Marketing analytics is the practice of measuring, managing and analyzing marketing performance to maximize its effectiveness and optimise return on investment (ROI)
Companies are always investing in advertising, SM marketing and many more to reach their target audience and the market in general, but as Bob Napier says "You can't manage what you can't measure". Yes, companies need to invest in marketing, but if they're not measuring how effective their strategy is, there's no way they can manage it.
Netflix is the perfect example of targeted advertising through the use of big data analytics.
Source: Netflix.com
If you're a subscriber of Netflix, you'd notice that when they recommend a tv show or a movie, it's based of the data they've collected about you. They collect data by using your recently watched, your interests and past searches to get to know you better and this is how they continue to market to each individual.
This is the way Netflix keep us subscribed and coming back to watch more shows and movies, without us getting bored of their content.
So what are the requirements for successful analytics deployment?
- Support from top management
- A supportive analytics culture
- Appropriate data
- IT support
- Analytics skills
Overall, this data collection allows companies to target their consumers by reaching out to them and promoting the product and/or service that they might be interested in. Testing the effectiveness of each marketing strategy will also allow them to make improvements if it doesn't create the hype or the reaction they anticipated it to have.
What are your thoughts on marketing analytics? Which company do you love uses it and how do you feel about it?
@s3661099
Absolutely, I think this data collection isn't harmful at all, it's actually a very positive thing because it makes life easier for you when it suggests shows or movies to watch based off what you've watched and liked. So algorithms are definitely beneficial in that sense.
I think marketing analytics are really cool, sometimes its a bit intimidating that an algorithm can guess what you want to see but at the same time I think it's nothing to be taken personally, it's just a maths equation and your choices and preferences are plugged into it. I know the YouTube algorithms work quite well in delivering content that I would never have found otherwise.
- Alex Carey
@hluuu
Hey Helen, you're absolutely right, no wonder we spend hours on Youtube without realising, the content that's recommended is something we're interested in our we're currently watching. I love Youtube and you're definitely right about that, they've understood algorithm and have used It correctly.
Really enjoyable read, I feel like marketing analytics is everywhere and it actually benefits us, when were on Facebook, instagram, Netflix and YouTube they all layout specific content that they think we would be interested it and it is actually helpful. I wouldn't be subscribed to half the influencers if these apps didn't tailor their content on consumer analytics.
Hey Vanessa! Netflix was a good example! I also think Stan uses marketing analysis because Stan is offering to its users what they want to watch and when at reasonable prices. The company also recommends you similar shows/movies to what you have currently watching or finish. Just like Netflix. Great post and great example!