Tuesday, January 28, 2014

Modern Marketing Analytics

The options available to marketing organizations have changed dramatically over the past decade. Historically, marketers were able to reach their target markets using fairly static mediums including television, radio, display, etc. One of the major drawbacks to these mediums was the lack of clarity regarding measurements and success of marketing and advertising investments.

Services such as Nielsen and Arbitron were able to provide representative audience metrics. However, these services fell short in the area of audience engagement. The rise of the Internet gave marketers the ability to more precisely measure audience engagement given the interactive nature of the medium. Measures such as page views, impressions, visits, clicks, bounces, abandonments, etc. provide marketers with more precise measures of audience engagement.

The Internet and interactive marketing allow marketers a multitude of options for marketing investments. Successful marketing organizations are the ones who are able to accurately measure the return on their marketing spend and successfully coordinate spend across marketing channels. This has given rise to the need for marketing analytics solutions which support the ability to combine traditional data sources such as ERP and CRM, with data from the Web and relevant external data. The following highlights the environment for modern marketing analytics solutions.

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This in turn has placed demands on traditional business intelligence/analytics solutions to combine the traditional structured internal data sources with relatively unstructured data available from external sources in one solution. The solutions should not only provide insight into historical results, but also provide the means to predict future results. Furthermore, the solutions should be available on mobile devices (tablets and smart phones) in addition to traditional desktop/laptop configurations. The graphic provides an overview of modern marketing analytics solutions.

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By combining data from multiple sources, modern marketing analytics solutions can help marketing analysts understand the impact of their campaigns on customer touch points as well as the resultant impact on sales pipeline and actual revenue. The chart below is an example output from modern marketing solutions. The chart shows the impact from a marketing campaign launched in September using redesigned web pages as well as a focused twitter campaign. The web activities are sourced from Google Analytics, Twitter, Facebook and YouTube. The opportunity and revenue amounts are sourced from the organizational CRM, Salesforce.com.

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Marketing organizations have a number of options to reach their target audience. Modern marketing analytics solutions can help them in more precisely measuring the impact of their investments, not only on audience engagement, but actual sales pipeline and resultant revenue.