Getting to know you… why metrics matter
In times of economic uncertainty, customer behaviour can be fickle to say the least and is more price led than brand loyal, which can hugely impact marketers’ priorities.
There’s also a third category that is gaining ground, dubbed the ‘Eco Economic’, where customers are choosing products based on their environmental impact.
So are your customers ‘Budgeteers’, defined as those who are living with a strict budget and focused on value rather than any other criteria, or the forementioned ‘Eco Economics’, as identified in the top ten global trends of customer behaviour.
If you are lucky, your customer-base will be part of that dwindling band of brand loyalists.
The first thing to determine is who your customer is and how that may have changed in the current economic climate. That’s where customer data and insight come in.
First party data is the secret to success
Independent research commissioned by LiveRamp and Censuswide reveals marketers are prioritising first party data to deliver customer insight.
First party data is pivotal to any new marketing strategy. This is insight which can be mined from elements you own, such as a customer’s buying history, social media profiles, website registrations, or whatever makes customers engage with your business.
With growing concerns over data protection and the effectiveness of 3rd party cookies, most marketers are relying on first party data to develop marketing plans.
Create a single view of your customer
Which company hasn’t at some point created customer personas? This concept is now seeing something of a revival.
The difference in the 2023 version is the depth of data that creates a single view.
Some of the numbers are astonishing, for example, just look at Kraft Heinz where the ‘Kraft-O-Matic’ model used 32 billion consumer records, using first-party data as well as 3rd party collaborations, to double its consumer insight in less than two years.
Boots and Tripadvisor also know one thing: To deliver first-rate customer experiences, you must start with customer data.
Whilst the numbers in most small businesses will be substantially lower, focusing on first party data should deliver valuable customer insight.
But what is the ultimate aim? The answer is personalisation. The better your customer insight, the more you can personalise your marketing strategy to retain existing customers who are being wooed by competitors.
More importantly, this insight can help your business to grow.
Gartner, which surveyed nearly 400 marketing leaders, found that marketing leaders who act decisively on first-party data achieve the strongest results. Over half of the respondents in the survey who strongly prioritise using data driven marketing exceeded their customer retention expectations.
Further reading:
Summer of Data Partnerships: How Data Collaborations are Helping Marketers LiveRamphn Lewis remains in the top spot and has engaged with customers not only through the adverts themselves but with over four million YouTube hits for ‘The Beginner’ campaign last year.
Being seen and heard
The third pillar is the ‘Channel connection’ which is choosing the right platforms to tell your stories. Nearly three-quarters (72%) of those surveyed said this is getting harder than ever thanks to the plethora of ways consumers, well consume, their information.
The biggest barrier to getting your brand story heard, seen, or read, is budget in what the report dubs the fragmented media landscape. Around 40% of those surveyed had experienced a reduction in marketing budget.
One big winner is Connected TV (CTV) with over 70% saying they are increasing budgets on advertising on such systems. These are basically TV’s that are smart, connected to game consoles, mobiles, and other devices, where brands can follow customers and serve their story as customers use their connected TV.
The final chapter
The report’s last chapter is ‘Commerce ever after’, which is a little like saying the proof will be in the pudding.
Most will judge the success of their brand storytelling on retaining and keeping customers, while 82% say attracting new customers will be their most important measure of success.
And with nearly 8 in 10 marketeers planning to prioritise brand storytelling in the coming year, it sounds like a ‘never-ending’ story for brands and marketeers.
Further reading:
The Story of Brand Storytelling The Drum
John Lewis drops the special effects for purpose-fuelled festive ad Marketing Week
What is connected TV (CTV)? Adjust
