Before we talk about how big data helps with marketing, let’s talk about what big data is. Big data refers to a collection of data sets that are large, fast, and complex. Big data is often referred to as the three V’s: high volume, high variety, and high velocity. This means that big data is something that can be used to create new applications built around analytics, which leads to very strategic development.
Big Data Matters
Big data matters, but just because you have data doesn’t mean that you’re automatically going to achieve better marketing results. It effectively means that you have the potential to achieve better results because you can make smarter decisions. When you’re going through all of your data, there are a few key things you should be looking for:
- Customer engagement: When digging through your analytics software or back-end data, you can strategically pick out information that tells you who your customers are and where they go. From there, you can figure out what they want.
- Customer loyalty: When you have the ability to use big data, you can figure out what leads to more loyal customers. For example, you might be able to see which features or pages on your site bring people back over and over.
- Streamline your marketing message: Big data can help you figure out how to strategically spend across multiple marketing channels because you can launch test campaigns, collect data, and analyze. If you know what’s working and what isn’t, your marketing message will be hitting the right audience in an extremely effectively manner.
What You Need to Know to Use Big Data
Using big data can seem like an intimidating task, but it doesn’t need to be daunting. You simply need to be determine which data to collect, which analytics tool(s) to use, and how to use the data to make valuable insights.
Making Valuable Insights
Big data insights let you engage your customers more effectively and drive value. A great example of a company using big data to both engage customers and drive value is Amazon. Amazon uses its data to build customer relationships by doing things such as suggesting products or resolving site issues. Amazon’s data is so valuable because it knows what products people are actually purchasing and not just what they’re searching for. Because of this, Amazon has begun selling its data to third-party companies.
What it Comes Down To
Big Data is analytics with a purpose. The key to successfully using big data is to know what data you need, and then using your findings to craft a marketing strategy.