Personalized Marketing Best Practices
Three best practices in data-driven personalized marketing include data onboarding for 1:1 ad marketing, using artificial intelligence, and using streaming analytics.
DATA ONBOARDING FOR 1:1 AD CAMPAIGNS
- Also known as offline data, data onboarding include in-store purchases, loyalty card data, and could be obtained from CRM data files or bought from offline data vendors.
- The data examined would allow marketers to target the right audience and deliver more personalized marketing campaigns and maximize ROI.
- The value of data onboarding is expected to reach $1 billion by 2020.
- Businesses could make better marketing decisions and increase their bottom-line if they adopt the location-centric approach.
- Advertisements could be tailored based on the current location and eating, shopping, and socializing habits of consumers.
- A shoe store can implement data onboarding by using its loyalty card to store data of its target customers on its offline POS systems.
- An onboarding system will gather the data and match them with computer cookies of certain customers to send targeted ads to customers who had shown interest in that shoe.
- The success of data onboarding is measured through increased conversions or an ROI measure.
- GrubHub has used data onboarding to collect data about what, where, and when people eat and use the data to create engaging content such as quizzes, polls, and contests.
- Comcast has used data onboarding platform LiveRamp to identify specific households they should target specific ads to drive costs per thousand impressions (CPM) down as much as 35% while increasing its reach.
- Marketers could use AI-powered data analytics tools to better understand and reach their consumers, and adopt the best strategies to improve their businesses.
- According to a Forrester study, 89% of marketers believed that predictive analytics would be an important part of their work in the future.
- AI tools could be implemented to analyze social media data to determine their consumers’ likes and dislikes.
- Marketers have used Facebook to target specific ads at people based on their interests.
- AI-powered chatbots are being used to communicate and engage with customers, and also collect data to better understand them and make product recommendations.
- The success of AI-power tools is measured through ROI and the amount of savings from automating repetitive tasks.
- Amazon’s Alexa is capable of driving product recommendations to its consumers.
- Around 35% of Amazon’s revenue is driven by its recommendation engine.
- Marketers could leverage streaming services to obtain psychographic data of their consumers.
- Streaming analytics focus on the present instead of historical data and represent a simpler and lower-risk approach that allows businesses to measure results.
- Building a streaming analytics platform is considerably cheaper and less time-consuming than building database infrastructure.
- Sports streaming services provide marketers with data such as consumers’ favorite players and teams.
- Streaming analytics is implemented by gathering data for specific events from various sources such as online transactions, social media posts, web browsing, and wireless calls.
- A dedicated app is typically used to interact with consumers to gather the required data.
- The success of streaming analytics is measured through customer retention, loyalty, ROI, and ROAS.
- 58% of enterprises that have adopted streaming analytics have seen a significant increase in customer retention and loyalty.
- Digital agency PMG has used streaming analytics to help a client construct consumer profiles based on real-time transactions.
- This has resulted in an increase in conversion rate during key holiday periods and a return on ad spend of $149.59 per customer.