6 Easy Ways To Implement Data Science In Marketing
In the last few years, online data consumption has drastically spiked due to the availability and affordability of the internet.
The global data sphere will grow from 33 zettabytes in 2018 to 175 by 2025. That’s more than a 530% increase in seven years. Nearly 30% of these data will need real-time processing.
Data science and analytics can help you turn this huge amount of data into actionable insights. It gives you a deeper understanding of your target audience and enables you to tailor your campaigns to their spending habits.
In this article, I will discuss what data science is and how you can implement it in your marketing.
What is Data Science?
Data science is a technology that aims to extract useful information from a collection of raw data. The insights can be used in decision making, customer behavior analysis, and other marketing applications.
Data science involves scientific thinking, statistical methods, innovative technologies, and computer engineering.
However, not everyone can just use data science to drive critical marketing decisions. You will need a thorough understanding of it, which can only be acquired via a data science degree. These degrees are designed to help you build skills to monitor, analyze, manage, and visualize large chunks of data using the latest technology.
Here are six ways you can implement data science in your marketing strategy:
1. Market to the Right Audience
Before you launch any marketing campaign for your brand, you must know who your target audience is, their pain points, and what they are looking for (in your products or services).
While every marketer is familiar with identifying the right audience for their campaigns, determining the right persona can still be a challenge.
Data science can help you learn more about your customers’ behavior, demographics, and unique preferences before you develop a marketing strategy.
You can use tools like Omniconvert to test your insights, run experiments, determine whether you are targeting the right audience or not, and find improvement opportunities.
2. Budget Optimization
Creating a marketing budget that achieves your marketing goals isn’t an easy task.
Data science can provide you a clear picture of your marketing spending and acquisition ratio. Marketers can use these insights to build a model to distribute their budget in the smartest way possible.
Data science can help you maximize the performance of your current assets without increasing the budget. For example, Progressive, one of the largest car insurance providers in the US, used data science to make business decisions and drive growth.
When Progressive launched its mobile app, it was only used to provide quotes for its various insurance products. However, when they implemented data science to build actionable insights, they found that a vast majority of customers are interested in buying insurance directly from the app. They then added a “buy” button, which accounted for $2 billion in written premiums within a year.
3. Social Media Marketing
Social media marketing is one of the most effective strategies that most marketers are using today to attract more customers.
Social media platforms such as Facebook, Instagram, and Twitter have millions of users that spend a significant part of their time online. Facebook users spend 38 minutes on average every day on the platform.
You can use a platform like Markerly to partner with celebrities and influencers to grow your following and social engagement. Then, implement data science to determine how effective celebrity collaboration is for your business and how you can optimize it for better results.
Data science also helps your business determine how many social media users have shown interest in your brand. You can find the number of people reading your social media page or clicking on your marketing content.
Data science can also keep you at the top of the upcoming trends. It allows you to gather and analyze people’s changing behavior, enabling you to better prepare your future marketing campaigns.
With these insights, you can easily create a social media marketing strategy that improves your online visibility and engagement.
4. Matching your Marketing Strategies
Optimizing your marketing strategies to meet your prospects’ individual needs is a great way to increase sales. However, to do so, you will need to first segment your customers into different groups.
Data science can help you segment your customers according to their shopping behavior and other preferences, thereby enabling you to create marketing content that addresses their needs.
For example, WNS, a travel-focused business, used data science to determine how to redesign its roadmap to capture missed revenue opportunities. WNS found its clients were still using offline channels to ask questions. The agency used this insight to create new marketing strategies. As a result, they saw a 16% increase in revenue and a 21% rise in conversion rates.
You can create multiple marketing campaigns that focus on different customer segments to maximize your results.
Data science can also help you create a customer lifetime value model that can be used to identify shoppers who are likely to leave your brand.
You can then send cash-back or referral codes to your most loyal customers via email to keep them returning to your online store.
5. Customer Communication
Customers are more loyal to a brand if the business communicates with them often. That means you should know the right way and time to communicate with customers.
While there are different methods to communicate with customers, choosing the right one is not easy, especially if you don’t have any information on your clients’ preferences.
Your customers might prefer direct SMS on their phones or personalized email messages.
Data science uses historical data to predict each customer’s preferred channel of communication. It also helps you understand what type of actions or messages you should send to increase engagement.
Irrespective of which communication channel you opt for, ensure that your messages reach your customers at the right time.
6. Improved Lead Scoring
Your business could attract a lot of leads, but not all of them would convert to customers. Marketers can easily convert more leads if they identify the different interests of such prospects.
Data science helps you come up with a lead scoring system to target customers that have shown interest in your products.
By grouping your customers into various groups, you can adopt a more personalized marketing strategy that increases your conversion rate in the long run.
You can easily calculate the conversion rate of every marketing strategy you employ and only focus on effective ones.
Data science can be your best friend if you know how to use it effectively. Data science is a transitioning field, but that doesn’t mean you can’t adopt it now in your marketing strategies.
Any marketing strategy thrives on the right set of data. Data science provides useful insights that marketers need to come up with effective marketing strategies for their target audience. Irrespective of what marketing goals you have, you can always adopt data science to get the right results.