There’s no denying that data is the driving force behind many successful, competitive marketing campaigns in 2020.
Data-based marketing campaigns are fully-backed by data that outlines the steps for success, making them more efficient and more effective than other campaigns. However, creating a data marketing strategy is easier said than done.
Whether you’re combining internal and third-party data, applying predictive analysis to the data to create a strategy, or examining the campaign data after the fact— data marketing requires a keen eye.
With this in mind, it’s easy to understand why marketing professionals turn to a marketing analytics company to develop their strategies.
Before you partner with a marketing analytics company, it’s important to understand the basic services of these companies and learn the top tips for choosing a partner. We’re going to explore marketing analytics firms through the following points:
- Marketing Analytics Companies: An Overview
- Essential Services for a Marketing Analytics Company
- How do you choose between top marketing analytics companies?
To learn about partnering with a marketing analytics company, continue reading.
Marketing Analytics Companies: An Overview
What is marketing analytics?
Marketing analytics is the practice of measuring the performance of marketing efforts, analyzing those results, and using that information to inform future marketing campaigns.
This process involves backing your marketing efforts with data, to both measure success and discover areas for improvement. Marketing professionals who place analytics at the forefront of their efforts experience increased ROI by optimizing their efforts over time.
What role does a marketing analytics company play in data marketing?
Marketing analytics is a growing field, with more and more marketers turning to data to give their campaigns a competitive advantage. However, the practice is significantly less helpful (perhaps even detrimental) if done incorrectly— it’s like following a map to the wrong location. You’ll get somewhere, but it might not be where you need to go.
The value of marketing analytics doesn’t abate the fact that this intensive data analysis can be difficult for marketing professionals to complete independently. Choosing the most useful metrics, collecting the data, and interpreting actionable insights from that raw data is a challenge for even the most seasoned of marketing professionals.
This is where a marketing analytics company steps in. This team of experts will determine the exact areas where your marketing campaigns can improve with data, collect the needed metrics, and create a comprehensive data marketing strategy.
Let’s dive into the services a marketing analytics company should offer.
Essential Services for Any Marketing Analytics Company
One of the most popular applications of marketing analytics is to build out buyer personas and as a result, your ideal customer base. For example, consider the following business development scenarios:
- Launching a new product or service line. With data, you can build out a profile of the ideal customer for the new line of business.
- Building out an existing audience. Data reveals those that have responded positively to the product or service in the past.
With this information, you can build a marketing campaign tailored to reach the exact audience you’re seeking.
A marketing analytics company helps you develop your brand’s ideal buyer persona in the following manners:
- Discovering similarities across your customer base.
- Filling in gaps in your customer profile using third-party data.
- Building out lookalike audiences.
Whether demographic, employment, geographic, or lifestyle data, the firm should ensure that you have a full customer profile on which to build your next campaign.
Predictive Analytics and Modeling
Predictive analytics and modeling involves using data you currently have to predict future results ranging from customer response and purchase behavior to the overall success of your campaign.
Many marketing analytics companies will examine existing consumer data— paired with third-party market data— to build out models predicting which audiences will be most profitable going forward. Will a certain target consumer click on your ads? Will that customer purchase your product or service as a result?
Beyond building out audiences, they can also:
- Predict which types of campaigns will be most effective. For example, which platforms would be most successful?
- Predict the budget needed for success. Rather than setting a budget and realizing midway through that it’s insufficient, accurately model the exact amount you’ll need for success.
- Predict which key performance indicators will be most useful. For example, these companies can model which metrics will indicate success for your campaign.
Predictive analytics involves many moving parts, including historical data, market data, and statistical modeling. This is why many marketers will choose to work with data scientists to build out these unique marketing predictions.
To learn more about predictive analytics, check out this case study. In it, you’ll see how one continuing care retirement community used predictive modeling to reach its occupancy goals.
In addition to examining your data and creating profiles and models, some marketing analytics companies will work directly with your team to build and execute campaigns based on those insights.
Some examples of this include:
- IP Targeting Campaigns: IP targeting allows brands to deliver digital ads to the exact audience members they’re hoping to reach, via IP addresses and digital devices. A marketing analytics firm can identify the IP addresses corresponding to your campaign’s target criteria (ex: specific demographics) and formulate a strategy around that. Learn more through this guide to IP targeting.
- Social Media Campaigns: Hyper-targeted social media and digital advertisements allow brands to reach the exact audience they’re seeking. A marketing analytics firm can target social media advertisements by location, demographics, and even specific interests. Read more through this case study.
- Targeted Direct Mailing Campaigns: Basing direct mailing campaigns on data allows for increased success and decreased waste— just check out this case study to see how. A marketing analytics company can build lists of prospect addresses based on location or other identifying characteristics, ensuring that current customers and duplicates are removed from consideration. Marketing analytics companies can also be very helpful in determining which households will be more likely to respond to your direct mail offer.
- Email Marketing Campaigns: With access to high-quality, opt-in email lists, you can create high-performing email campaigns. These campaigns allow you to reach the exact prospects and loyal customers you’re targeting. Not only can a marketing analytics company provide access to email lists, but it can also build and execute your email strategy. Check out this case study to see data-driven email marketing in action.
Beyond carrying out these campaigns, the marketing analytics company should also track the effectiveness of the effort and note opportunities for improvement with future campaigns. Whether you’re analyzing the click-through rate on an IP targeting campaign or the open rate for an email campaign, the work doesn’t end after the campaign does.
While marketing analytics firms specialize in data analysis, that doesn’t mean that analysis and application are the only services offered. Some firms also offer additional services, whether it’s providing brands with the resources to complete analysis independently or venturing in the more creative realm of marketing.
These additional solutions include:
- Database solutions. It’s difficult to build a data marketing strategy if you’re working with flawed, inaccurate data. Some firms will offer data hygiene services, including deduplication, reformatting, the discovery of intersections, and more.
- Customer data enhancement. This could be an independent service or paired with any of the marketing analytics services listed above. For those with a strong understanding of building a data marketing campaign but lacking the data to inform the strategy, an analytics firm can fill in those gaps with verified third-party data.
- Creative marketing services. Brands needing more comprehensive assistance may choose to work with a firm that offers concept-to-creation data marketing services. In addition to analytics, some firms will offer creative direction and other services, essentially acting as a full-service marketing agency.
These services, while not necessarily classified as marketing analytics, make data-based marketing easier and more effective. This is because firms that offer these services in addition to regular marketing analytics are able to tailor their solutions to meet the brand (or agency) client’s exact needs.
How do you choose between top marketing analytics companies?
Data analytics is rising in popularity with marketing professionals, bringing a wave of marketing analytics companies eager to provide services. How do you choose which company to work with?
Well, let’s discuss the importance of choosing the right partner for your brand or agency’s needs.
First and foremost, it’s crucial to choose a reputable analytics company. If you’re going to be basing your entire marketing strategy on the data and analysis the firm provides, you need to be assured that this analysis is accurate. Beyond that, some businesses may need a full suite of marketing services, while others may just need a supplement to their current in-house efforts. It’s essential that the firm you choose offers the services you need— no less, no more.
There are a few steps you should take when choosing a marketing analytics partner:
- Inquire about their services and style. As a baseline, check to make sure the firm offers the services you require. Beyond that, consider how the services are offered— are they a-la-carte offerings or only via pre-outlined packages? Are they collaborative or fairly hands-off, with a final product delivered at the end of the campaign?
- Peruse the company’s portfolio. Have they worked with companies like yours in the past? Do they have examples of successful past campaigns that are similar to the effort you want to complete with them?
- Ask for client testimonials. Can they provide you with testimonials from past clients? What are the characteristics that past clients noted in these testimonials, and do they align with what you’re looking for?
- Explore the company’s values. Data marketing can present interesting ethical challenges, and it’s important that the analytics company you work with aligns with your business ethically. Pay attention to statements surrounding the collection of data, the handling of Do Not Mail/Do Not Call classifications, and the suppression of other unhelpful data points (ex: deceased suppression, minor suppression).
These steps ensure that you’re choosing the right firm for your business. Continue reading for our top recommendation.
Our Recommended Marketing Analytics Company: AccuData Integrated Marketing
AccuData Integrated Marketing is a full-service marketing analytics company with a wide range of services to fit your needs. We have 30+ years of experience in targeted marketing solutions, beginning our journey with mailing lists and expanding to a host of integrated marketing services.
We’ve worked with marketing resellers, marketing agencies, brands, and nonprofits alike, offering a variety of data-driven services such as:
- Targeted data solutions, including customer data enhancement, data hygiene and processing, and Data on Demand.
- Prospect acquisition and loyalty email services, including prospect email marketing and loyalty email campaigns.
- Data analytics and insight services, including customer profiling and predictive analytics and modeling.
- Digital marketing services, including targeted social media advertising, creative direction, and campaign optimization.
- Custom database solutions, including database development, management, and hosting.
For an in-depth look at AccuData’s work, visit our Knowledge Hub. In it, find case studies and use cases for our services. Then, contact us today to begin planning your next data-based marketing effort.
Many brands and marketing agencies are turning to data-driven marketing to give them a competitive edge. However, tying your marketing campaigns to data can be a challenging task!
Partnering with a marketing analytics company can drastically improve your efforts, adding efficiency and accuracy to your campaigns.
To learn more about marketing analytics and choosing a partner for your business, explore the following additional resources:
- Data Hygiene: An Introduction to Processing Your Data. Before you can use data to improve your marketing efforts, you must first have a clean, organized database. Explore this guide to data hygiene to bring your database up to par.
- Data Marketing: 4 Elements of a Successful Strategy. Data marketing is one essential service of a marketing analytics company. Check out this guide to data marketing to learn more about creating a strong strategy.
- IP Targeting: Understanding This Essential Marketing Tool. IP Targeting is another service your marketing analytics partner may offer. Explore IP targeting in depth through this guide.