Effective Utilization of Data to Drive Marketing 2.0
The evolution from static web pages to more dynamic (web 2.0) web sites has forever altered the interaction between business and consumer. In order to be more competitive, companies need to adopt new tools to understand changing customer needs and pursue strategies which drive communication and collaboration both externally and internally.
Companies have adopted the internet route to sell products online. Many have also optimized the traditional delivery channels with the latest Customer Relationship Management (CRM) technologies. Today, online market has become more crowded with multiple players striving to create new prospects and increase online presence and market share. This has put significant pressure on marketing spend and has changed the traditional sales cycle. Companies must a) reach the customer faster b) advertise in a way that gives more power to consumer and c) include a feedback mechanism to build new or enhance products and service etc. Banks, Telco's, and Retailers are also making every effort to obtain deeper insights into consumer behavior in order to create more impactful and profitable online relationships.
Millions of people currently log on to Facebook, Twitter, MySpace and YouTube, and the numbers are growing every day. These social sites are using Web 2.0 technologies. With these dynamic and semantic websites, marketers have access to a broad array of new tools and techniques. A well thought out strategy which combines elements of a virtual advisor, podcasts, blogs, video, RSS, and social networking will be vital to the new marketing mix. Some sites map the feedback received thru social media. Some sites enable surveys thru Ajax. More and more companies follow 'online usage', 'time spent on the site' etc.
Organizations are now changing their marketing spends--creating financial blogs, tie-up with industry experts, and re-allocating their traditional advertisement or marketing spend dollars to educate consumers, create positive waves and listen to well-connected digital consumers through online communities and social web sites.
The following 3 key elements will play a significant role in Marketing strategy moving forward:
1) Consumer Data
This is the vital information about the consumer. It may be available if the consumer is a registered user of a product/site or information has been obtained on the buyer's opinion about the product/service. This enables companies to understand consumer behavior and reactions faster and in an interactive manner through Analytics and the underlying technology.
2) Analytics
Powerful analytics tools help analyze the raw consumer data and integrate it with other tools in order to change the marketing mix--product, delivery channels, pricing, etc. If consumer data is the foundation of a marketing strategy, Analytics is the blueprint--a reference point to lay out your online/overall marketing strategy.
3) New Internet Technology (Web2.0 & 3.0)
New technologies (e.g., HTML 5) will help companies offer better content delivery to consumer and act as a catalyst between consumer and the product, without compromising any privacy of their consumers and new prospects data.
Companies need data that enhances the user experience and improves their own web site's effectiveness. This is often limited to online behavioral information, providing a limited view of a website user's interests, needs, motivations and capacity to spend.
Companies can use various data assets (within privacy regulations) along with the appropriate technology framework / solutions to help target online content and enhance consumer's online experience. Companies can understand the real motivators, interests and purchasing power of consumers--removing the guesswork in the marketing to conversion cycle.
Dynamic internet technologies will improve consumer insights. To be successful in the competitive world, companies will need be more agile and adopt these new technologies and integrate throughout the marketing mix.
