Analytics software will grow 3-4 times faster than traditional IT software. Forrester calls it "Business Technology”. Why? Because its function is directly tied to specific customer use cases such as Customer Acquisition, Customer Growth (e.g. up-sell/cross-sell, loyalty, wellness) and Customer Retention. As CMOs become more technology savvy, they will increasingly drive Analytics software growth and the related purchase process, not IT.
This shift in the way marketing vs. IT is driving software demand is creating significant opportunities for innovative Analytics software developers. While traditional IT solutions like CRM, eCRM, Campaign Management, and Order Management solutions are purchased as point solutions, each solution, more often than not, requires its own set of customer data and customer profiles to be effective. That creates a challenge for both Marketing and IT.
The focus is rapidly moving from basic math to smarter predictive and prescriptive analytics. A company’s ability to compete in marketing effectiveness is now driven by their ability to exploit a much deeper understanding of their customers’ individual behavior. The foundation for these smarter analytics are customer attributes. Attributes represent the actionable set of behaviors that customers perform. These attributes are direct indicators and drivers of business value. The richer a company’s customer attribute portfolio, the more relevant the company’s Customer Engagement program and the higher the impact on driving new revenues.
Here are three customer-driven Marketing Program types that connect rich customer attributes to increased business value:
Broadening the Customer Attribute Pool for 1:1 Advertising
Combining cookie and digital engagement data provides a more rich definition of customer in a persistent manner. Many companies have not combined their customer’s buying, online and clickstream data into a more holistic customer view. Advanced companies gain a much better overall view of their customers, increasing their engagement relevance. Companies are extending this thinking to their DMP’s where they now integrate both DMP data and their 1st party data to drive smarter target marketing to increase revnues.
Leveraging Customer Attributes to Drive Context-Based Customer Journey Marketing
Leading marketers are using customer attributes to recognize customer journey events that indicate intent. CMO’s want to progress from simple, batch oriented, multi-channel campaigns to campaigns that deliver against strategic goals such as acquisition, cross-sell, upsell and churn reduction at the individual level. The market is at the beginning of this trend. Linking very clear marketing levers to actionable, real-time customer events and experiences creates higher response rates and enterprise visibility.
Driving Smarter, Actionable Communication Across all Customer Touch-points with Deeper Attribute Insights
With 1:1 Advertising and Customer Journey Marketing, each interaction is smarter and has context. For example, instructions given to the DMP now include awareness of a person’s buying history, marketing sensitivity and disposition. Ads will now be displayed for items recently browsed at a website, but turned-off for items bought in-store.
Sound simple? Few companies are doing this well. IBM & Aginity deliver a solution, the Customer Insight Appliance (CIA), that integrates a dynamic library of customer attributes, integration with third-party analytics platforms e.g. SPSS and SAS and authoring tools. CIA also includes Marketing self-service tools that publish these analytics rapidly into marketing execution tools like Campaign Management, e-mail, Mobile and other channels. This rapid, iterative integration of customer attribute based analytics into marketing processes, reduces analytics cycle time from months or weeks to days or minutes. IBM & Aginity are changing the game in actionable customer communication and enabling clients generate business value by driving new revenues.
See what Aginity and Luxottica had to say at IBM IOD 2013:
Connect with Aginity at IBM Insight, booth #222!
Aginity will be at booth #222, IBM Insight conference, October 26-30 2014
To join Aginity & IBM during a client Panel Breakfast on Tuesday, October 28th from 7:00 to 8:30 PST at the Border Grill - Mandalay Bay Hotel send an e-mail to firstname.lastname@example.org.
See how their Analytic Management Platform is being used by brands like Bass Pro Shops, Luxottica (Ray Ban, Oakley, LensCrafters) and Rollins (Orkin), to power their Marketing Automation (ExperienceOne), BI (Cognos) and Statistical Modeling (SPSS).