumer behaviours; thus, predictive marketing.
It is probably already clear to the reader how ‘non-predictive marketing’ strategies fare in comparison. To summarise, it makes every marketing activity a shot in the dark, with no certainty on success or ROI. As a company, you are more likely to see failed campaigns, un-met KPIs, indifferent audiences, and low engagement rates, resulting from not knowing exactly who you are targeting, how, and why. Of course there is no way to guarantee your strategies run perfectly, but predictive marketing with the help of digital tools brings you a few steps closer.
Benefit One: Predictive Product Choice
Predictive product choice relies on data you have collected on your customers’ purchasing history, interests and engagements with your brand. Data should be collected from actual purchases, marketing preferences, campaign clicks, scrolls, ‘likes’, and any other way in which the potential customer interacts with your product selection.
By identifying patterns in this data using digital tools, a map of what your customers have been engaging with should begin to emerge. Use trended insights to create strategic pricing, re-configure one of your existing products, introduce a new product to market at the optimum time, or bundle products and services to maximise the profitability of multiple areas of focus at once.
Benefit Two: Predictive Lead Scoring
Predictive lead scoring relies on data collected by your onboarding team from your pipeline and sales funnel.
Information such as responsiveness to mailers, success of personalised offers, time spent in the pipeline and historic account closures: both won and lost, provide indicators on which of your leads are most likely to close a deal in the future, how long it might take, and how profitable that deal may be.
You can then allocate a percentage to each lead, helping you to prioritise communications and allocate resources to those clients most likely to score you a win.
Benefit Three: Predictive Customer Churn
Predictive customer churn is based on data from your user-facing touchpoints such as the brand website, advertisements and mailers. By collating key metrics on areas of drop-off, leads and dead ends throughout the UX, digital tools let you know where your business is losing customers, and direct you to making effective plugs, loops and re-engagements to drive customers back to where you want them to be in the sales funnel.
Benefit Four: Predictive SEO Tactics
Predictive SEO tactics use data collected from search ranking analytics and traffic reports to generate customised charts that allow you to visualise the momentum of your page.
Information about who is arriving on your page and how, helps you understand your audience and which of your SEO techniques are proving most effective. It also allows you to discern whether your web content needs updating, whether there are new SEO strategies you should be targeting, and create newly engaging content before you experience any major drop-offs in page visits and search engine ranking.
To derive the full range of benefits from your predictive marketing, the first essential is data. By collecting and safely storing the most accurate and deeply-historical set of clean data, you will be able to generate more precise predictions, and better strategies. All you need to begin is a willingness to make an investment into a powerful CRM system, and automations take care of the rest, leaving you to enjoy the benefits of your new digital tools.
The CRM database has a unique and multi-faceted ability to analyse, track and store large amounts of data about your processes, clients and leads makes it the perfect jump-off point to begin growing and implementing predictive marketing.
Optimiser is a comprehensive CRM software company, providing businesses a customisable solution to their personal goals for sales, productivity, and growth. Powerful integrated modules include lead management software, a B2B sales toolkit, automated marketing suite and more for sale under a single subscription. Try Optimiser’s CRM software demo with access to the full Enterprise Licence FREE for 30 days, and find out how you can skyrocket productivity in just one month!