A data-driven marketing strategy will offer three times more opportunity to report a competitive advantage for brands over those without, according to a survey released by Turn and Forbes Insight.
The “Data Driven and Digitally Savvy: The Rise of the New Marketing Organisation” report, compiled after speaking to 300 executives, revealed that almost three quarters of marketers (74 per cent) said that they were able to achieve a competitive advantage in capturing customer engagement and loyalty, while less than a quarter (24 per cent) believed they were able to do the same with strategies led through limited data.
The report also discovered that marketers would be six times as likely to report a higher profit through the use of data-driven strategies, according to 45 per cent of those involved. They would also be three times more likely to increase their revenue as opposed to those not using data insight driven strategies.
Over half (55 per cent) of marketers using data insights claimed they saw an increase in revenue as opposed to a fifth (20 per cent) who said they were not conducting campaigns that were data driven.
Pierre Naggar, Turn's managing director for Europe, explained that the report highlighted the importance of data gathering ahead of implementing any marketing campaign.
“Marketers have been employing data in various forms for some time, but recent innovations mean marketers now have more in-depth data sets which match the customer’s exposure to a brand," Naggar continued before stating that companies needed to invest in data collection across their whole business, rather than within silos.
"By drawing on resources across the business, such as sales data, customer enquiries and indicators into customer loyalty, marketers can base their decisions, for marketing campaigns as well as to inform wider business decisions, on what their customers really want, rather than rely on guesswork," he concluded.
More than two thirds (67 per cent) of travel executives consulted revealed they had found a competitive advantage and higher customer loyalty while using data, while over half (55 per cent) of retail executives said the same, while only 33 per cent of energy executives agreed.