Know what a customer costs by creating a 360 degree view
Everything is working properly. Customer data is coming in, customer profiles are being made, and thanks to these profiles you can segment your target groups so that you can approach them in a personalized way. Clear as day. And now? Now it truly begins. Bringing in new and loyal customers with effective campaigns via the right channels, while you’re also aware of the exact cost of every new customer. In this blog, I’ll reveal how to do this based on data and within the budget.
I never go on a holiday. Well, at least not on a long holidays. I make sure that I go on an overseas trip once every month, for a long weekend because that enables me to experience several moments of joy in a single year. My girlfriend and I book a flight with KLM or through Skyscanner. Then, right before departure, I book a hotel near the airport at Booking.com. By now, these companies have a perfectly clear image of who I am. They know my travel history, frequency, preferences in destinations, and choices for accommodation. So they have plenty of data on me. I normally start searching for the next trip about three months in advance. So if I receive a KLM newsletter with an attractive promotion, I book it without any hesitation. They know that and that’s why I receive the newsletter.
You’re never certain of a conversion
Of course, for a marketing manager, this is the ideal world. Based on collected data and established customer profiles, you send the customer a matching campaign by using a very consciously chosen channel. And this leads to a conversion. Unfortunately, it is rarely that simple. That is because the final step (the conversion) is always a tricky and uncertain one, as you never really know whether a customer will convert or not. This uncertainty means that every marketing manager needs to take extra care with making decisions regarding the available budget. After all, every euro can only be spent once, and you would prefer to spend it on a new, satisfied, and loyal customer.
A relevant message for each phase
Within this, automated marketing offers a solution because it allows you to deploy extremely targeted campaigns for each segment. Whether it concerns engagement, product push, brand push or promotion, every phase of the customer journey will be provided with the right message through using automated marketing. And the more focused and relevant the message, the higher the chance that you’ll have a conversion.
The benefits of a 360 degree view
There is often a lot of discussion about automated marketing, its purpose, and what it’s suitable for. And the following question also often arises: how does it pay for itself? To discover that, you need to know how effective a campaign is and how efficient every channel can be. Ideally, you would like to know this for every segment, and it would be even better if you could know it for every individual. Because that’s how you can get record sales from your customers. Many companies have this data somewhere at hand, but often this data is spread across several systems. The bottleneck: those systems do not communicate with each other, so you won’t have a clear 360 degree view of your marketing efforts. And that is exactly where the profits can be maximized.
Know what a new customer costs
A 360 degree view of your marketing activities will tell you exactly what a campaign has cost, where you’ve deployed it, how you’ve performed in every single channel, and what it has eventually generated. You’ll now know exactly what a customer costs. And with this information, a new world will open up for you. Based on that data, you’ll know what is required for success in future campaigns. You’ll know exactly where your budget will perform at its best: whether a product push will perform better on Twitter or Facebook. Whether a promotion to a specific segment will deliver the most via a newsletter or a WhatsApp message. That means that you’ll no longer be shooting blanks, but instead you’ll be aiming with high accuracy. And with bigger bullets! Focusing on KPIs and within the budget will become easier, choices concerning new campaigns are supported by facts, and for clients, the step towards a conversion will become much smaller. Companies in the travel industry always seem to persuade me into a conversion. They seem to be very well-organised concerning the 360 degree view. What about you?
Get to know SAP Marketing Cloud
What do you need for such a 360 degree view? Well, a tool that will clearly present all data on one platform; from the marketing budget to channel performance, messaging, and conversions. But also a marketing calendar where you’ll always have an insight into which campaigns are taking place on which channels, so that you can prevent cannibalization.
Want to learn more? Come to the Ctac Retail Event on Thursday 27 September in the Store of the Future in Amersfoort. Register now.