Data-Driven Marketing Trends

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1 Data-Driven Marketing Trends How and why data quality will optimize the effectiveness of your data-driven marketing strategy. Informatica in Partnership with Dun & Bradstreet and Ascend2

2 Data-Driven Marketing Trends How and why data quality will optimize the effectiveness of your data-driven marketing strategy. Table of Contents Introduction 3 Differentiating Data Quality for this Report 4 Key Objectives for Data-Driven Marketing 5 Success Rate Using Good Quality Data 6 Most Challenging Obstacles to Success 7 Most Important Versus Most Challenging 8 Resources Used to Improve Data Quality 9 Optimal Frequency of Data Cleansing 10 Sources of Data Used for Marketing Purposes 11 Most Useful Contact Data Fields Collected 12 Data-Driven Marketing Budgets are Changing 13 Survey Methodology and Demographics 14 Further Reading 15 Research Partners 16 This work is licensed under the Creative Commons Attribution-NonCommercial 3.0 Unported License. You may adapt, copy, distribute and transmit this work. However, you must attribute the work as produced by Ascend2 and its Research Partners but not in any way that suggests that they endorse you or your use of the work. Informatica in Partnership with Dun & Bradstreet and Ascend2 2

3 Introduction Data-Driven Marketing Trends Data quality is the foundation of data-driven marketing success. Marketers rely on quality data to ensure a positive customer experience and to achieve many other important marketing objectives. How are marketers overcoming the most challenging obstacle to data-driven marketing success? To find out, Informatica, in partnership with Dun & Bradstreet, engaged Ascend2 to field the Data-Driven Marketing Trends Survey. The Ascend2 team completed interviews with 234 business, marketing and sales professionals. When asked about the quality of their marketing data, 158 classified their data quality as good; they are exclusively represented in this report. We thank these busy professionals for sharing their valuable insights. This research has been provided for your use and may be used in your own marketing strategy planning and presentation materials. Feel free to use the charts in your blog articles or post them on social media. This research is yours to share with credits as published, please. We hope you find the report useful and thought-provoking. Informatica in Partnership with Dun & Bradstreet and Ascend2 3

4 Differentiating Data Quality for this Report The research insights that follow reveal how and why the upper echelon of datadriven marketers focus on data quality. 16% of companies characterize the data they use for marketing purposes as very good and another 57% as somewhat good. These companies understand that the quality of data used for marketing purposes is directly related to the results they achieve and return on investment they receive from their data-driven marketing programs. The charts provided throughout this report represent the strategies and practices of companies with high data quality standards. Data-Driven Marketing Trends Survey, N=234 (total applies to this chart only) 4

5 Key Objectives for Data-Driven Marketing Quality data is essential to personalizing the customer experience and achieving other important marketing objectives. A key objective of a data-driven marketing strategy is personalization. Customers are savvier than ever and they have high expectations for relevant and informative content. When you validate and enrich customer contact data at the point of acquisition, you re able to segment and market to your customers in a much smarter way. Segmentation enables you to target your messaging and initiate meaningful and relevant engagement along the customer journey. 5

6 Most Challenging Obstacles to Success Improving data quality and integrating data across platforms are the top obstacles to data-driven marketing success. Data is acquired from a vast array of sources and used for marketing purposes across multiple channels. This presents two key issues for marketers: 1. Validating and enriching the quality of the data. 2. Unifying the data across sources for cross-channel optimization. Once data is acquired, validated, and enriched, you will want to integrate this trusted data throughout the customer journey. APIs streamline the implementation of data quality services within website landing pages, marketing automation systems, CRM systems and much more. Marketers can get started quickly and have confidence in their data across all the systems they use. 6

7 Most Important Versus Most Challenging Personalizing the customer journey is the most important objective but improving data quality is the most challenging. How well a company is able to personalize the customer journey is directly related to the quality of its marketing data. Real-time contact data validation has become an essential practice for improving data quality. Data enrichment capabilities enable proper segmentation of your customers, allowing you to be more relevant with every engagement along their journey. When marketers are able to use valid and enriched data, their ability to provide a great customer experience dramatically improves. 7

8 Resources Used to Improve Data Quality 80% of the upper echelon of data-driven marketers outsource all or part of their data quality improvement initiatives. Continuously improving the quality of data used for marketing purposes is the most important objective of a data-driven marketing strategy. How is this objective being accomplished? Marketers increasingly rely upon external sources to ensure they have the best possible practices yielding the highest quality data. Informatica and Dun & Bradstreet, for example, work together to provide organizations with market-leading data validation and B2B enrichment services. With a data landscape that is complex and everchanging, the most successful marketers rely on external information sources to help them achieve their goals. 8

9 Optimal Frequency of Data Cleansing There is a direct correlation between the quality of contact data and the frequency of data cleansing and validation processes. Whether accomplished in-house or in partnership with an outside resource, how often data is cleansed and validated is critically important and directly impacts the quality and currency of data. 39% of companies with high data quality standards cleanse their marketing data on a frequent basis (in real-time, daily, or weekly) in an effort to optimize quality. Nearly 1 out of 5 best-in-class companies (19%) use real-time data validation to maintain the highest data quality standards. 9

10 Sources of Data Used for Marketing Purposes The variety of marketing data sources greatly impacts quality, creating challenges for marketers. The vast majority of companies (88%) collect their own data. Interestingly, half (50%) of companies with high data quality standards also use data collected by trusted marketing partners. The use of organic channels is prevalent for acquiring data and includes both online and offline efforts - such as Web forms, ecommerce shopping carts, call centers, and in-store point-of-sale systems. Though invaluable sources of information, these varied channels will create data validity issues that are best mitigated by the use of real-time referential data to provide data validation as well as data enrichment. 10

11 Most Useful Contact Data Fields Collected It is common knowledge that the higher the number of contact fields required in an online form, the lower the response rates. But which fields are most useful? In addition to an address, the majority of marketers want to know the name and role of the person responding. This information is important for marketers who want to personalize a message and create a great customer experience. But that experience will never occur if the address collected is invalid. Invalid or malicious addresses can have a dramatic impact on your customer contact data and can impact your company s reputation if your company is blacklisted. 11

12 Data-Driven Marketing Budgets are Changing 72% of companies with high data quality standards are increasing their budget for data-driven marketing. In this age of engagement and personalization, meaningful interaction throughout the customer journey requires relevant and timely communication and requires a shift in investment toward datadriven marketing. Consequently, more than a quarter (26%) of companies with high data quality standards are significantly increasing their data-driven marketing budget and nearly half (46%) are marginally increasing their budget. Marketers with great data enjoy a high level of confidence that their data-driven marketing efforts will be successful and are, therefore, willing to invest more in the future. 12

13 Survey Methodology and Demographics Ascend2 benchmarks the performance of widely-adopted digital marketing strategies, technologies and practices using standardized questionnaires, research methodology and a proprietary 3-Minute Survey format. Findings are examined in a quantitative context by experienced analysts and reported objectively. This survey was conducted online from a panel of more than 50,000 US and international marketing, sales and business professionals representing a range of company sizes and respondent roles as follows: Number of Employees More than % 50 to % Fewer than 50 53% Role in the Company Owner / Partner / C-Level 35% Vice President / Director / Manager 47% Non-Management Professional 19% Informatica in Partnership with Dun & Bradstreet and Ascend2 13

14 Further Reading Get the ebook, written for marketers, to learn how to use your customer contact data to provide a great customer journey, across lines of business, touch points, and channels. Learn more. 14

15 Research Partners Informatica is a leading independent software provider focused on delivering transformative innovation for the future of all things data. We help marketers clean, secure, and connect their data to generate insight, deliver great customer experiences, accelerate revenue, and improve operations. Informatica has solutions ranging from data preparation, contact record verification and data enrichment to data integration, data quality and master data management. To learn more about how Informatica can help marketers, Let s Talk. Dun & Bradstreet grows the most valuable relationships in business by uncovering truth and meaning from data. From banking to high-tech, from retail to energy, more than 34,000 companies and 87% of the Fortune 500 trust Dun & Bradstreet to provide critical data and insights they need to create every-day connections with their most valuable constituents. Learn more about Dun & Bradstreet If marketing professionals are your ideal prospects, we can help you find more of them. Marketing software and data companies, and digital marketing agencies partner with Ascend2 to reliably generate demand and supplement content for marketing their firms. Our Research Partner Programs are transparent spotlighting your brand and the interests of your market. Learn more about Ascend2 15

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