Targeted marketing needs knowledge of your customer to deliver the relevant marketing material. But traditional customer profiling is poor. Customers don't like being asked. Data is often incomplete, out of date or just plain wrong. This just results in creating a bad customer experience and damaging your brand.
I'll give you some examples from my experience.
I recently received an offer for Led Zeppelin concert tickets from a supposedly tailored offers service. Not sure why someone thought I'd be interested in that. But perhaps the garden tools offer that arrived the next day had something to do with it! Nice try, but totally missed the mark on both counts. I'd say that's a pretty odd profile.
Timing of e-Mail marketing campaigns is wrong and often sent overnight – why would I want to get 10% off shoes when I'm checking my eMails before breakfast?
And these are from companies I know have invested heavily in customer profiling and marketing analytics in an attempt to get this right.
Smartphones bring a whole new angle. A connected device that is personal to me. Digital marketing heaven. I've read that 30% of Facebook advertising revenue is now coming from mobile and that is set to grow significantly over the next 5 years.
There is a way that you can get your targeting right - by using the very fact that your smartphone customer is connected almost wherever they are. The context of where your customer is at a point in time means you have the opportunity to engage with them with relevant content when they are more likely to respond to your call to action.
This is particularly true for the high street retailer. Research shows that customers who are targeted within a 6 mile radius of a store are much more likely to purchase in that store.
The ability to gain location context of smartphone users is maturing at lightning speed
The capability exists now to utilise geo-location. Letting you know when your customer moves in or out of a pre-defined area. With that information you can present content to you consumer when they are near your store during opening hours or perhaps on their way to an event.
Other technologies will start to play a significant role including Near Field Communication (NFC) and iBeacons. One thing is for certain – this is a fast moving technology and those that embrace it early will reap the benefits of improved customer engagement through relevant content and more successful marketing campaigns.
It's a rapidly moving area of technology. While the data is simple, the key is how you utilise the location context, store it and manage your targeted marketing campaigns around it. You need a strategy. We would love to help you.