Successful Examples Of Data Targeting Within Business
If youre tech-savvy, you must already know that data has become one of the biggest business trends. Allegedly and infamously introduced to the mainstream by what happened after the Cambridge Analytica scandal in 2018, the usage of data for marketing, lead generation and targeting processes has definitely become a tangible business development route in many SMBs and big enterprises. The matter is definitely very complicated to dissect, but lets try to list a couple of successful examples which will most definitely open your eyes on how powerful data targeting has become within every business sector.
Whats Data Targeting?
Data targeting refers to the usage of different pieces of data structures to create data points which are used within CRM and automation-related architectures to target specific audiences. Sounds complicated right? Well, basically data targeting is a simple process which associates a numerical variable to a user or a specific keyword. For example, if John lands on a website and types blue shoes on the sites search box, he will create the variable John: blueShoes 1. The more blueShoes, the bigger that audience will become. Once that audience is identified, it could be put into a CRM which will basically automatically target it for blueShoes related campaigns, regardless of the end goal (lead generation, paid social traffic etc.).
How Can This Be Implemented?
As of today, there are dozens of applications who are able to gather data and process it, creating data points and data audiences. Mainly identified with the terms Data Warehouses and Data Lakes, these architectures can be used on almost every CMS in order to evolve and develop data-oriented features. Data targeting isnt, in fact, an extremely expensive business model, and there are indeed a lot of relatively cheap applications which could be used to implement different data-driven strategies. In 2020, in fact, having data-oriented strategies will be so important within the overall marketing sector that analysts and forecasts are estimating this sector for over 30/35% of the entire strategic planning worldwide. Data targeting is at its beginning within the mainstream.
Old Sectors Are Moving Towards Data
The usage of data simplified targeting audiences within those sectors which arent particularly tech friendly like the whole real estate sector. A company which focuses on commercial property auctions, for example, has seen a net 45% increase in both profit margin and engagement, by utilising data-friendly strategies for their targeting (mainly millennials). Another great example would be digital banks, which, by using data targeting, were able to provide different, tailored investment plans to their client, without relying on cold calls or brokers, effectively saving a lot of money and improving their profit margin/conversion rate.
Old sectors are moving towards data-driven strategies as its the fastest way to approach digital ventures in 2020 and its possibly the one which gives the most powerful results.
The Evolution Of The Matter
The evolution of data-oriented features is related to the fact that GDPR and other data-related rules and laws are being developed as we speak. No one knows if data targeting will still remain a powerful strategy in the next 4/5 years, but we do know that the future of data targeting will be related to personalization and similar. Its very important to understand the fact that data regulation is still at its very embryonic phase and its development within delicate financial services like online and digital banking, for example, still heavily needs to be controlled. We can easily expect data to become the biggest form of digital acquisition in the next couple of years.
Outscaling With Data
Companies like Amazon were able to increase their profit margin by 550% since they introduced data-driven strategies within their development plans. The combination of data points and data targeting to paid ads (even internal, when done on Amazons native advertising platform) has been so powerful, to the point for which many companies are now associating data marketing to Jeff Bezos company itself, by calling this model Amazon Dataline. Outscaling marketing campaigns with data is (now more than ever) the best way to approach data science for businesses (even small ones).
The usage of data is definitely still one of the most powerful and impactful business strategies of 2020. Estimated for over $20 billion worldwide, the future of digital heavily relies on data and with examples like the ones mentioned above, its not hard to understand why. Hopefully, this small piece has improved your understanding of data targeting and data related strategies within businesses.