Marketing is a way to reach customers and make them aware of your product or service. This can convince them that your product is better than your competitors and leave them without a second thought when buying your product. Running a business without marketing does not mean functioning a company; it means that you are not running your business.
With changing business trends and the environment, traditional marketing techniques have been replaced by “digital marketing”. Digital marketing simply means marketing your product using the internet as a medium.
Digital marketing offers endless opportunities for a business to grow and reach a wider audience with relatively less effort and expense. But this is only possible when a business uses digital marketing to its full potential and in the right way.
As digital marketing is not a very recent phenomenon and new changes keep happening in this field, businesses need to think about marketing beyond social media and websites.
Marketing – in its conventional form – requires the use of data to ensure success. And that’s why renowned author and social media scientist Dan Zarella says, “Marketing without data is like driving with your eyes closed.
So here is everything you need to know about big data and its importance in the digital marketing process.
What is big data?
Data management and big data are at the heart of companies’ concerns, in particular customer data which, today, constitutes an essential marketing asset.
In the digital age, the data collected is unlimited and comes from multiple sources, but is most often scattered between the different information systems. Centralizing data is a challenge for many companies. To be manipulated, all this data is often centralized in data warehouses (large databases) or a data lake (data is kept in its original format, but all stored in one place). Many advanced technologies are devoted to storing and managing collected data.
Big data involves larger and more complex sets of data, especially from new data sources. These datasets are so large that traditional data processing software simply cannot handle them.
To facilitate understanding, here are the 4Vs of Big Data:
As the name suggests, the amount or volume of “big data” is enormous. It includes information regarding social media platforms, point-of-sale data, and e-commerce sites.
Big Data consists of several types of data. There are mainly three types: structured, unstructured and semi-structured.
The dictionary meaning of speed is speed, and when we talk about big data in digital marketing, it means the speed at which information is formed and stored.
Truthfulness means truthfulness. When it comes to big data, veracity refers to the quality, accuracy and credibility of big data. It depends on the data source.
Big data and digital marketing
This also applies to data in digital marketing. Here’s the thing – marketing is nothing without data. Decisions made on the basis of data are (often) better decisions. The importance of data in marketing can be explained as follows:
Hiring staff to enhance your digital marketing efforts across various platforms, spending a lot of time and energy on marketing efforts – all can be wasted if you don’t target the right audience. If this had been in the 20th century, finding the right audience would have been an extremely difficult task for a company. But in the 21st century, with technologies capable of disrupting the world, finding the right audience is not a difficult task.
Big data analytics helps find the right audience. Collecting information about customers’ navigation on applications and websites, their interests, needs and expectations, everything is possible with specialized software, the functionality of which can be reduced to a centralized view of your customers. Created on the basis of many innovative technologies, this type of solution has advantages:
First, you gather information about the whole audience to decide your target audience; then you collect information only about your target audience and work to improve their user experience. This can be seen as an extension of the previous point. This involves analyzing the information collected so that marketing efforts can be personalized for each customer.
This helps in two ways. One is to collect specific sales data to understand your customers’ buying pattern and then introduce marketing strategies such as discounts and sales offers accordingly. Second, if you manage to use big data in the best possible way, your sales will automatically increase.
This achieves two goals with one arrow, because the company’s goal of increasing sales is achieved, and customers are also happy to receive unique offers.
Big data and its analytics allow a business to understand what its customers think of their business or brand. Digital marketing involves posting frequently on various social media platforms. Collecting data on audience response and analyzing it can be very helpful. This way, a business will be able to learn more about customer engagement, loyalty, and how they feel about their brand.
Although various tools available on different social media platforms help in analyzing a business’s performance on social media, big data analysis gives a deeper insight into the customer’s expectations and therefore proves to be a good mechanism for feedback.
Where big data analytics helps to gather information to market a product or service, it will also help to gather information about the results that a particular marketing campaign has brought to a business. This allows a business to match the spend on its marketing efforts and the resulting results in like-for-like terms. Thus, big data can be used before, during and after a particular marketing campaign.
Measuring results in terms of hard data will help the business learn from mistakes, if any, and will also allow the business to show its success to the public and competitors.
Just as the role of digital marketing cannot be ignored in marketing, the role of big data cannot be ignored in digital marketing. It is as essential – and obvious – as salt is for food. With changing trends around the world and the Internet taking over, practices in the business world are also set to change. In the long term, only companies that adapt to changes in the business environment are successful. Thus, the importance of big data in digital marketing cannot be denied at any cost.
A better understanding of the concept and techniques of Big Data, and the right approach derived from that understanding, will help any business succeed.
This article was written by Mariia Lvovych, CEO and Founder of Olmawritings and GetReviewed.
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