This means learning about their preferences, motivations, and behaviors. This data is then used to guide media-buying decisions as well as creative messaging. Data-driven marketing can also point to overall trends. Data-driven marketing’s main purpose is to create greater marketing efficiency and to enhance the overall customer experience and, of course, achieve a better ROI on marketing channels. The history of data-driven marketing actually pre-dates the internet.
With modern day data-driven marketing beginning with customer relationship management security and commodity brokers email list software (CRM). CRMs were what allowed brands to reach out directly to consumers with direct mailings. They made it possible for companies to target their messaging to specific segments of the population. This early form of data-driven marketing soon entered the world of Digital Marketing when Salesforce ingeniously placed a CRM in the cloud.
This paved the way for sales and marketing automation. This method still made use of some segmentation in sorting customers, but the major contribution it made to data-driven marketing was in creating individual customer marketing profiles based on website and email interactions. This also led to programmatic advertising (the automatic buying and selling of online ads) being personalized. This innovative method of marketing, however, created a problem of its own: too much data.