You don’t know data!
The ‘90’s! Trolls, big hair, Teletubbies, boy bands, Ferbies, The Spice Girls and the Rachel haircut. All fads we do not want to see coming back!!
In 1994 when I started my career in direct marketing as a “list broker”, other trends included: the utilization of email was for the most part non existent (except for internally), green bar paper was used to print mailing schedules, a person actually had to pick up the phone and talk to someone to check on status of orders / receive counts and the internet was in its infancy, all thanks to Al Gore. And data monetization? Well that was not even a buzz word. It was in only in the beginning stages. Sure companies big and small knew how to read the response rates from their campaigns, but little else was being down to utilize the rich data they had in that disposal.
Flash forward to 2015! Data Monetization is mainstream. The 21st century took on a new perspective for companies and how to prospect and “speak” to their customer even smarter!
But what does it all mean?
DATA MONITIZATION. Wikipedia defines it as: “generating revenue from available data sources or real time streamed data by instituting the discovery, capture, storage, analysis, dissemination, and use of that data. Said differently, it is the process by which data producers, data aggregators and data consumers, large and small, exchange sell or trade data.” In layman terms, it is the easiest and most efficient way to generate alternative avenues of revenue.
You ask how are companies doing this? Well you don’t know data!
- Big Data. Everyone is using this term today. Big data is all the rage! Summed up in two words: predictive analytics. These days with mobile devices, internet, cookies, etc., Big Data companies like Oracle, Epsilon, Experian, and Acxiom are able to piece together moving targets to analyze a companies data. They are able to not only identify opportunities within a companies customer base but aiding in acquiring and importantly maintaining new customers.
- Small data. Companies are still in need of using small data which aids them in targeted data acquisition and data mining of theirs’ and other companies data. Think similar demographics, transactional history, psychographic and lifestyle attributes. One knows that if they are looking to target the Medicare market, you will not prospect to an offer that features infant products. The simplicity of small data will still lead the march in many cases.
- Real Time Data. One of the best ways to reach customers but also one of the most under utilized. These consumers are telling you exactly what they like, what they respond to and what they are looking for NOW! Data producers are willing to sell these leads to companies either to build upon their customer base as well as work to enhance and model your core customers. Brokers / mailers alike need to think outside the box and take a step forward. Don’t be afraid to be the leader. They say it is always better to be the lead dog, because any other position, the view is always the same. Don’t trail behind.
- Social Media. Companies are embracing the use of Facebook and Instagram. With the opportunity to purchase and pay on Facebook now available, companies are featuring “sponser” ads to customers who fit the company profile. New mom? Gerber wants to sell you life insurance as well as a college saving plan. Age 64 years of age? Medicare supplement insurance providers will be targeting you. Celebrity junkie? People Magazine has an offer for you! All they need you to do is click on the ad and off your go!
Who can benefit from data monetization? The question really is, who can’t? There is not one market sector out there that is not looking to grow their business. Catalogers, credit cards, financial organizations, fund-raisers, publishers, retail, online.
They all need to grow to keep moving forward!