The Marriage of Marketing and Maths

Lauren Haworth is an account director at AddSuite, specialising in effective online and mobile advertising. She explains why skilled data analysis is becoming increasingly crucial to meeting your business’ goals.

Digital marketing has become 80% data science and 20% art. Increasingly, technology is evolving to help brands improve how they collect and analyse data to intelligently guide campaigns across different media channels. That’s the science. What happens once a brand has a customer’s attention – that’s the art.

The main goals of marketing are to stimulate future sales and retain valuable customers. Digital marketing has the same purpose, intentions and objectives that underpin these goals.

The marketing landscape has evolved from a one-horse cart to a transformer. Fragmentation of attention requires a continuous evaluation of strategy and an improvement in skills.

Digital advertising offers brands three important features:
• The ability to segment and target audiences with personalised, relevant messages.
• The ability to measure conversion paths from click to purchase and even post-purchase.
• The ability to analyse this data, creating intelligent connections that go beyond just interesting to actionable.

The more digital advertising evolves, the more statistical analysis is required as an essential skill. Statistical analysis involves the strategic collection and analysis of data that provides actionable information which businesses can apply.

Impressions and clicks were the first phase of digital advertising, but those are more “interesting” than “actionable”. Conversions, cross-sales and basket abandonment are some of the metrics we really want to be tracking. These are the metrics upon which budgets and resources can be re-allocated, or sales process efficiencies and strategies can be improved.

As the infamous economist, Adam Smith, remarked, “The real price of something is the toil and trouble of getting it”. If you can measure digital campaigns accurately and then analyse the results to inform internal business processes and improve efficiencies, then you are on the right track to improve the customer’s perceived value.

1 Segmentation
Segmentation forms the first stage of the value delivery process. Surveys and data collection methods can be used to gather the data and digital software can be used to execute campaigns aimed at these selected audiences.

Questions to be asked:
• Who is the group of people you need information from?
• What kind of sample do you require? Who are you targeting and why?

2 Implementation
After segmenting, targeting and positioning your brand the way you would like potential customers to perceive it, choosing the best channels to reach them is the crucial next step. For the purpose of measurability, digital advertising is arguably the best option.

From digital display advertising for brand awareness to Google Adwords and social media, the options are vast and each offer unique engagement opportunity with potential customers. Your strategy should inform these placement decisions.

3 Measurability
Technology allows you to pinpoint the success of campaigns at a granular level, but you need to compartmentalise your goals. A campaign for brand awareness is executed and measured differently to those which require, say, form completions. You’re wasting your time and money if you treat digital advertising as an afterthought or a secondary execution channel.

Digital advertising is all about raw, unprocessed data, and loads of it. Its analysis requires a different skill set than most marketers and agencies currently have. Reading data is about analysing statistics, testing the assumptions and optimising. It requires marketers to become data scientists.c

If you, like many others, are not currently able to get meaning from your data and are without data scientists, there are options. Oracle Bluekai is one of the largest and most sophisticated Data Management Systems (DMP), offering marketers the unique software to analyse their data and extract meaning from it. The data is categorised into different target groups based on similarities. These groups or segments can be selected and allocated to any agency or publisher with a license and used to guide digital campaigns across multiple channels including programmatic and social.

AddSuite, part of Ole Media Group, is one such group which has a license for the Bluekai DMP system, and the unique ability to on-sell sub-licenses to clients. This means that brands can use a DMP for a fraction of the actual cost, own and control their own data and use it for any campaign with any agency or publisher. Get in touch {}.