New research reveals that marketing teams have trouble utilizing distinct types of data collected to deliver that 1:1 experience those customers crave.
The research found that 59% of marketers feel that they DO NOT have the data they need to feel confident about which marketing campaigns are working and which are not.
The Problem: Insufficient data and utilization limit the ability to deliver a 1-1 experience.
Most marketers do not feel entirely confident that the quantity of data they have access to is enough to help them make informed decisions. Less than one-third (29%) of marketers report having enough data to make effective decisions on where to spend resources.
Do you have enough data to make effective business decisions on where to spend marketing and/or sales resources?
Having enough data is only part of the problem, the quality of data is also an issue. Only 33% of marketers feel that their data quality is sufficient for them to make effective marketing decisions. Over 55% of those surveyed report being somewhat confident in the accuracy and relevancy of their data when it comes to making effective decisions.
Does the quality of your data allow you to make effective business decisions on where to spend marketing and/or sales resources?
So what data is needed? There are three types of data that help marketing professionals understand and personalize the customer experience:
- Firmographic data is a set of characteristics related to firms or companies that group them together to form market segments. Examples are location, employee size, industry, revenue, etc.
- Demographic data is a set of socioeconomic information to break down a group. Examples are gender, age, income, employment status, etc.
- Behavioral data describes the observed actions of prospects or customers as they engage with your brand. Examples are website analytics, email analytics, ad analytics, etc.
In addition to lacking data quantity and quality, marketers lack the skills necessary to personalize the customer experience based on firmographic, demographic, and behavioral data.
Percent of marketers who have the skills necessary to personalize the customer experience based on the following types of data:
Why are these three data types so important? By leveraging firmographic, demographic, and behavioral data, you can give customers content that’s suited to their interests and activities – without lifting a finger. And since every customer interaction provides additional insight, your brand experience becomes increasingly relevant across channels. Visitors feel understood, which incentivizes them to return to your brand.
The Solution: Consolidate and integrate tools and technologies
The research found that:
Consolidating tools in our marketing and sales tech stacks would increase productivity and efficiency.
Running with a lean technology stack can reduce data silos and enable better end-to-end visibility of prospects and customers and as a result, you can deliver a 1-1 customer experience. Consolidating tools can also decrease the time it takes to solve issues, significantly reduce costs, simplify forecasts and tracking KPIs, and streamline the training of staff members.
Research shows that the #1 way to manage customer data is by using a customer relationship management (CRM) system. A robust CRM improves customer relationships in the following ways:
- Better knowledge of customers: See above discussion on firmographic, demographic, and behavioral data.
- Better segmentation and personalization: Segment contacts to specific target audiences to customize the customer experience.
- Better customer retention: Optimize communication to improve customer satisfaction.
- Better and speedier communication: Automate and customize workflows to improve conversion.
- Better lead management: Use a Life of the Lead approach for a visual representation of which campaigns, touchpoints and activities attribute to each sale.
Learn more, download the 18-page research report, The State of MarTech. Coverage and analysis of this research are also available by MarketingProfs, MediaPost, and Convince & Convert.