Data-Driven Marketing | How to Use Data-Driven Marketing Process?

Data-Driven Marketing | How to Use Data-Driven Marketing Process?
How to do Data-Driven Marketing?

Today, data is said to be the new currency. Big businesses believe data is what fuels monetary stability. That's why many companies give more preference and energy to collecting the data, even if that makes them stay at a loss for a short period. Likewise, collecting data has become more of a tradition than a process. Because it is almost everywhere to be found. especially in the marketing of businesses.

Now, this strikes the question, what exactly is data-driven marketing?

Regardless of coming under the limelight only in the past few decades, data-driven marketing has become an integral part of the functioning of the world. It has refined marketing, making it more cost-optimized, which further proves that the power of data is undeniably crucial.

As the name suggests, "data-driven" marketing uses data to promote growth and make the right use of resources. Here, it focuses on using the collected data to improve campaign performance. In simpler words, it means justifying every penny spent on marketing by spending marketing expenditure in such a way that it only focuses on the areas that bring in growth.

How did Data-Driven Marketing start?
Why is Data-Driven Marketing better than the traditional methods of marketing?
Hurdles with the Data-Driven Marketing Process
How to do Data-Driven Marketing?

What is Data-Driven Marketing?

How did Data-Driven Marketing start?

Data-driven marketing was used in the olden times, even before the existence of computers and the internet. Amusing, right? The only different thing was the form of the data and the means of collecting those data.

People collected data by going door to door, enquiring about the product while tallying and ticking marks. With the help of the internet, the same goal is fulfilled. The same thing is done, but in a way that is hassle-free and does not require going door to door. It has always been a primitive custom; we upgraded it as we upgraded ourselves.

The present methodology of the entire process attains the same goal, but the customers are filtered as, only specific customers are targeted according to their line of interest filtering out unwanted, irrelevant audiences, unlike the older times.

Why is Data-Driven Marketing better than the traditional methods of marketing?

This type of focus marketing was first initiated in the early 1970s and 80s. The power of collecting data for carrying out marketing procedures for a specific product was newly introduced, and people were amused by how powerful the right database is, for a fruitful and efficient personalized marketing strategy. Ever since then, customer communication has become easier with each passing decade.

โ€œValid customer data holds the balance sheets of the companyโ€. When we talk about efficient marketing strategy, personalized engagement comes into the picture; this leads to the promotion of the company brand, which is done directly to the correct crowd; this hinders from wastage of funds and increases the return on investment (ROI).

It eradicates the unsure thoughts and guesswork from the process. One can get a clear idea of customer demographics, choices, and ideas in the customer's head. Following this pathway, correct and refined customer segments can be captured and targeted.

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Hurdles with the Data-Driven Marketing Process

Along with the heap of benefits, the process also comes with many challenging situations at each step of the process. Check out some obstacles that might come your way if you opt for a data-driven marketing process:

Collection of the right data

It is highly risky to depend on a single or few sources of data alone. Verification of each piece of data from multiple media is necessary to prove the authenticity of the piece and validate it. One needs the expertise and experience to filter out the most relevant data. Without this as a basis, the chances of making cognitive errors and wasting resources increase exponentially. This is the most important part of the process.

Reaching the right target

Having very elaborate data of interest can do more harm than good to the process. The advertisement tends to pop up mostly on the screens of dummy customers, meaning people who have no desire for the description of your data and will just scroll past it. Hence, decreasing your click-through rate (CTR). Overall, this decreases the efficiency of your procedure and lowers the return on investment(ROI).

Ready, steady, action!

There is an urge for an emergency while implementing this step: taking the ultimate step and giving the process meaning. It is very important to hit the iron while it's hot. The quick-changing temptations of the customer influence data-driven marketers. It becomes very essential to keep track of customer preferences and take action immediately and effectively before the data becomes obsolete.

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How to do Data-Driven Marketing?

If you are thinking of revamping your marketing process and making it data-driven, then here are some basic things you need to focus on:

Collection of data

Collecting data from available sources is a difficult but necessary phase in the process. It provides a location for monitoring good decision-making and successful execution in a variety of advertising tools and industries. The internet, the cloud, and a variety of other platforms store a significant amount of data that consumers provide while using the internet.

Analysis of data

Before implementing any type of tool, data-driven marketers have to derive what type of interest they are looking for. This is done through the set of data gathered, refined, modeled, and framed as per the requirement to obtain the right audience set and maximum funds utilization.

Showing it to the targeted audience

When data-driven marketers are sure of the demands of the customers, they will be targeting their desired audience in such a way that it connects with their motives and reflects their attention in a manner that fulfills the goal. This way, by following the proper process, you will get amazing results all thanks to data-driven marketing.


To further conclude, the marketing processes that are empowered by data promise to solve bigger problems making the job cost-effective and cutting down the wastage of time and energy. There's the data liberation that exists, which opens up a plethora of possibilities. Also, because of the abundance of data available, every entity now has a deeper understanding of its audience's consumers than ever before. So, data-driven marketing is certainly the future of marketing, at least as is predicted now!


What is Data-Driven Marketing?

Data-Driven Marketing is the process of marketing your brand based on customer information. Customer data is used to predict their needs, desires, and future behaviours, and marketing is done accordingly.

Is Data-Driven Marketing better than the traditional methods of marketing?

Yes, Data-Driven Marketing is a more efficient personalized marketing strategy.

Why is Data-Driven Marketing important?

Data allows marketers to market their brand to target and capture the correct and refined customer segments.

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