Are you tired of throwing money away on marketing?
Throwing money at campaigns and hoping one sticks. Guessing which messages customers respond to. Wondering why your competitors always seem to get ahead.
Well…
It’s time to level up your game.
Stop guessing which campaigns will work.
Instead of relying on gut feelings to make marketing decisions, smaller companies can now access powerful data and analysis. The kind of information that was previously only available to large enterprise businesses.
This means you can FINALLY start taking smart bites out of those bigger competitors.
In this post we’ll cover:
- Data-Driven Marketing Definition
- Small Businesses Are Left Behind Without It
- Artificial Intelligence Is Changing The Game
- How To Start Using Data-Driven Marketing Today
Data-Driven Marketing Definition
Let’s start with the basics.
What does data-driven marketing even mean?
In its simplest definition, data-driven marketing is making marketing decisions based on actual data instead of guesses.
Pulling customer information and data. Analysing it for insights. Then using those learnings to inform your next campaign.
Simple enough, right?
But here’s the kicker…
Traditional analytics platforms only allow you to analyze a few different types of marketing data. Information like demographic statistics and website performance are valuable, but there’s a lot more you can learn about your customers.
That’s where artificial intelligence comes into play…
These days, the use of AI for data analysis is becoming more popular than ever. By automating the processing and analysis of your marketing data, AI tools can identify trends and pull actionable insights you would otherwise miss.
Small businesses can now take advantage of these AI tools the same way larger companies do. Which gives you a greater opportunity to outcompete them.
The results? More effective targeting. More streamlined spending. And a bigger return on your investment.
Small Businesses Are Left Behind Without It
Now take a look at what happens when you ignore that data.
Analytics firm Sprinklr shared that data-driven companies are SIX times more likely to be profitable than their non-data-driven counterparts.
For those who don’t think that’s a big of a deal, let me shine some light on what that really means.
If your business falls into that non-data-driven category, you’re competing against businesses who are six times more likely to achieve success than you are.
Odds like that don’t exactly inspire confidence, do they?
But it’s going to get worse…
Research shows that 94% of small businesses plan to increase their marketing budgets by 2025.
As more and more companies enter the marketplace hoping to grab your attention, you have to find a way to stand out from the crowd. Data gives you the insight you need to win that fight.
Imagine two businesses:
Business A uses data to truly understand their customers. They know who is most likely to buy from them. When they’re most likely to buy. And what messages will resonate best with each audience segment.
Business B still makes marketing decisions based on instinct and gut feelings.
Who do you think will win the race?
Artificial Intelligence Is Changing The Game
Alright, so data is important.
But where do you actually learn about your customers from?
ISPs like Google and Facebook have made it easier than ever to collect data on your audience.
But what about analyzing that data?
Enter Artificial Intelligence.
AI tools have evolved to a point where the average business can now unlock meaningful insights from their marketing data. No team of data analysts required.
You can use AI to:
- Quickly identify your highest value customers
- Predict when your customers are most likely to make a purchase
- Personalize your marketing messages at an industrial scale
- Discover trends your competitors won’t see
Sure enough, businesses who adopted AI for marketing see an average sales ROI increase of 10-20%.
And some businesses report an even higher increase once they fully commit to an AI-first strategy.
One area where AI really shines, however, is in customer segmentation.
By automatically identifying unique subsets of your audience, AI tools can help you SEGMENT your customers into clearly defined groups.
Business who use AI for segmentation see an increase in campaign efficiency by up to 25%.
25% LESS WASTE. And 25% more value out of the money you’re already spending.
Here’s the thing.
Traditional marketing approaches all customers as one homogeneous group. Data-driven marketing allows you to treat every customer as an individual.
Personalized, targeted experiences are no longer a luxury your customers want. They expect it.
And until you give them that personalized experience, they’ll make sure to find it somewhere else.
The Real Benefits For Small Business Owners
If you’re still reading, you’re probably wondering…
“What are the actual benefits data-driven marketing has to offer?”.
Let’s dive into some specific ways that data-driven marketing can help YOU.
Save Time And Resources
We all hate wasting money on unsuccessful marketing campaigns. Data eliminates the guesswork so you can spend your time and money on what actually works.
Beat Big Business To The Punch
Big corporations have been using data to their advantage for years. But now that same level of detailed information is accessible for small businesses too.
Learn What Your Customers Really Want
Pulling customer data and analytics can tell you almost everything you want to know about your ideal customer. Use that data to serve your customers better than ever before.
Make Informed Decisions With Confidence
Rather than making crucial business decisions based on gut feelings. Pull up the data and look at the concrete facts before you make your next move.
How To Start Using Data-Driven Marketing Today
Ready to dive into the world of data-driven marketing?
The best part is you don’t need to make drastic changes to get started.
Here are a few tips to help you take your first steps towards a more data-centric approach to marketing.
Start With What You Already Have
Chances are your business is already collecting data. Website analytics, email performance data, social media insights. Start there.
Focus On One Channel At A Time
Pick one marketing channel that’s most important to your business. Learn how to read data and act on those learnings with that channel first. Then expand to the next.
Invest In Tools To Help You Learn
AI-powered data analytics platforms are more accessible than ever. These tools can help you analyse the data you’re already collecting while providing suggestions on how to improve.
Create A Culture Of Using Data
Every time you make a marketing related decision, look at the data first. Soon it will become second nature to you.
Those who take advantage of data-driven marketing now will leave others in the dust.
Closing Thoughts
Data-driven marketing doesn’t care how big your business is.
The businesses that take advantage of helpful customer data will leave the rest behind.
Statistics show business who utilise customer data outperform their competitors by large margins.
Quick recap:
- Data-driven companies are 6x more likely to be profitable
- AI has allowed small businesses to analyse that data
- Big businesses no longer have an advantage
- You can start implementing data analysis today
Now it’s your turn to start using that data to your advantage.
Stop hoping your gut feelings are right.
Start making informed decisions with confidence.