According to Dan Ariely, big data is like teenage sex – everyone talks about it, nobody really knows how to do it, everyone thinks everyone else is doing it, so everyone claims they are doing it. While this is true for the most part, it is definitely a horrifying notion, especially when you take into consideration all the possibilities made available by the very existence of big data. Nowadays, we can finally know which half of our marketing investments are actually making the money, which can help us adjust it to gain the greatest possible ROI. That being said, there are several big data trends that your future digital marketing campaign simply has to employ.
1. Studying past metrics
The way in which intuition (gut-feeling) works is that our brain subconsciously recognizes patterns from previous situations and looks for similarities. If the end result was bad, we get a negative feeling, while if it was a positive one, we feel the rush. However, what if this could be done at our own behest? What if we were able to consciously summon all of our previous campaigns and analyze any of its aspects in a matter of seconds?
Well, with the help of big data and an adequate analytic tool, this can be done quite easily. While causality still may remain somewhat elusive, focusing on the results and their most probable effects has never been easier. Later on, you can easily use what you’ve learned to initiate your own digital transformation.
2. Understanding conversion rates
Once you start studying conversion rates, you will notice that there is a huge discrepancy between the top and the bottom half of the industry. Namely, the average conversion rate online is at about 3.35 percent, whereas the top 25 percent of the internet has a conversion rate that is as high as 5.31 percent. On the other hand, top 10 percent of the internet has a staggering conversion rate of 11.45 percent, which means that every 10thperson that visits your website is bound to make a purchase, subscribe or at least interact with your website.
Still, just knowing these numbers is hardly enough for your company to make a satisfactory improvement. Namely, e-commerce websites have a significantly lower median (even the top 25 percent) conversion rate than finance. With the help of big data, you will be able to understand what is it that affects these features across every industry. With e-commerce, for example, the major culprits are the insane volume of visitors, as well as the trend to check the offer in several places (even several times in the same place) before actually making a purchase. However, a bad or poorly planned e-commerce web design can significantly offset your estimation.
3. Data visualization is the key
The next thing you need to understand is the fact that humans are highly visual beings. That being said, our brain is capable of interpreting visual information about 60,000 times quicker than a textual one, which is something that can definitely be turned to your advantage. Think about it, it’s much harder to envision 14 percent when you see it in written form than when you have it presented in front of you on a pie chart. Financial projections, climbs in ranks, lists and similar other trends are all much easier to interpret when you have them graphically displayed. To you as an entrepreneur who is constantly faced with volumes and volumes of data, this can come off as a life-saving innovation.
Apart from this, some of this visualized data can be later used in your digital marketing campaign. In fact, it might even be worth hiring someone skilled in web design to help you out turn all of this information into an infographic or even integrate it into your homepage design.
4. Real-time insight
Although it may be true that most marketing techniques tend to be reactive rather than proactive, even this is not as simple as it may seem. Namely, your ability to react depends on how quickly you are informed of the pressing issues that your customers are facing. With the help of big data, you can rely on real-time customer insights. With the rise of the internet of things (IoT) technology, this particular feature will become much more potent, which will, in turn, provide you with a more efficient decision-making process.
5. Reduced analytics costs
Most important of all is the fact that the data analysis now shows a potential of getting done on a much higher level at a reduced cost. Nowadays, big data and analytical tool combined might give you a more reliable actionable information than you would receive from a skilled analyst team in the past. The best side-effect of this trend is the fact that this levels the field for all the SMBs out there and gives them a fighting chance in the face of all their much bigger adversaries.
6. Targeting customers
Finally, according to the phenomenon known as customer lifecycle, not every person you get to interact with is willing and ready to become a paying customer. Before they decide to make that major leap, they might need some time or may even require some additional incentive. That being said, big data can point you in the direction of those who are the most likely to convert into paying customers and help you reach out to them in the timeliest, most effective manner (according to the situation).
At the end of the day, there are so many ways in which big data can be used to enhance your digital marketing campaign and boost your sales. Nevertheless, big data is but a tool and how you use it is what really matters. While ignoring its advantages may not be the most sensible choice, a lot of companies choose to do this due to the fact that they don’t fully understand this trend. Needless to say, in order to expand and prosper, you have to be on par with all the latest trends, especially when it comes to the world of digital marketing.
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