Data-driven marketing is a strategy that implies collecting customer data, analyzing the history of their interactions with a company, monitoring their behavior on a site, and tracking previous purchases. This allows brands to create targeted and personalized offers, increase sales and improve user experience.

In this article, you'll get to know why data-driven marketing is essential, unveil its benefits, learn how to implement it.

Why is data-driven marketing important?

Promoting and advertising the same product to the entire audience has long been a thing of the past. People appreciate brands that care about them, know what they like and dislike, and remember their preferences. Putting a customer at the center of your business, you decide to establish long-lasting relationships with your audience.

Implementing data-driven marketing allows you to have a clear picture of your ideal buyer. You'll discover your top-performing strategies, find out the reasons why some leads drop off and manage to be at the right time in the right place with the best offer. No more guessing games. Every marketing effort and campaign will be based on the analysis of big data.

To realize the opportunities data-driven marketing provides, let's uncover its primary advantages.

Benefits of Data-Driven Marketing

To understand the way data influences your campaign performance, we'll compare creating one to cooking. Both processes are a kind of art.

To cook a delicious dessert, you need fresh and high-quality ingredients. They make up 50% of your success. The second most important step is following the dosage guidelines. If we translate cooking into marketing, quality products mean quality data, and dosage implies collecting only that data that matters.

Now that you know the recipe for an effective data-driven campaign let's know which benefits you can reap.

  • A clear picture of budget allocation. Marketers who try to use more channels and methods to succeed often drain their advertising budget. As a result, they even don’t know which investments perform better. Implementing a data-driven marketing strategy, you will use an analytic tool that will help you keep a record of your spendings, so you will see which strategies bring you more money and which are not worth your investments. As a result, you can even save money.
  • Understanding of your buyer journey. Since data-driven marketing means monitoring user behavior on your site and recording all the interactions with your brand, you will learn which landing page and call-to-action perform better, where your leads get stuck and leave your site forever. Collecting valuable data, you will know your client’s conversion path and act on this data to improve your campaigns.
  • Analyzing your target audience. Your customers are so different. They are men and women. They live in different countries or even continents. Their age varies. They use different devices and channels to buy your product and make different steps before they buy. With all this data at hand, you can predict their behavior and create different selling scripts.
  • Crafting relevant offers. With the help of marketing and analytics tools, you can divide all users into segments with some common characteristics. This way, you’ll be able to create a targeted message for each group. You can take into account users’ previous experiences and design a message that they will love. Creating several campaigns, you’ll manage to put this task on autopilot.
  • Improving user experience. When you find out why you lose leads and the problems they face when using your product, you’ll be able to eliminate all these issues. As a result, you’ll improve the user experience on your site.
  • Increasing sales. Collecting customer data enables you to create targeted offers for different audience segments. Hence, your marketing campaigns will be more relevant, and you’ll manage to sell more products.

Now that you know how to boost sales with data-driven marketing, we’ll share some tips that will help you get started. You’ll also learn how to implement this approach in SendPulse.

How to do data-driven marketing?

Implementing data-driven marketing requires much time, data analyst in your team, and dedication. There is no one-fit-all approach since all companies are different, but there’s a standard algorithm. Check it out below.

  1. Set the goals. Developing any strategy starts with setting the objectives. You should understand what you want to achieve. Your goals predetermine the data you will collect. For example, if you aim to increase user engagement, you need to collect behavioral data at least. Mind that your goals should be specific, measurable, achievable, relevant, and time-bound. This is a SMART model.
  2. Collect the data. We can divide this stage into two steps. The first one implies deciding which type of data you need, and the second one is data gathering itself. Everything depends on your goals. If you want to have a clear picture of your customer and create a profile, you need customer information. You can ask clients directly to share it. If you want to increase sales, you need attribution data and behavior information. Then, define your data sources. They can include website analytics, social media data, transactional information data, customer feedback, etc. You can get this data with the help of Google Analytics, inbuild social media analytics tools, social media monitoring and listening tools, cards of your contacts from the CRM system, tracking pixels, customer service software, etc.
  3. Process the data. Now that you have some data, you need to manage, organize, store and analyze it. There are lots of tools that deal with these tasks. Choosing such a tool might be challenging, so check their features available, pricing, and whether you need some learning curve to start using the service. Consider Google Data Studio, Google BigQuery, Kissmetrics, Stitch. It will be great to choose the tool that can both process your data and give you the reports. Mind that the more data you collect, the more complex your system will be. Hence, the more chances to make mistakes. So, you need to hire a data analyst to implement data-driven marketing correctly.
  4. Use the data. Now that you have collected and processed the data, it’s time to build a hypothesis and test it. It means testing assumptions regarding a specific parameter. The purpose is to find out if there’s statistical evidence that proves your belief.
  5. Check the performance. To evaluate the results, you need to check your dashboards regularly. If your goal is to increase profitability, monitor your conversion rates and ROI. If you aim to increase brand awareness, track brand mentions, discussions, impressions on social media.

SendPulse allows its users to work effectively using the power of data-driven marketing. No matter which service you work with — email, web push, SMS, chatbot builder, you can collect customer data and store it in the SendPulse CRM. Each contact card contains the data about your client, the history of their interactions with your company, purchase history, any information that you add to the notes. Then, you can access it anytime and use it to move a lead down the sales funnel. Below is a contact card in SendPulse CRM.


You can get this data even automatically via chatbots. Once users make an order, leave their phone number, or share their preferences via a chatbot, this information will be stored in the system. Then, you can assign tags to segment your customers and provide them with personalized offers.

Congrats, now you know the benefits of data-driven marketing, know how to get started, and use this approach in SendPulse. Increase user engagement and sales right now!

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