Data Science in Marketing: The consumption of online information has skyrocketed over the past decade due to the massive rise in the World Wide Web that is popularly known as the internet. Interestingly, there are more than 6 billion smart devices connected to the world of the internet at present.
It is also amazing to note that approximately 2.5 million terabytes of data are produced and consumed every second. This massive chunk of data is no less than a gold mine for marketers.
What Is Data Science in Marketing?
This data holds massive potential for marketers who can use this data accurately and optimize it accordingly to get valuable consumer insights that will eventually help them to target the respective audience in a result-oriented way.
Nevertheless, data mining and processing it in the right way is a complex task for marketers. This is precisely where Data Science appears. Data Science is a subject of study that helps in filtering the informative and meaningful data from the vast pool of data warehouse and thus back marketers in understanding the consumer insights.
Consumer insights can be identified on various parameters such as customer behavior, customer experience, and customer intent, which will eventually help marketers gauge the expectation of customers and develop their marketing strategies accordingly to earn more revenue.
Faster and Smart Campaign Planning
Often, Marketing Campaigns, in a sense, are distributed broadly without the consideration of factors like location and audience. This results in improper budget allocation by a marketer for a respective marketing campaign.
As the marketing campaign is not explicitly targeting someone, it may also perform poorly in achieving the set goals and revenue. Nevertheless, if marketers take the help of data science and plan their marketing campaigns according to the consumer insights data, they will be able to target the right location and demographic, and hence will be able to get high ROI and earn more revenue.
Platform and Budget Optimization Using Smart AI Insights
Marketers are always under pressure to plan their campaigns under a tight budget. Naturally, every marketer aims to deliver maximum ROI through their marketing campaigns by using the given budget.
Now, achieving the respective objective under tight budgets is always going to be risky and time-consuming at the same time. It is often noticed that marketing campaigns don’t perform well, and marketers are unable to use the available budget efficiently.
In the meantime, a Data Scientist can analyze marketers’ spending and acquired data and build a productive spending model that can help them utilize their allocated budget in a resourceful and efficient way.
This spending model developed by data scientists can help marketers distribute their budget across channels, mediums, locations, and campaigns in an optimized way and achieve the set goals.
Real-Time Data Prediction to Customers
It is through optimization of several key metrics, real-time data prediction is possible, which can eventually help in customers’ retention as well.
Better Performing ROI Campaigns
In the present day, customers are seen spending most of their time on social media platforms such as YouTube, Twitter, Facebook, and LinkedIn. It is through the help of data science; marketers can understand the customers’ journey over these social platforms and can develop their social media marketing campaigns based on customers’ interests and needs.
Optimizing Customer Experience and Customer Retention
To achieve maximum output from their marketing campaigns, marketers will have to target the right customers at the right time. This is where data scientists can help marketers by creating a customer lifetime journey model that segments customers according to their behavior.
Subsequently, marketers can use this model according to their requirements. For example, they can give Cashback offers and referral code to their high-value customers.
The model will also help marketers to build retention strategies for users who are likely to opt-out of the services and products of the company. Importantly, it all boils down to the point of customer experience that is the prime factor in achieving success in marketing.
Data Science enables a marketer to understand customer behavior in a better way, which will help them to serve their customers according to their needs and demands.
Customer Segmentation Improved
Data Science can be used by marketers to optimize and make the best use of the leads. It also helps them in understanding customers’ online intent and behavior. The historical data of customers can back marketers in knowing customers’ brand preferences, which will help them to target customers accordingly.
Real-Time Analytics with Predictions
It is often seen that marketing campaigns are planned irrespective of the factors of location and audience, which eventually leads to improper use of allocated resources and budget. This is where data science can help marketers to target their respective market campaigns to the customers of a specific location and demographic, and achieve maximum ROIs through the campaigns.
Increase Customer Engagement
Data science can help marketers target their customers through the right channel and time. For example, through an analysis of customers’ data, marketers will be able to figure out consumers’ willingness to respond through emails over SMS.
These insights will help marketers communicate with their customers at their preferred time and channel.
Predictive Analytics for Customer’s Behavior, Prioritize Leads, Targeting
Customers who help in sustaining a business through their continuous association are said to be loyal. Past and loyal customers are less expensive as compared to acquiring new customers. Data Science can provide valuable insights on existing customers, which will eventually help marketers to develop marketing campaigns accordingly to retain them for a more extended period.
For example, data science can help marketers in churning out profiles of pregnant women based on their buying behavior before pregnancy.
Now, marketers can use the data of the same profiles to target them with products during and after pregnancy to retain them for a more extended period. This will also build the loyalty factor among the set group of customers.
Implementing Recommendation Engines for eCommerce
Ecommerce has become the talk of the town nowadays. It is with the support of data science; the identification of recommended engines for eCommerce can be made, which will benefit any business in the broader sense.
Market Research and Analysis
Quite often, marketing campaigns are planned without considering the elements of location and audience, which not only leads to the improper use of allocated budget but also leads to huge revenue loss.
This is where data science helps marketers develop their market campaigns according to the need of set target audience and channelize the campaigns in the respective location.
Optimization of Marketing Campaigns to Granular Level
Digital marketing can prosper only through the help of data. Marketers can strategize and plan their market campaigns in a better way only by analyzing customers’ data.
Data Science plays an essential role in improving the platform of digital marketing through optimized data. It also helps marketers plan their campaigns according to the needs of customers.
AI Lead Scoring using Data Science
There is no guarantee of every lead converting to a potential customer. However, if marketers can segment their target audience as per their interest, it will not only increase the performance of the sales department of the company but also lead to the achievement of maximum ROI.
Data Science is a way of helping marketers creates predictable lead database system. This system is algorithmically capable of doing calculations and making a probable judgment on the conversion of the segmented lead database. This lead database can be identified in the layers of curious prospects, eager customers, and not interested customers.
Optimize Multiple Marketing Channels
Data Science enables marketers to identify the right channels for their campaigns. It is through the time series model; data scientists can run a thorough comparison in determining the best channel for marketers to target their customers.
This is highly beneficial for marketers to communicate through only those channels and mediums that ensure maximum reach and revenue.
Marketers are looking at customers’ interests and requirements while marketing a respective service or product. They are always engaged in creating a prospective list of customers to target. It is through the help of data science; they can identify and target the right customers according to their characteristics and hence build the preferred list of the customer base.
Data Science enables marketers to assimilate, analyze, and segment data for various demographics. It is based on these data insights; marketers can plan their targeted product launches and campaigns for better reach, engagement, and revenue.