Companies collect enormous quantities of data daily. This volume of data may overwhelm them, leading to their use of only one tool to analyze it. However, they need an integrated approach to ensure their business grows and thrives. How can analytics help drive marketing decisions?
Analytics and Strategy
Business owners often focus on specific aspects of their marketing strategy, such as keyword research services. They need to measure each marketing proposal based on several factors. What is the proposal’s strategic return, economic value, and payback window? Answering these questions using a scoring system ensures the data can be compared and contrasted objectively.
Furthermore, they must use these analytics to understand the target consumer’s buying behavior, which has changed drastically in the past few years. For example, a company may market its offerings on its website when the consumer turns to social media for information about a product or service. Analytics will help develop a strategy that reaches the target audience where it spends its time.
Informed Decisions
Business owners must know which analytical approaches to use when developing a strategy. They need to consider the tools and methods available today when doing so. One company may use marketing-mix modeling to determine which channels to use. Another company may benefit from heuristics when data is limited. This strategy is easier to use in many situations. However, certain companies look to new technology when deciding which method to use to make informed decisions. Attribution modeling is one that many business owners are considering today because it focuses on online marketing methods.
Improved Insights
Many business owners rely on one tool, never stopping to consider the biases inherent in that tool. An integrated approach allows them to be more flexible when budgeting marketing dollars. They may use marketing-mix modeling to learn more about the audience and attribution modeling to determine which activities increase conversion rates. Using only one technique will not allow the company to make the most of its marketing dollars, and the business may fall behind its competitors.
Emphasizing Analytics
Many companies are tempted to outsource this task, but doing so is a mistake. Business owners and their teams must gather and analyze this data to better understand how the strategy works and where changes are needed. When a third party handles these tasks, the owners may not understand or trust the data, so they may not use it. Companies need individuals who understand analytics and can share information with the business owner and team members in a way that they can understand.
When the company has one or more individuals on staff who can do this analysis and share the information, the company can act quickly. Speed is essential because the company must remain competitive. Attribution modeling is beneficial because it allows campaigns to be changed immediately. A well-performing organization can reallocate the majority of its marketing budget mid-campaign with the help of attribution modeling.
Business owners find that showing a return on investment from marketing programs using only one tool is insufficient. To see an outstanding return on investment, the business must diversify its marketing tools to obtain better analytics. These tools provide the data business owners need to make informed decisions. With the help of these tools and the analytics they provide, any business can uncover meaningful insights and drive market growth.