How B2B and B2C Data Silos Spoil Marketing Harvests

Silos can be great for agricultural storage, but they spell trouble when we’re talking about customer data trapped in company departmental and systems silos. As a data services provider in the age of multi-channel “big data,” AccuList USA certainly has client experiences that attest to the value of integrated marketing data and analysis, and the dangers of data silos.

Data Silos Undermine Big and Small Marketers

Research shows the magnitude of the problem. For example, a recent blog post by Veriday, a digital marketing company, noted that more than 80% of marketers say data silos within marketing obscure a seamless view of campaigns and customers. And that doesn’t even consider data trapped outside marketing in IT, sales, etc. In larger, older companies, many data silos result when outdated processes and separate information systems hamper linkages. Yet silos are not just a big-business issue given the average small business today is using 14.3 different systems, as the Veriday post points out. Yes, information can be transferred between silos via import/export or manual efforts, but this risks duplication, errors, delays, inconsistent hygiene and inaccurate updating. Marketers are likely to face poor immediate ROI and wasted future opportunities from an incomplete and inaccurate picture of customers, campaigns and channel results. Smart marketers will invest in solutions, such as third-party support, software for content management and marketing automation, and data warehousing.

Silos Prevent Personalized B2C Marketing Success

In business-to-consumer marketing, data silo risks are growing more acute, stresses a Forbes magazine article by Denise Persson, CMO at Snowflake, a data warehouse firm. She cites Accenture survey results showing that, while the promise of a deal or discount was the top driver of customer loyalty last year, in 2017, 58% of customers find marketing programs that are highly tailored to their needs much more enticing. As customers demand more personalized marketing, marketers can embrace targeted, contextual approaches using search terms, browser history, etc. But, Persson warns, if each marketing channel–website, social media, e-mail, online ads, direct mail–uses a different set of data to develop a different channel strategy, marketers will end up with a fragmented customer picture delivering a fragmented brand experience! Persson urges centralized storage and analysis to allow for a full line of sight into customer activity; real-time data access and analysis; channel attribution visibility; and tailored loyalty programs.

B2B Silos, Separated From B2C, Miss Audience

Another type of silo can impact business-to-business efforts: isolating business-to-business from business-to-consumer data. A blog post by Ajay Gupta, founder of Stirista, a digital marketing agency, points out the myopia of failing to link business and consumer data, especially now that digital media is blurring the line between professional and personal lives. Gupta gives the example of a company that wants to market a personal electronic device by targeting a proven business prospect list with only B2B e-mail addresses. If the company enhances the prospects’ B2B info with B2C data, it could expand its reach by sending out e-mails to B2C addresses, direct mail to home addresses, online display ads via digital cookies, plus targeted social media ads! Linking B2B and B2C data is a great tool for B2B onboarding, argues Gupta. Since data management platforms match B2C e-mails at a higher rate, linking B2B data to B2C e-mail addresses boosts reach. Creating custom audiences on social media can also benefit from a B2B link to B2C. Since most people use their personal e-mail addresses when they create social media accounts, connecting B2B data to personal e-mails will help reach far more B2B prospects on social media, too. Check out Gupta’s complete article.

Data & Content Are Keys to Profitable Audience Building

After long experience supporting publishers and media owners in circulation/audience growth, AccuList USA can affirm that, in the age of big data and exploding digital content, targeted data quality and database management are more essential than ever to profitable audience development.

It’s All in the Data

A recent Marketo blog post backs up that assertion with their advice. Demographics and firmographics are a key starting point, but now media owners also can mine transactional data, behavioral data, and psychographics/interests across channels, the post notes. Smart use of first-, second- and third-party data allows for tailored content, offers and channel targeting. As the Marketo article explains, “For example, you may know that a reader is a part of a cohort that is female, between 18-35 years old, with a household income between $64-96K….But what could you do–in terms of engagement–if you learn through her content consumption patterns that she’s interested in football, responds to sponsored content from travel brands, and mostly responds to content that’s shared on Facebook?”

And Data Management

Yet more data from multiple sources–web, print, mail, e-mail, social media–also presents challenges, and Marketo cites Folio’s recent survey of publishing leaders, which found 71% citing data management as a top priority for creating and monetizing media products. The solution is a single hub for audience data and automated cross-channel processing in real-time, the post advises. With a complete data profile of the audience, the focus can turn to delivering the right message at the right time to the right target. And we would add that an effective database will require strategies and support for data hygiene, database appending, analytics, and segmentation as well as automated triggering of messages across channels. Automation doesn’t apply only to digital messaging, by the way; marketers can capitalize on direct mail’s top response and brand engagement with automated mail triggering based on digital activity.

Commitment to Content

In publication/media marketing even more than other brand marketing, content counts. Faced with ever-growing digital content noise, media owners must work even harder to deliver content that interests and engages the target audience. To that end, a helpful Content Marketing Institute article by Neil Patel recently listed four common mistakes. No. 1 is offering content of more interest to the brand/publisher (and its advertisers/partners) than to the audience. Only audience-centric content builds audience. No. 2 is to focus only on selling in marketing messages, especially if poorly targeted. The long-term value of authenticity and relationship building suffers when the sales pitch is obvious and not personalized. No. 3 is an SEO addiction to the point of stuffing keyword phrases and irrelevant links into content, which can turn off and confuse readers and even earn search engine penalties. And No. 4 is an obsession with content quantity over quality. Simply delivering more content more often than competitors, especially if it is unwanted, sloppy and self-serving, is likely to turn off audiences. For good content marketing examples, go to Patel’s content marketing article.

What Data Questions Should Agency Agreements Address?

As a data broker and data services provider, AccuList USA knows first-hand that the era of “big data” has created both greater opportunities and greater complications for marketers in terms of access and use of data. In fact, Advertising Audit and Risk Management (AARM), a North American provider of independent advertising audit and consulting services, recently urged advertisers and marketers to review agency contracts to make sure they address evolving “big data” issues.

Unanswered Data Questions Leave Risky Gaps

Data can drive a precisely targeted marketing strategy by leveraging insights from transactional and customer behavioral data–assuming that the advertiser/marketer has the right to receive and use that data. Based on their experience, AARM cites at least six key, but often unanswered, data questions that advertisers should cover in contracts. Those questions include:

  • Who owns the data?
  • Where is the data stored?
  • For how long?
  • How secure is the data?
  • Is the data kept separate from that of other advertisers?
  • Is your data being used to aid other advertisers?
Everybody Wants to Claim Valuable Data

AARM points out that data ownership is not automatically ceded to an advertiser or marketer despite investment in a media buy generating a data stream. Many within the media chain may try to claim the generated data: Ad agencies, trading desks, publishers, demand-side platforms, and third-party ad servers all may seek unrestricted access, if not ownership, of valuable customer data. That’s why marketers and advertisers need to be sure that legal agreements clearly and consistently spell out data ownership rights, privacy considerations and third-party access rights.

Guarding First-, Second- and Third-Party Data

Ownership and access to third-party data–often sourced from agencies and ad tech providers–is usually clearly spelled out in licensing agreements between stakeholders. But AARM notes that advertisers also need to be careful that second-party data, meaning information gathered indirectly from users via an advertiser’s relationship with another entity (such as an SEO platform or behaviorally targeted digital display ad), is used or shared in a privacy-compliant manner.  Advertisers must guard their first-party data, too, AARM cautions. For example, there are data privacy and security risks for first-party data used in programmatic digital and addressable TV buys, where unregulated, unsupervised use could violate privacy rights.

For AARM’s article, “Big Data. Big Deal. You Bet,” see https://marketingmath.aarmusa.com/2016/12/05/big-data-big-deal-you-bet/

Positive 2017 Fundraising Trends Create Opportunities

While 2017 is starting as a year of uncertainty, especially in politics, a recent CauseVox post provides some good news for AccuList USA’s current and future nonprofit direct marketing clients. CauseVox staff writer Tina Jepson spotlights 10 fundraising trends that offer opportunities for greater success this year, and we’ll pass along a few here.

Increased Individual, Corporate & Recurring Giving

Donation forecasts are upbeat, Jepson shares: Philanthropy Outlook 2016 & 2017 predicts that an increase in individual and household income will help to boost fundraising efforts for nonprofits, charities, and NGOs by as much as 3.8% in 2017.  Plus, with Gross Domestic Product and business savings on the rise, total corporate giving is predicted to rise by 4.7% in 2017. And monthly giving, which accounts for 17% of online revenue, also will continue increasing per the 2016 M+R Benchmarks report. The trick with individual donors is to catch the wave with smart targeting, inspiring creative and campaigns to get existing donors to boost giving, says Jepson, while, for corporate giving, nonprofits would do well to maximize gift matching, to court business leaders and to keep tabs on company arrivals and growth locally. Plus, Jepson urges nonprofits to amp up their monthly giving strategy, making monthly giving the first option for donors on the website and a marketing priority in e-letters, direct mail and e-mail.

Donor Retention at a Record High

Donor retention rates are at the highest rate since 2008 at 45.9%, and nonprofits and charities clearly should make retention a marketing priority to capitalize on this powerful fundraising engine, Jepson notes. She suggests capitalizing on the trend with tactics such as personalization; prior gift recognition; leveraging donors’ preferred channels; donor education via videos, infographics or pamphlets; and donor activation with engagement opportunities such as volunteering or advocacy.

More Donor Data Than Ever Before

Digital interactions—websites, e-mail, social media and now the Internet of Things (IoT)—combine with traditional channels such as direct mail to generate a wealth of data about existing and potential donors. A key goal for 2017 is to gather, analyze and use actionable data effectively. Jepson lists a few ways to do so: Tracking analytics on your website and social media posts to learn the demographics and behavior of your paid, earned and owned media audience; using Facebook and Instagram Ads and Business Manager to target ads to donors likely to give; and turning around data learning to share with, and inspire, donors in real-time online via options such as a website ROI ticker that tracks return on investment (possibly in lives changed) per average donation.

Social Media & Mobile Marketing Challenges

In social and mobile marketing, nonprofits face challenges as well as opportunities. Social media platforms, including Facebook, now are promoting organic content that prioritizes the audience’s friends and family over nonprofit messages. Jepson points out that this means that effective social media marketing will need to rely more on purchased ads and targeting of key demographics, as well as creating viral content that inspires shares. Meanwhile, if your nonprofit hasn’t invested in mobile optimization of websites and e-mails, you’re missing a key donation source: Mobile giving makes up 17% of all online giving now and is projected to rise further in 2017.

For more trends and Jepson’s suggestions on maximizing their fundraising impact, see https://www.causevox.com/blog/fundraising-trends-2017/

 

Study: Brands Fail to Recognize Customers Across Channels

Just 9% of marketers say they can consistently recognize customers across media channels, according to the MediaPost report on a new white paper published by the Data & Marketing Association (DMA). The study, conducted by Winterberry Group, is based on interviews with marketers from about 120 organizations.

Marketing to Devices, Not People

Per the MediaPost story, the study did find that companies have improved how they provide the same brand experience across channels, with slightly more than 77% of participants claiming to coordinate the delivery of content across all the media channels extremely well, fairly well or to some extent. But since most companies are marketing to devices not people, the challenge has been recognizing the same customers as they cross devices, for example going from search to catalog, or from mobile to in-store. Companies do realize that there is a problem per the survey, with some 72% of those participating identifying audience recognition as a “moderate” or higher priority.

The Need for Data Management

And when asked what would help to advance their organization’s efforts to better recognize addressable audiences across marketing media, better aggregation and management of data, cited by nearly 48% of marketers, led the top five solutions. Better integration of existing marketing technology followed as a solution for 39.5%; better systems and processes to connect audience profiles was listed by 38.4%; more first party data was the choice of 33.7%; and higher quality first-party data was named by 26.7%. Given those statistics, it’s not surprising that AccuList USA has seen growing interest in its data services, including customer database development, hygiene and analytics.

For more statistics from the study and for a link to download a free white paper copy, go to the MediaPost article at http://www.mediapost.com/publications/article/289223/brands-cannot-recognize-their-omnichannel-customer.html