5 Steps To RecessionProof Your Data Marketing Strategy
Gilbert Corrales is the Chief Executive Officer of Leaf , an integrated marketing solutions company based in Newcastle upon Tyne, England.
When markets around the world fall into recession, it's imperative to keep an eye on marketing budgets. When it comes to performance marketing, brands are in an ideal position trying to balance cash flow and supply chain issues with the need to generate revenue within the business.
Meanwhile, marketing teams must work harder than ever to stay connected with their customers as Apple improves iOS privacy settings, Google removes third-party cookies and Shopify, giving the US 30% Commerce Online while implementing new end-to-end solutions for clients. features that extend its reach beyond the browser, including server-side tracking restrictions by bypassing more targeted cookie consent flags.
TLDR: It's tough out there. The challenges we all face are frightening and complex. Of course, there is no simple solution to all of the above. However, I have outlined five tips to help your data marketing strategy thrive in 2023.
Accept that the days of big data are over.
Over the years, marketers have been able to leverage large amounts of data. A series of moves by regulators, legislators and big tech companies means we've reached peak marketing data and are on the other side. Losing third-party cookies will make the descent steeper and faster. It's not like we weren't warned. Google first announced the phase-out of third-party cookies in February 2020. The problem is, we're so used to a lot of data that it's hard to let go.
Fall in love with proprietary, third-party data.
Some marketing teams will throw up their hands and say they want the death of cookies to disappear. Others have been quick to implement solutions such as server-side tracking and cookie banners.
But server-side tracking, where a central system function sends data directly from store servers to marketing channels, often leads to data leakage. The problem is that a lot of people think of it as a long term solution when in reality it might just be a Band-Aid. Worse, some server-side traces might not even match. But while back-end data solutions have their place, your data strategy should use third-party data first and foremost—and most importantly.
Zero-side data, where customers voluntarily share personal data with businesses, will rise in value as other forms of data decline.
It is important to note that regulators are almost constantly striving for greater privacy. The risk for e-commerce brands and D2C is a constant cat-and-mouse game where solutions quickly become irrelevant. Any form of medium-term planning must anticipate the loss of access to property data. In short, you need a zero-side data strategy.
A good zero-side data strategy that allows potential/existing customers to voluntarily provide data about themselves as an integral part of the purchase journey should do three things:
• Offer customers something of value.
• Provides brands with valuable customer profile data.
• Develop a relationship between the client and the brand.
Think not only about offers , but also about purchases . It's a give and take game for brands and customers. The path to purchase may include discounts on email addresses and birthdays, but it may also include short surveys that allow brands to better understand customer profiles by providing better recommendations. purchase. An experience. Any opportunity for brands to get to know customers better is an aspiration worth pursuing.
Get creative!
Having so much data means that brands don't always have to think so carefully about online creative. All this must change. With less data to optimize ads and campaigns, brands need to work more on creative online ads.
Social media targeting is widespread and Google is ready to step in when this topic comes up. More effort needs to be put into creating creative concepts and web UX/UI using your own customer data to inform design.
Efficiency is key.
Given the marketing budget, agencies and internal teams must ensure that the campaign is as effective as possible and communicate this to those with a wallet.
Before you ask for or spend an extra budget, ask yourself if you've realized all the efficiency you can. Start investing in optimizing your campaigns (structure, creative or targeting) and increasing your web conversion rates. This can provide greater long-term marketing cost effectiveness and higher revenue growth than simply increasing search campaign spending. Perhaps more importantly, in the current economic climate, your finance team will thank you.
Learn and learn again.
Auditing is the key to efficiency. Control everything: tracking, analytics and historical data. We recently saw a 24 month promotion for one of our clients. We categorize promotion types along with ad spend, conversion rate, revenue, and profit to help determine the right mix of promotions for Q3 and Q4. Small differences in the discount rate or redemption mechanism of an offer can make a big difference on a large scale. This audit completely changed our approach to advertising strategy and helped us identify further performance improvements in the third quarter as we built on a strong quarter.
As brands recognize that they will have to make do with less customer data, there will come a time when many people decide to stop rearranging seats on the Titanic and jump in. For some brands, the answer lies in a combination of server solutions and deeper relationships with individual customers. In the long term, expect Instagram, Facebook, and Google to become local e-commerce platforms along with larger retailers. Conducting transactions on the platform means that they will own the customers and therefore their data.
It's time for brands to consider what this change means for them and what their D2C and/or eCommerce strategy will look like in 2023 and beyond.
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