Feb 09, 2021 Advanced Marketing Analytics and Why You Should Want It
Advanced Marketing Analytics
Marketing analytics techniques are used to determine what marketing approaches are working and not working. Once you know that, you can focus your efforts on what is working and therefore increase your overall marketing effectiveness.
In order to gain insights that can be leveraged into actions that improve marketing efficiency and return on marketing investment, spending time analyzing the data collected from your marketing activities is a requirement. To accomplish this, different marketing analytics techniques are used to determine how well each marketing approach is working and how much each marketing approach is contributing to the overall marketing effort. This can range from very simple reporting of results and data visualizations to more complex analytical methods referred to as advanced marketing analytics.
In its simplest form, marketing analytics can take the form of reviewing email campaign open rates based on subject lines or clickthrough rates on various email content which allow the strategist to improve the effectiveness of the email marketing portion of a campaign. Moving up the analytics food chain, analytics can be used to compare the effectiveness of marketing between channels, often called marketing mix modeling. Moving up further in complexity is modeling multi-touch attribution to determine which customer contacts are ultimately driving the decision to purchase vs. other phases of the customer purchase funnel, such as awareness or consideration. Finally, complex statistical analytical tools such as multivariate statistical methods, direct marketing analysis, data mining, discrete-choice modeling and conjoint analysis are used to gain even more actionable results to drive marketing effectiveness. When it is all said and done, marketing analytics is all about getting the most impact for your marketing spend.
Moving up the marketing analytics food chain requires more and more data, and more and more types of data from more and more sources of data. Data must typically be gathered from many sources such as Google Analytics, Facebook, internal customer sales data. Literally dozens of sources need to be aggregated into some kind of data warehouse. A place to start is to take data from multiple channels and customer touchpoints and combining them into a single view of the customer in the form of a database that reflects all interactions between seller and customer. The next step is to create a reporting and analytics environment that allows the analyst to see Key Performance Indicators across all marketing channels.
Combining all of this and teasing out actionable insights takes a great deal of expertise in complex database design, employment of the right tools and practitioners with training and experience with advanced statistical methods.
Getting help from Apollo to assist you in improving your own marketing analytics capabilities or providing a completely outsourced marketing analytics capability can speed your adoption of advanced marketing analytics.
Bryan B Mason
Apollo Consulting Group, Newport, RI
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