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The marketing process starts from the product to customer service. Big data analysis and use can be used in every step of the way. In this article, we will look at how big data usage in every step of the process is changing the way we know marketing.
Unlike in the past when you could only rely on customer requests to know what customers need, today, you can follow up any other information channel and harness the information to create a product.
Such information can be from social media, mainstream media channels, or even industry data. Without big data capabilities, you cannot make sense of massive volume of information lying around. Thanks to the potential to make sense out of the information, today it is possible to learn what is missing in a product.
For example, after following numerous CRM customer feedback from various companies, Salesforce was founded to provide the disgruntled customers with an online platform for all their CRM needs.
Price setting decisions
Major pricing decisions often miss the point. Considering how big pricing decisions are to any company, if there is a chance to set the optimal price, no company can pass that opportunity. Big data analysis is helping businesses understand their pricing models, not just for standard products, but also price differentiation and product segmentation.
Information about customer decisions and behavior can be simulated using big data analysis techniques to predict how products are affected by prices. Such price dynamics could only be simulated using a real change in prices and observance of the repercussions. In such a case, it would be laborious to get decisions right before setting the wrong impression in the market.
Targeted marketing decisions
Today, companies don’t have to go to the market blindly; they can map out and target specifically the customers without having to go to a fishing expedition. The only way to do that is to harness data and analytics. From income exposure to shopping behavior, the company can know exactly who can afford, who can buy, when he or she can buy, and how to buy.
Companies can target the channel a person or organization is most likely to encounter the service or product offered. Today, online channels such as SaaS, e-commerce websites, social media, and so on help companies reach directly to the customer and facilitate the decision-to-buy process.
For example, who is likely to buy education insurance for his or her kids? Newly married or young freshly employed people. You go specifically into this market if you know that. Geoanalytics, go-to-market decision-making among others are possible courtesy of data analysis.
Once you sell, knowing how the customer feels about your product can be a game-changer. The 21st-century business needs to make customer-responsive products and services. Harnessing feedback is the backbone of this critical process because, without feedback, one can only rely on gut feeling.
Thanks to harnessing tons of information available in reviews and reports, we have learned that one disgruntled customer can bring down your company. Thanks to the same data, we know that effective management of the customer can change a company’s fortunes.
Apart from responding to your client’s feedback, customer insights are unparalleled. You can know how the market is changing and you adjust accordingly. In fact, you can learn your competitor’s strengths and weaknesses through customer feedback too.
Overall efficiency in selling decisions
Comparatively, big data brings unprecedented information that can help reduce marketing and opportunity costs. With targeted marketing, you don’t have to spend on a low-priority customer; you focus on the ideal customer at a time you anticipate he or she can buy your product or service. The decision to innovate or respond to customer needs in your product improves the company’s ability to deal with competition proactively rather than reactively too.
Big data has not just empowered traditional marketing strategies; it has created new ways to do the same thing quickly, cheaply, and sustainably.
Guest Post: Ian Andrews is a technology entrepreneur. He is an ardent reviewer of tech products. He focuses on how tech gadgets integrate with people’s lives.