Expert highlights significance of data strategy in marketing as crucial element for success
By Zion Rufus
In today’s interconnected world, the need for data has become indispensable for individuals, governments, marketing, advertising, and PR agencies.
While governments require high-quality data for effective policy-making and resource allocation, industries rely on data for strategic planning, informed decision-making, and maintaining a competitive edge.
However, data itself is not the sole factor; the implementation of data collection strategies is equally crucial.
According to Lanre Basamta, a tech business professional and Group Head of Mobile Financial Services at Interswitch, having a well-defined strategy for data collection is of utmost importance. This strategy encompasses guidelines on how data is collected, stored, used, managed, shared, and implemented.
Basamta highlighted the existing gaps in data strategy, stating, “From a data perspective, we still don’t have the strategy right. As marketers in Nigeria, we lack a defined strategy for the data we are trying to collect, and even when we have a strategy, our implementation is faulty.”
One of the key aspects of data in marketing communications is its role in targeted advertising, enabling the tracking of customers’ shopping behavior, preferred stores, online search patterns, saved items, and most frequently sought-after products.
Basamta provided an example to illustrate the limitations of data collection in practice. He mentioned that when customers visit a grocery store, their name and phone number may be collected, and some additional data like date of birth and gender might be recorded.
However, this limited information fails to provide actionable intelligence on customers’ behavioral patterns.
Basamta posed critical questions: Do these businesses have apps that track customer behavior? Are there geo-location services in place to identify when customers are at their stores, providing valuable insights into their purchase decisions? Unfortunately, the answer is often no.
According to Basamta, collecting data should extend beyond basic demographics such as age and gender. It should encompass factors like customers’ life journeys, financial status, marital status, geographic location, preferences, time of purchase, and income, enabling a more accurate estimation of their purchasing power.
This comprehensive data empowers companies to develop detailed consumer profiles, including behavioral patterns, shopping habits, job information, and income levels. It also enables advertisers to deliver personalized advertisements to their target audiences.
Basamta emphasized the need for improvement in data collection, highlighting the importance of providing multiple touchpoints and channels. He stated, “Data is not just for gathering insights; it should also serve as a cord that connects customers to brands for the long term.”
For marketers, brand managers, and organization watchers, Basamta emphasized that starting with the end goal in mind is crucial for effective and strategic data collection. By utilizing data strategically, businesses can drive value, increase customer lifetime value, and create sustainable growth. The ultimate goal is to extend the lifetime value of each customer.
Basamta in his closing remarks acknowledged the continuous evolution of technology and expressed optimism about the development of better data collection strategies.
He mentioned wearable technologies that track users’ experiences across different geographies and time zones, noting that these technologies provide valuable insights beyond basic purchase behavior, allowing for micro-targeted communications.
With sufficient intelligent data, businesses can better understand their customers and provide them with personalized services, fostering long-term relationships.
Additionally, the continuous advancements in technology provide promising opportunities for improved data collection strategies, enabling marketers to better serve their customers and enhance overall business success.
RECOMMENDED ARTICLES
Comment
No comments found.