FLEX YOUR DATA
The most powerful tool business has at its disposal are the track record and trends of its customers. There is no better way to predict the future than to understand past successes and missed opportunities. Applying smart analytical insights to that information feeds the sales and marketing efforts required to maximize the ROI of any campaign.
Whether it’s transactional data, point of sale data, data gathered through the use of technology, or just simply historical data, leveraging technology to better understand customers pays dividends. Planning sales initiatives must start with a granular understanding of what and why your customers are buying. Your data or data we help you gather can accomplish more than you may know and answers the critical questions surrounding any launch.
- The “what” and “why” question: Companies often have success with product launches and sales initiatives but don’t know exactly why. Understanding those specific reasons allows that success to be duplicated. Similarly, the development of new products and services should be based on consumer/customer demand. Data analytics defines that demand with specificity; both in terms of what customers will buy and in how to best position products and services. Doing so dramatically increases market penetration by gaining insight into the buying triggers and the “wants” of a given market.
- The “who” question: There is an old saying in the car collector business that goes, “There is a butt for every seat”. In other words, tastes vary from person to person and the key is to get the right product in front of the right people. Different customer segments require a different message to create the desire to take action. Even with the same product or service, different customers require a different set of reasons or positioning to take action. Your data can define those segments. New data can define those segments. The combination reveals opportunities not seen in the past and facilitates a much deeper understanding of your customers.
- The “offer” question: With every sales initiative, the offer has a substantial impact on the customer’s willingness to act. Through data analytics, we can find the “sweet spot” for each offer you make. The level at which a discount meets maximum take rate offers the highest ROI and data can pinpoint that level. Too often, companies give away more than is necessary or not enough to get customers to act. Data can pinpoint that specific level wherein the discount is at the lowest level while still maximizing the take rate. The difference in ROI can be substantial.
- The “channel” question: Let me tell you something you likely already know; the delivery vehicle for your message or offer can be just as important as the message itself. Certain groups prefer certain channels and will act on messages in a higher percentage when their preferred channel is leveraged. Selecting a single channel for delivery is not only counter-productive; its cost prohibitive as well. Direct mail works great for certain customer segments but is costly. Text messaging is very inexpensive AND is the most effective method of delivery with certain segments. Therefore, using direct mail for an entire data set makes little sense given the expense and ineffectiveness with specific segments. Data can tell us, with specificity, which segments require which delivery channels.
- The “relevancy” question: This question matters more than many marketers understand. The presentment of an offer or marketing message that has little or no relevancy to a customer damages the prospect of selling that customer. Customers may not even remember getting that message but the data shows they remember “no”. The life cycle of “no” varies from industry to industry but it is substantial. Leveraging transactional data or newly acquired “point of sale” data provides the insights necessary to create relevant offers. That relevancy not only avoids the ‘no” response, it also creates deeper level of connectivity and engagement. Why create customers when you can create loyal, engaged customers. Referrals spawn from these types of customers and data creates more of them.
While you can’t please all of the people all of the time, you can please more of them more of the time! Data has that power. The failure to leverage your most powerful tool costs you and your company money. Adding actionable insights to your methodology and adding Busson to your team drives revenue; it’s that simple. It’s time to add a level of competency to your marketing campaigns and sales initiatives that adds ROI and drives much deeper customer engagement.
It’s time to flex your data!
Article written by: Jason Wood