Smart data marketing uses data to optimize activities related to efficient marketing investment, resource allocation, omnichannel focus, and user experience.
Video service providers that track this data are the ones that set themselves apart from the competition. We differentiate four different levels of data driven model maturity:
- The first level includes Media service companies that operate blindly or “in the dark.” These companies don’t yet use data to guide their decision-making, so they are not able to properly measure their performance or the effectiveness of their marketing activities.
- Moving to the second level, we find Video service providers that are driven by basic data. This group consists of those companies that have taken the jump and have begun to use analytics to try to measure and track their marketing activities in order to optimize their results, but they are still in the incipient phase.
- Smart data-driven Media businesses occupy the third plane. They have learned from the previous phase by analyzing every action in their marketing and sales channels. But they have reached the next level by also examining the consumer journey, thus driving increased lead generation and improved user acquisition performance. They use their greater understanding of audience behavior to improve the UX, enhance customer clustering and engagement and increase marketing automation.
- The fourth and highest level consist of companies who have matured into businesses driven by big data. These companies leverage their data, which gives them a consolidated view of their business and of the wants and needs of their customers.
At this stage of maturity, the video business can trace every step of their marketing activities, their customer conversion funnel, and the audience’s interaction with their platforms. They are thus able to optimize and personalize every aspect of their service, which leads to increased audience engagement and customer lifetime value, while reducing costs and maximizing profitability. But this isn’t all: they can also predict consumers’ future behavior, allowing them to reduce churn, increase conversion rates, and better forecast future income and growth.
How to design a data-driven marketing strategy?
Marketing without data isn’t marketing. We would be performing activities without being able to measure results, forecasting performance based on our intuition and best guesses.
To develop an effective data-driven marketing strategy we need to define the following aspects:
- Situation analysis
- Audience clustering and buyer persona definition
- Establish objectives based on the most important KPIs
- Definition of personalized marketing activities and content
- Results tracking and optimization
To move from one step to the next, you need to have successfully defined and accomplished the previous one. The most important factor here is to correctly define the metrics you need to track.
A data-driven marketing strategy dashboard must include the principal and secondary metrics that provide a global vision of the Video business. From there you can proceed with more detailed actions to address all the variables — from the most general to the specific —of your digital media service.
Following this strategy provides a clear vision of your Media service marketing performance, so you can identify your weaknesses and strengths, driving your service decision-making to help ensure you achieve your business goals.
To succeed you need to optimize the performance of the data available to your business and base your decision-making on that data.
The principal big data strategy variables to be taken into account are velocity, volume, and variety; and with a fundamental premise: only use data that has something to say about your video business.