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Marketing Analytic Basics and How They Can be Beneficial

finn pierson
Marketing Analytic Basics and How They Can be Beneficial


When it comes to the basics of marketing analytics the main steps are quite simple. Understanding the audience that is being targeted and what type of data has the company used to bring them to the conclusion that this is the right audience, is a good start. And marketing analytics can help the company do just that. It can also significantly help the business owner identify, its competitors and how they are investing.


And let's not forget about the marketing campaign, is it performing well? Marketing analytics monitors trends that are occurring as we speak and trends that are predicted to happen. Marketing analytics is an exceptional tool to help stakeholders make the right choices.


Prior to performing marketing inquiries the business owner should consider, what is important to him/her. Knowing the answer to what he/she wishes to get out of the situation is vital. Once this has been decided, a data model can now be designed. What type of data is needed? How will the data be calculated etc.?


Afterwards, the business owner will want to retrieve the information. The results may or may not be favorable when it comes to what the business owner wants. If they are not, more data can be recovered and examined, perhaps this time the results will be more favorable.


Using Analytics to Calculate Costs & Conversions


How important is it to calculate the costs of the advertising that will be needed to promote a product or service? This is a question that has to be answered in the early stages of marketing. Are these costs within the company's budget? If they are not, are their alternatives? The Steps of Marketing Analytics. Most professionals would suggest that a spreadsheet be created.


The spreadsheet will show all of the different types of advertising, along with their prices. How is marketing data used? Below shows how a spreadsheet comparison can be setup.


* Daily costs of facebook

* Facebook conversion

* Total amount spent

* Total amount spent on conversion


These same amounts can be applied to Linkedin and other sites. Decide which sites will be the most beneficial to advertise on and which sites will be the least. To do this, the business owner will simply calculate the daily costs of advertising, and compare it to the amount of conversions that were made. Then look at each site and decide which site performed the most conversions from the costs spent.


The stakeholders or business owners may notice that the more money that is spent on advertising, on the particular site, the more conversions are accumulated. This can be a good thing, but can the company afford it? Creating a spreadsheet may sound tedious, but in most cases it's extremely worth it.


If it is noticed that a certain forum that is being used to advertise the service has a low conversion rate, then it may be sensible to reduce the amount of money on this particular forum. Utilizing predictive analytics helps companies to gain historical information of customer usage that is already in the system. This can be a remarkable time saver. For example, if the stakeholder asks, How many times a year will my customer most likely want to purchase my product? Predictive data will present a real answer to the stakeholder, which can be quite useful.


Data Collecting and Why it's Important


Gathering data is important, when it comes to analyzing the information. Collecting data and studying it can help stakeholders decide on what avenues to take. What is data aggregation? Great insight is given to companies when they utilize collected information, because the information is factual. It is actually tracking the behavior of shoppers, which gives them a huge package of information to make sound business choices.


There are two types of aggregation, time aggregation and spatial aggregation. Time aggregation is the collection of data within one resource over a certain period of time. Spatial aggregation is collected information within a groups, also over a particular time. The company will work with marketing professionals to come up with a realistic marketing plan after analyzing this data. Depending on what type of specific information the stakeholders are looking for, will determine the type of aggregation that will be used.


finn pierson
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