Do you know what predictive analytics is? You probably do, but if not, it’s a process for breaking down vast amounts of data and science to predict which marketing actions have a high probability to succeed and which are likely to fail. It seems complicated and a bit overwhelming. Let’s face it, we’re not all data scientists.
Enter…predictive marketing. It helps make the analytics derived from prospects simple to understand so B2B marketers can use it more effectively. It moves complicated marketing theories into practice by leveraging technology to look at your past success as a foundation to predict future opportunities. Depending on the situation, we are seeing an immediate impact in our client campaigns especially in the area of predictive lead scoring and segmentation.
Predictive marketing analyzes internal data (e.g., CRM, marketing automation, etc.) and external (e.g., blogs, websites, social channels, etc.) sources and applies modern data science to questions such as:
- Who is going to be my next customer?;
- How do I convert interest into a deal?; and
- How can I find more of these ideal customers?
By taking advantage of the democratized data and applying technology and algorithms, marketers are empowered with new customer insights. In turn, they can better predict how prospective buyers and existing customers will respond, at the account or contact level. You will also be able to determine which campaigns to run, prioritize your opportunities, expand your marketing database and better convert qualified leads to sales.
It’s no wonder that predictive analytics is emerging as a key component of the modern marketing organization. By leveraging data science, leading B2B marketers are selling more intelligently by gaining better insight into their best customers.
However, while this paints a rosy picture, there are organizational challenges to consider, especially when you have people that have done things a specific way for a long time. And, the price point for predictive technology doesn’t come cheap if you want the full-suite as most companies will find piece-meal likely insufficient for their needs. With most enterprise systems starting around $36,000 a year to seven figures this doesn’t fit into many 2017 marketing budgets so until the predictive technology adoption continues and new entrants at lower price points enter only the biggest B2B companies will reap the benefits.