Are you too busy getting the data right for today’s campaign to worry about next month or even next year? It’s understandable given the increasing pressure on marketers to improve ROI. However, strategic planning of data not only improves responses, but also makes future campaigns more likely to be profitable.
Data planning assumes a clean, integrated database if yours isn’t, then you need to put that right first. Don’t assume all the data is necessarily accurate; run tests to check. And don’t forget this is an on-going process as data decays. Once you’re satisfied with the cleanliness of your data, you can start planning.
Before you beg
Data used for marketing should contribute to strategic and tactical planning across the whole business.
Richard Lees, chairman of the Database Group, says, Start with your objectives and work back to the lowest element of data required to support your decisions. If the core data elements are missing, inaccurate or don’t address the company’s needs then the quality of business decisions is compromised.
Audit
Audit the data you already have in tandem with an understanding of the business plan. Find out what sectors your data covers, the level of contacts and the information you have. Only then can you:
- Work out the quantity and quality of responses you need
- Compare the information with the responses to be yielded by your data
- Consider what action to take to improve responses, whether by enhancing existing data or buying extra data to fill gaps.
If the business plan changes, so will your plan for data and you’ll need to re-audit for the new parameters.
Analyse
Analyse your database; there are a number of off-the-shelf software packages or you can use a specialist bureau. Analysis provides insights into your customers and market and can reveal:
- Which customers have bought the most
- Which customers are most likely to respond, buy and, most importantly, pay
- Which products are popular and why
- Which campaigns have generated the best returns and why
- Key trigger dates.
This builds up a single picture of your customers and their preferred channel of communication, which you can use when targeting prospects.
Capture
By whatever means the data is collected, make sure it’s done accurately and you only collect what you need. Consider:
- Staff working quickly can mean default information is captured and not facts
- Customers may not complete online forms accurately
- The growth of data available as more people order online do you need it all?
- Adherence to the privacy laws
- Data accepted too readily can drive data planning in totally the wrong direction. Remember that data will never be perfect so plan for a rolling programme.
Manage
- Get colleagues on board. Gain the co-operation of different departments and you can:
- Minimise wastage
- Reduce conflicting offers to customers
- Introduce the potential for piggybacking.
Result
Strategic data planning increases the value and accessibility of data resources across the business. Data planning can be used to:
- Help companies develop and strengthen customer relationships
- Identify new markets
- Maximise revenue
- Reposition the company or product
- Align sales and service efforts
- Reduce costs.
As Kim Barlow, head of data planning at Tidalwave, says, Used properly, data planning is one of the sharpest tools available for achieving longer term goals set out by the marketing department and executive board. All that’s required is the guts and vision to see beyond the quick buck.
