Of course, we all know by now that data is an incredibly powerful tool to plan a company’s marketing and advertising strategies. But that’s obviously not all that it can do. If you know what to look for, and pay close attention to the details, marketing data is also the best tool for you to better focus your company’s attention and resources. Here are a few ways that some smart data use can help you do just that.
Discovering your Cash Cow – Knowing what people will buy is just as important as knowing how to sell it to them. And, you guessed it, data holds the key to figuring out both of those things. Whether it’s website click through info and bounce rates or engagement numbers on your social media, your ideal customers are always telling you which products they’re more interested in and how much they’re willing to pay for it.
Does your audience keep recommending and looking up one of your products that you never thought would be so big? Maybe that’s your cash cow – you might not need to spend lots of advertising dollars on it, but you do want to make sure you’re meeting demand. Good data will also give you some insight into the products on your website or social media that just isn’t attracting attention no matter how much money you throw at it, which is a good sign to go back to the drawing board with those ideas, no matter how much you love them.
Adapting to competition – With the right information, you can also get clues as to how to respond to competitors in your market, and move your own chess pieces to suit. Let’s say, for instance, that you run a snack company, and you notice one of your rivals launching or repackaging a new product. You can use the data that brings to your advantage. After their re-brand, which products do your customers still engage with and which did they lose interest in? How do your customers also engage with your opponent’s product?
If the impact of a competitors’ moves is really great, it may be a sign to focus your business’ efforts on some of its more successful products. Or maybe it’s a sign that people are in the market for something new, and you might want to lean into your products that are still looking for a breakthrough in the market. Either way, if you can get your hands on that data, you can make a better-informed decision about how you want to compete in the market.
Clarifying your vision – Whether you’re a new company, or you provide a wide range of products and services, sometimes your vision could do with a little refining. And it’s more than simply enhancing your outreach on your website and social media. Sometimes, what it takes is a complete overhaul of what your company does, and why it does it. And data can help you do exactly that.
If you’re a new company, still trying to figure out your place in the market, how people engage with your brand is the perfect way to gauge what people are looking for in the marketplace. If people don’t pay you much mind compared to established brands, perhaps you’re too much of the same, which is a sign to invest more on newer ideas or perhaps pivot your company entirely. If they are interested but skeptical to convert into customers, you’re intriguing but still need to establish trust and loyalty, which is still a good sign, and probably means that you should be spending more on marketing. If you’re working on a bunch of different things, but your potential client base is only really focused on a couple of them, then you should be too.
However the data guides you, it’s always important to have it, not just to decide how to communicate with your target audiences, but to discover more of what they want and how to give it to them. Business, in a very large part, is about making the most informed decisions that you can, so why not use the information you have to your advantage?