What’s predictive marketing – Is it a trend of the big data future or just a latest industry buzzword? Predictive Marketing – To define in the simplest way – it is leveraging vast amount of data to predict which marketing actions have a high probability to succeed, and which ones will probably fail. Predictive marketing can also analyse the success or failure of your on-going campaigns or marketing actions like click through rates, engagements, sign ups or sales. The accuracy rates of these intelligent predictions can be as high as 99% – letting you optimize your actions to get the desired results.
Predictive marketing uses data science to collect best amount of information in order to scientifically guide marketers to take the best marketing action. It enables marketers to make intelligent and more accurate decisions to drive their business in the right direction. There’s no faster or more accurate way to prioritize your leads, tackle new markets, and cross-sell new products.
What all can happen in Predictive Marketing?
- Growing New Markets: Finding the most powerful indicators that describe most valuable customers in existing market along with identifying new market, which saves time on strategy analysis and creates growth path to market faster. This can be leveraged to enter new market spaces.
- Justifying your Marketing Investments by Enhancing Engagement: This allows marketers to narrow down their conversation to 1 to 1 conversation with prospects and leads – creating personalized campaigns like choosing custom message, creative marketing assets, and/or optimal products in order to engage better.
- Behaviour based Advertising by Cross-selling and upselling: This is matching prospects to the product that is most likely to be bought. Here, the Predictive Behavioural Targeting system is used that derives insights from user behaviour using surveys (concerning socio-demographics, product interests and lifestyle) or other third party data in real time. The secret is finding the ideal bio-persona for each product and then enriching each lead in database with thousands of data points to find those who resemble most to that persona.
- Finding New Prospects: This is the scenario where most marketers stumble – finding out and suggesting the products that people are most likely to buy. For this, a quantitative model is build up that describes buyers by weighing indicators such as size, technology, job titles that are prominent among the potential buyers.
- Predictive Lead-scoring through Demographics & Behaviours: Predicting the leads that are likely to buy by resting to demographic and behavioural attributes like the male/female preferences, and more.
- Market Segmentation: Predictive segmentation is picking up of leads, enriching it with additional data source from web and then parsing it into easily identifiable & discrete market segments that differ based on both needs and behaviour – More like Urban and Rural market segmentation.
- Modifying Contact Methods: Here, the models examine past behaviours and other related indicators to predict the most effective promotion channel (Email/SMS/Social Media/Call/others) and contact frequency for each individual.
- Optimizing Marketing Programs: Optimizing calls, mails email campaigns, etc. for a group of segmented targets in order to enhance direct response campaigns, UX/UI of campaign collateral – to maximize response, profit or lifetime value of the prospects.
- Marketing Measurement: Predicting immediate response to a marketing message, the long-term impact of customer behaviour, and incremental impact of multiple messages is Marketing Measurement. This lets marketers select the best message for each individual within a campaign, predicting the aggregate impact, and identifying the optimal mix of marketing programs.
Predictive marketing is a latest trend of the market which every company is adopting slowly. To adopt this trend marketer must identify his trajectory and instigate building a solid ground today for the marketing results tomorrow. This is the foundation of Predictive Marketing and therefore more accurate and desired results.
Alteryx as the best platform to embrace Predictive Marketing
Alteryx being the world leader in the Predictive Analytics arena, helps companies to easily:
- Scale predictive analytics, for every marketing need
- Blend data from multiple data sources
- Use drag and drop macros that replaces complicated coding
- Visualize analytic results to drive deeper insights and make better business decisions
Want to Leverage Predictive Marketing for better Targeting and more ROMI?
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