Your business’s digital marketing decisions need to be backed by data. Otherwise, without objective analytics, your business risks throwing your time and marketing budget into strategies that don’t give you the desired results.
What is Marketing Analytics and Why is it Important?
Marketing analytics measure the performance of marketing efforts from multiple data sources. By studying the data gathered, businesses can find patterns between customer behaviors and conversion rates. The goal of marketing analytics is to use these findings to optimize future marketing strategies. As a result, businesses have data that improves marketing decision-making and helps them achieve a higher ROI.
Digital marketing analytics are crucial for assessing your progress and fine-tuning your approach for the best possible end results. By using analytic tools and techniques, your business can see which content performs well, where you’re reaching your target audience, which marketing channels have the best engagement, and the journey your target audience is taking before converting into paying customers. What else can marketing analytics do for your business?
Understand Your Target Customers
Every successful marketing strategy relies on the strong understanding of your target audience. Customer analytics are like cheat codes your business can use to better connect with your target consumer. These analytics closely examine customer information and customer behavior to uncover the characteristics that make your business’s most profitable customer.
Customer analytics create a single, accurate window into the best practices businesses can use to acquire and retain high-value customers. The better understanding businesses have of their ideal customer’s buying habits and lifestyle, the more specialized the customer experience can become. Successful businesses know the personalized messaging, ads, and content that resonate the most with their customers. Put simply, insightful customer analytics lead to more effective marketing campaigns and stronger results.
Find Areas That Need Growth
If you don’t know what’s broken, then you can’t fix it. Marketing analytics plainly show you where your business is performing well and which areas need improvement. For example, if your nurture emails are not driving engagement and leading customers down the sales funnel, then marketing analytics can help you pinpoint where the problem lies and why.
Metrics like open-rates, click-through rates, and conversion rates help businesses understand how engaged current email subscribers are. These metrics provide quantifiable answers to questions like: Why didn’t certain subscribers click the link with the special offer? Was the written call-to-action effective or not? Did my subject line follow best practices? Was the digital banner eye-catching enough for subscribers to pause and read it?
Discover New Opportunities
Sustained growth and profitability is never guaranteed. Businesses cannot remain static in their marketing approaches and expect exponential growth. There are always optimizations to be had and changes to be made. Data is central in providing fresh perspective and new approaches. It helps businesses find new, profitable angles to explore and experiment with.
Data unlocks discovery—your business can discover trends and patterns it has previously overlooked. For example, through a complementary product analysis, a business may find its customers typically purchase one product with another. As a result, the business may create an exclusive members-only bundle that leads to an increase of member sign-ups.
Fine-Tune Marketing Campaigns
With marketing analytics, your business doesn’t have to wait to see how your marketing campaign is doing until after it’s over. Analytics can help your business identify and solve problems in the midst of a campaign to improve your performance and maximize your results. Essentially, it takes the guesswork out of trying to figure out exactly where you are going wrong. Instead, the data shows you, and your business can take immediate action.
For example, a business may find its email marketing campaign to increase website visitors isn’t converting. Why aren’t people clicking the link to their website? Is their call-to-action ineffective? Is their digital banner unattractive? So they turn to the data to pinpoint the problem, and their analytic tools reveal that their email open rates are low.
Knowing this, the business now has several options to fine-tune their campaign. They may further segment their email list or personalize the email’s subject line to increase the email’s relevancy to the customer and, therefore, increase their chances of opening the email.
Leverage the Power of Marketing Analytics
Regardless of your business’s size, marketing analytics provide invaluable data that can help drive growth. Most likely, you know the wealth of benefits marketing analytics has to offer. However, like many businesses, you may feel overwhelmed by the prospect of analyzing massive amounts of data. Sun Sign Designs has the solution to make marketing analytics far less daunting.
Marketing analytics software automatically collects, organizes, and correlates relevant data to unlock the constructive insights needed to improve your marketing performance. These analytic tools can report on the past, analyze the present, and predict the future. As a result, your business can understand and optimize every phase of a campaign lifecycle.
Interested in how marketing analytics software can improve your digital marketing strategy? Contact Sun Sign Designs today.