Anyone familiar with the advantages of marketing automation will be truly inspired by predictive analytics. The data analyses on which predictive marketing is based are even more powerful thanks to a wider analysis base and allow even more accurate predictions for conversions in direct marketing. Until recently, the predictive analytics approach was still the preserve of global players such as Amazon. Small to medium-sized companies are now benefiting from these analyses too - with powerful, cloud-based analytical tools making it possible.
With the results of the new marketing technologies, Sales and Marketing can make predictions regarding marketing successes and sales opportunities in different target groups even more accurately and respond more efficiently to situations. This saves time, money and drives the conversion rate upwards.
Predictive marketing is more than lead scoring
Predictive analytics draws on additional sources from the Internet for the data analysis. While marketing automation solutions focus their data analysis on the channels linked in the system, predictive analysis tools offer the ability to process a larger volume of data than is currently the case even with lead scoring models in the context of marketing automation. Predictions made using marketing automation solutions are based on the analyses of user-based digital footprints: which links are clicked and how long does someone stay with certain offers? This data is used to create profiles. Sales sees how actively the individual users get to grips with what the company is offering and can therefore focus on active, promising contacts. This is extremely useful for how they address customers. Predictive marketing, however, goes one analytical step further.
The data from the tools is linked with external data to calculate sales opportunities. Has a company rented new premises? Is it currently taking on lots of new staff? How is the current business doing? Have new patents been registered? How is the credit history? This information sets the data from the company's own communications offerings in a wider market context. Building on this knowledge, new prospects and calculation options are created, especially in B2B marketing.
Examples of predictive marketing
Below are two scenarios illustrating how predictive analytics support the selling process:
Example 1: The company representative sees products in the online shop or in the product configurator on my website for a specific application. At the same time, the analysis tool in the company's online news registers announcements regarding the expansion of a business unit that is relevant to the product. Notifications are also posted on Xing regarding the company's job advertisements - and bingo! The predictive marketing tool triggers and alert and Sales can step up.
Example 2: A customer has acquired a machine. For the seller, it is obvious that a range of series will become interesting to the customer within a predictable time window. The marketing tool automatically manages the data and plans the appropriate time for relevant marketing activities even before the customer indicates any demand for them.
The effect: companies do business more efficiently. The improved management of the data history is therefore intended to predict future demand from previous and current transactions and to initiate corresponding marketing measures.
Predictive marketers have better chances ....
- of increasing the speed, scope and value of their leads from the start to the sale
- of optimising targeting and segmentation using A/B tests
- of reaching potential customers with regular, targeted cross-channel measures
- of driving market-ready strategies forward with marketing analyses
- of establishing data science teams that will drive the data-based business models forward
Make high-turnover predictions based on data
Competitive advantage 1: Companies leave a lot of signs on the Internet. Learn how to read these signs and serve your customers where the pressure points will be developing soon.
Competitive advantage 2: Use information gathered from the data analysis regarding customer needs to develop new products and services.
In our information graphic, you will find further information and arguments as to why the time has come to embrace the new era of predictive data analysis.
Advantages of predictive marketing
- You can increase the effectiveness of your marketing
- You can prioritise sales leads more effectively
- You can align production more closely with demand
- You can make more accurate sales predictions
Our service: W4 offers both: expertise on modern marketing approaches and resources for consultancy on and implementation of information technologies. We would be delighted to tell you about providers of predictive analytics and show you how you can use these strategically in your marketing and sales. Drop us a line!