If you want to understand big data marketing, then consider ‘normal’ marketing to be jumbled mess without analytical data. Marketers need relevant information to develop the company’s marketing strategy. The tools they use are market research, target group analyses, statistics, consumer behaviour analyses or competitors’ results. The web has allowed access to an infinite amount of digital data, even more so since the advent of e-commerce. This windfall offers a huge advantage over competitors to companies that take advantage of it.
Big Data, a digital giant that truly lives up to its name
Let’s make it clear what Big Data is. Originally, the term was used to describe data sets that could not be processed by traditional applications. The volume and complexity of information have made it necessary to reinvent data processing. Today, Big Data refers to all the data that can be used by companies, but also to the entire ecosystem that makes it possible to use it.
Data from Big Data, an inexhaustible mine of information
The contents of a book would not be sufficient to draw up an exhaustive list of data from Big Data. With the rise of the mobile web and IOT, Big Data is getting richer with a continuous flow of information. Geolocation data, mobile apps, social networks, searches and browsing histories are constantly being generated. Even if we add compiled e-commerce data, demographic studies or multiple statistics, we will still only have a topline overview of the overall picture.
The big “5” elements of Big Data
Five key elements to take advantage of Big Data. Overlooking any of these will likely compromise your data-driven marketing strategy.
- Volume: it is important to know how to collect, host, process, analyse and use large volumes of data.
- Speed: some data has a short life span. Real-time processing capability is what makes the difference, especially in real time marketing.
- Variety: data is in the form of text, image or audio. Then, there is biometric data, transactional data, web analytics, etc. You need to be able to handle all formats.
- Veracity: unreliable data is of no interest. It is essential to rely on “real” data.
- Value: a lot of data is worthless, at least for you, while other data is full of information. It is important to know how to sort it.
A sixth “V” could be added for vigilance, as data protection is a major issue. Data theft or leak can have serious consequences for your company and your customers.
They 5 key points of Big Data marketing
With this image of Big Data in mind, let’s take a look at its usefulness in 21st century marketing. Digital transition has multiplied sales channels and broken down the barriers of traditional marketing areas. Competition is fierce and consumers use it to raise their expectations. Let’s take a closer look at the 5 questions of Big Data marketing.
- What is the relationship between Big Data and digital marketing?
With the advent of the Web, Marketing has gone digital. Although the fundamentals have not changed, their use certainly has. This is especially true for customer relations. Simply put, we could say that previously we used to develop a product, and then look for customers. Today, we scan the customer and then develop the product or service he or she requires.
The key is to anticipate future consumer expectations in order to develop products that will be in demand tomorrow. The customer is the centre of attention in modern marketing, it is the customer centric approach.
This new paradigm of commercial relationship is based on customer experience. This implies that it is possible to measure customer satisfaction rate, throughout the sales process up to the purchase, and also thereafter. This concept is valid for acquiring new customers, because knowing them better allows you to better meet their expectations. Digital marketing needs a lot of information, especially in terms of behaviour, to reach its target. Big Data provides key data for marketing campaigns and sales actions. The marriage is consummated under the name of Big Data marketing.
- What are the data sources of Big Data marketing?
There are two different types of data. Declaratory data, provided by Internet users via registration on a website, during a purchase, survey or competition. It is often very comprehensive and serves to describe the customer profile. Behavioural data from online activity of internet users. It is collected through the advertising ID of Internet users or through cookies placed by websites.
Interactive marketing campaigns are mainly used to collect declaratory data, usually in return for customer benefits. Behavioural data is collected through different channels.
- Search engines: they indicate search patterns, and therefore the main trends.
- Cookies: they analyse browsing pattern via the visited websites.
- Mobile data: they display the geographical location, search patterns or the app usage.
- Social network: they contain the likes, comments, shares, followed pages or communities.
- Transactional data: it is all the purchase or subscription data.
- IOT data: It is collected through connected objects and provides information about your tastes and habits.
Data for analysing the behaviour of internet users are more and more difficult to collect. This is due to Apple’s new “privacy first” policy and Google’s announcement to ban cookies on Chrome from now mid-2024. This explains the growing importance of open data, a gigantic mine of information constantly being fed by public and private organisations. It contains various types of data; geographical, demographic, environmental and statistical. It is open, as its name suggests, and structured. Finally, data can also be acquired from a data broker, as long as their data consent meets local market regulations.
- What benefits can be drawn from Big Data marketing data?
Knowing your customers and prospects and their behaviour better allows you to respond to their expectations in a better way. Knowing how to analyse and cross-check data from different data sources offers major advantages over your competitors.
- Analysis of the purchase process allows you to improve customer experience to generate customer loyalty.
- Analysis of the behaviour of internet users allows you to meet their expectations better.
- Detailed knowledge of its customers and prospects ensures optimisation of marketing campaigns.
- The study of market trends is essential for companies to adapt their offer and anticipate future demand.
- Analysis of the effectiveness of marketing actions allows for the optimisation of investment and ROI.
Big Data “knows” (almost) everything about the consumers, trends and your core target group.
- How can we implement a Big Data marketing strategy?
Every project starts with an analysis of the existing situation, a definition of the objectives and a roadmap of the processes to achieve them. There are some key points to consider when integrating Big Data into your digital marketing.
- Ensuring that the company’s marketing culture is ready to accept a new mode of operating.
- Defining the purpose of the Big Data project, its objectives and expectations.
- Identifying data sources, processing tools and analysing the current operation.
- Defining the tools and technologies necessary for the optimal use of Big Data.
- Defining the human resources necessary for operation, chief data officer, data analyst or data scientist.
- Provide training for users from the commencement and throughout the course of the project.
You know the saying: “90% of the success of a project is in its preparation”.
- What are the challenges in implementing a Big Data approach to marketing?
There are none! There are mostly reservations that make people say “Big Data is not for us”. However, from very small companies to international groups, Big Data is proven to boost the company’s business.
- If you think you have too little data, you are mistaken. Most companies use less than 10 percent of the data in their possession.
- Are you thinking of hiring one or more data experts? Not sure. You can call upon external expertise. A data marketing consultant will adapt exactly to your needs.
- You are not sure of making a profit on the investment. Yet, there is no need to buy heavy equipment. A SaaS data marketing tool hosted in the cloud and that’s it!
- You think Big Data is not for your industry. If you offer products or services to customers in any market, Big Data offers you all the information you need for your business.
Whether you are a novice or your company is too small, nothing prevents you from using Big Data, data marketing or business intelligence.