8 Ways in Which Big Data Is Revolutionizing Marketing And Sales
Marketing and sales are two sectors that benefit immensely from big data analysis. By offering comprehensive insights into consumers’ needs and expectations, the ways in which big data is revolutionizing marketing and sales for organizations are pivotal. With big data, businesses have a better understanding of their customers at the macro and even a micro level, resulting in highly targeted marketing.
It’s evident that businesses are increasingly turning to big data for big gains. A MicroStrategy survey revealed that 90% of businesses believe data and analytics are key to their organization’s digital transformation. Big data analysis provides actionable functional insights across the entire enterprise for improved decision-making and profit generation. Growing business globally with big data as a core driver is helping enterprises establish sustainable competitive and differentiating advantages.
Why do Businesses Need Big Data?
Big data has become a core enabler for mission-critical customer-oriented functions such as revenue generation, improved customer support, enhanced marketing strategies, improved operational efficiency, and competitive rewards against competitors. Right down to pricing strategies, big data is changing the way price and hence, profit are set and distributed through the sales networks to benefit the entire value chain and helping optimize prices to increase market share.
Leading firms are harnessing the power of big data and increasing sales by using it at almost all levels of the sales processes- from lead generation i.e. improving the accuracy of prospecting lists, to streamlining sales territory planning, and even measuring sales lead engagement. According to a NewVantage Partners survey, customer and market analysis (69%) is a front-runner when businesses pick up big data initiatives. IT (52%) and Online Operations (52%) follow next.
Additionally, marketing is making great headway with big data. Marketing agencies and associated departments are leveraging big data to improve content effectiveness and measure impact at each stage of the sales cycle. Businesses are plugging in data to optimize customer communication elements, drive hyper-personalization, and hence, increase conversion rates, improve marketing ROI, and customer lifetime value.
8 Ways in Which Big Data Is Revolutionizing Marketing and Sales
- Increasing Sales with Consumer Insights
Big data can predict consumer behavior by analyzing patterns spread across large volumes of structured and unstructured data. A comprehensive analysis of data from available channels along with that from social media and forums can break down customers into very specific micro categories. Businesses can then find ways to adjust their sales workflow through insights gained from big data analysis. With a data-led direction, business operations can be re-planned with broader strategies aimed at improving customer acquisition rates while lowering churn rates. Based on the insights, businesses can create ways to increase recurrent customer spending, and improve customized-product fit.
- Improving Customer Engagement and Retention
With increasing competition from niche and private label players, businesses aim to create an unmatched quality user experience and customer engagement that leads to customer retention. However, providing an unparalleled user experience can be a daunting task for businesses with a vast and diverse customer base. According to a McKinsey report, data-driven organizations are 23 times more likely to acquire customers and 6 times more likely to retain them. Businesses that lag in understanding the requirements of their customers may end up losing them.
Big data allows businesses to analyze customer behavior, spending patterns, and trends in real-time. The more data is collected, the more analysis can be done to unravel patterns and trends. Firms can use these insights to fill in the gaps between what the consumer is looking for and what its competition offers. They can develop quality products and services that they can fulfill faster in a better way; in some cases, it could even be a cheaper option than what the competitors offer. Thus, big data analytics offers a significant edge in garnering customer loyalty.
- Optimizing Pricing Strategy
Businesses have realized that with a little adjustment to the price, they stand to gain much profit, without making any changes to their sales pipeline. They are now using big data analytics to implement flexible pricing at the level of individual customers. Retailers are able to identify the price point that would generate the most revenue. Big data analytics helps businesses offer differential pricing strategies at the customer-product level, thus optimizing pricing.
- Developing Focused Marketing and Advertising Campaigns
It is critical for businesses to devise the right marketing and advertising strategy to boost the conversion rate. Analyzing large volumes of consumers’ online behavioral data allows companies to conceive laser precision marketing messages. By monitoring online activity and point of sales transaction, big data analytics can detect changes in customer trends. It can also predict consumers’ spending patterns and push businesses to improve targeted advertising, develop new content and manage media scheduling better. Such customized advertisements derived from big data analysis have a higher chance of converting a lead into a customer.
- Driving Sales Through Dynamic SEO
Search engine optimization is the go-to source to generate a steady stream of leads from organic website traffic. SEO works on keywords that highlight buying intent and interest of customers. Big data helps find and keep track of the most relevant keywords at any given time. The humongous big data bank gathered with the help of keywords can be used to dynamically generate effective sales-focused content. Thus, big data is vital for dynamic SEO-sales alignment.
- Using Geo-analytics for Sales
Companies relying on regional pricing and sales are leveraging big data to augment their selling strategy through geo-analytics. Geo-analytics derived from big data bypass the guesswork that companies had been doing until a few years back. Businesses can now track the location-based activity on a massive scale. Big data geo-analytics provide a better picture of how customers in particular regions are behaving when it comes to spending money. Based on big data insights, businesses can adjust sales models as per the requirement.
- Increasing Cross-selling Opportunities
The easiest way to boost sales is to take advantage of cross-selling or upselling opportunities whenever possible. Once firms have access to customers’ personal information and purchase history, it is a matter of time and planning to find additional products and services that might interest the customers. Companies now have the power of big data analytics to streamline the process and predict the most likely upselling opportunities. Through technologies involving big data such as recommendation engines, businesses are able to exploit the cross-sell and upsell potential fully. In a nutshell, big data analysis makes it easy to find products and services related to the initial purchase.
Companies must know that there is always a competitor waiting to take over their market share. Big data makes it possible to bring together fragmented customer data from sources such as point-of-sale systems, e-commerce platforms, mobile applications, and social media to gain rich insights. The verdict is clear - big data is changing the future of marketing with data analytics.
The move to big data analytics is no longer a choice but is an imperative tool to make your business profitable. Talk to our experts to begin your Big data journey today.