5 Ways Marketing Analytics Will Boost Your ROI
Marketing analytics enable companies to thoroughly and accurately measure and analyze the results of individual marketing initiatives to determine their overall effectiveness. Unlike standard marketing reporting tools that provide little more than simple numbers and statistics, marketing analytics delve much deeper – empowering marketing professionals to understand not just what is happening with their campaigns and promotions, but why it is happening and how it can be improved. Armed with this vital information, they can develop more successful marketing strategies and boost marketing return on investment (ROI).
Marketing analytics can facilitate:
1. Improved Cross-Channel Outreach
Cross-channel marketing – the process of leveraging multiple communication vehicles simultaneously to reach an audience – is emerging as an important and highly effective marketing strategy. In fact, studies by the Interactive Advertising Bureau (IAB) show that continuous cross-channel marketing can improve brand awareness by up to 34 percent, increase consumer purchase intent by almost 1,000 percent, and significantly increase sales revenues.
But, many marketing teams who embark on cross-channel initiatives struggle to determine which channels are producing results – and which ones aren’t. Marketing analytics enable companies to conduct an in-depth assessment of key campaign performance indicators – such as click-through and conversion rates – so they can “tweak” the communication mix as needed to maximize ROI.
2. Greater Personalization
Many experts blame the ongoing decline in marketing response rates on the lack of relevance that exists in today’s one-to-many marketing campaigns. In reality, most of the marketing materials prospects receive are of little or no importance or interest to them.
But with marketing analytics, marketing professionals can take a more intuitive approach to campaign planning, fully understanding the needs and wants of their individual prospects and customers, so they can better target the right subset of their audience for the right messages and promotions. This, in turn, will improve the success of campaigns. In fact, leading analyst firm AMR Research predicts that the use of personalization in marketing initiatives can increase conversion rates by as much as 20 to 30 percent.
3. Accelerated Qualification
Marketing teams are under increasing pressure from the sales departments they support to transform raw leads into qualified prospects faster and more efficiently. Marketing analytics provide the insight needed to communicate with, nurture, and cultivate each suspect or person of interest in the most productive manner possible. So, campaigns and promotions reach and resonate with leads quickly, and they become “sales-ready” much sooner.
4. Increased Customer Loyalty
The more proactive a company is in addressing their customers’ needs, the better their customers will feel about the service they are receiving. Marketing analytics can help companies accurately predict and respond to customer requirements, which can build stronger, longer-lasting relationships and improve profitability.
5. Enhanced Budget Allocation
Many marketing teams simply don’t know how – or where – to most effectively spend their budget dollars. Marketing analytics provide a clear picture of all marketing activities, enabling marketers to see which types of programs are generating the most interest and which ones are having the greatest impact on the sales pipeline.