Using your marketing data strategically seems harder than ever these days. There is more data available than at any time before — about your customers, communications, industry, services and web traffic. Yet in today’s volatile markets, strategically choosing and using marketing data to adjust your marketing efforts has never been more essential to success, and survival.
The data explosion
IBM recently released a study of chief marketing officers worldwide that revealed 71% felt overwhelmed by the explosion of data. Close behind the volume of data, CMOs reported feeling unprepared to handle social media and the growth of channel and device choices. When the CMOs of large corporations report feeling unprepared, chances are SMBs and nonprofit organizations are facing an even greater challenge trying to use their data for fact-based decision-making and strategy refinement.
Turning data into action
Why measure? If you measure it– it will get better, if you’re measuring the right thing. The challenge is using the right data to inform communications, content and programs to drive action. Over the years, I’ve found that planning for data accuracy and consistency are as important as selecting the appropriate KPIs to measure. (Ensuring data accuracy and consistency can be as simple as making notes on exactly which source or data point you used, when and how each formula is calculated.)
Focus
Focus on your most meaningful marketing metrics and key performance indicators. Though these vary significantly by industry as well as by strategic priorities, you want to start at the beginning of the year by identifying key metrics for each marketing objective. Unfortunately, for many small businesses and organizations preparing financial reports substitutes for examining marketing and customer data. Your focus wants to be on clearly defined indicators of marketing success that advance your mission.
Keep it simple
With so much data available, it’s easy to get carried away. Most businesses can summarize their essential marketing data into a one-page dashboard or scorecard of KPIs, albeit with some effort. There are many fancy analytics and reporting services for this purpose, but Microsoft Excel still reigns supreme and can meet the needs of many mission-driven organizations.
Use it
With accurate and consistent data summarized by KPIs, your last challenge is setting aside the time to thoughtfully review what’s happening. On at least a quarterly schedule, if not monthly, you want to schedule some meaningful time to review your marketing data. What is it telling you? Should you be doing more of this or less of that? Is it time to shift course?
Make the commitment now to reflect on the why in your marketing data and what the implications are for the future — and your marketing results will get better.
Related resources
Occam’s Razor by Avinash Kaushik – Web Analytics Blog
[…] supporting the high level of complexity created by this shift is well documented. According to the 2011 IBM Global CMO study, From Stretched to Strengthened, CMOs face four converging factors central to the changing technology landscape: the explosion of […]