Successful companies with a maturing view on data are fully embracing emerging technology and intelligent data strategies to support customer-centricity
New Zealand marketers are spending more of their budget on data and analytics, and this is a trend driven by growth companies.
The successful companies are using data to craft world-beating customer experiences, according to the 2019 Mood of Marketing report by Qrious.
But while marketing teams are increasingly aware of the pivotal role of data, it’s not always translating into an organisation’s ability to deliver on that promise, according to the report, held in conjunction with the NZ Marketing Association.
Qrious says it interviewed 106 senior marketers in New Zealand for the report, with more than half (55 per cent) of the respondents coming from the services sector. The rest came from a range of organisations such as retail and fast-moving consumer goods.
The survey finds that:
70 per cent of respondents feel data is crucial to help improve the customer experience but 80 per cent don’t understand how to get value from the data in their organisation.
75 per cent say that data helps them prove and improve positive business outcomes driven by marketing but 60 per cent feel there’s a shortage of people who can make sense of it.
70 per cent of senior marketers believe data 70 provides them with greater credibility, but only 33 per cent of marketing decisions are based on data and analytics.
“Issues ranging from a lack of resources through to poor data structures are holding marketing teams back,” the report states.
“These fundamental challenges are proving the difference between growth and decline, really hurting marketing efforts to deliver great work.”
As the report points out, “Data is the driver.”
Successful companies are using data to craft world-beating customer experiences
“Growth organisations understand this, with clear strategies aimed at building connected, personalised journeys for customers. These organisations are not afraid to experiment with new technology, outpacing their sluggish competitors, and gaining a headstart on recruiting the talent to deliver data-driven, customer-centric plans.”
These organisations are redefining success within their organisations, says the report.
“Combining data with a renewed focus on customer and brand is the path to growth.
“Brand and emotional storytelling is powering retention strategies, putting marketers at the heart of successful strategies. And with agile creating opportunities for marketers to engage across their organisation, marketers are now stepping up to the CX plate.”
The report concludes that overall, marketers operate in a tough environment.
They still face the traditional challenges of budget, noncustomer-centric organisations, and a lack of toptable heft.
High growth Kiwi companies, meanwhile, share key marketing characteristics: a customer-centric approach, long-term brand building, and effective use of data and technology.
Chief among these, says Qrious CEO Nathalie Morris, is a strong focus on customer-centricity.
“Commitment to the customer came through very strongly this year,” says Morris.
“In successful organisations, the desire to improve the customer experience through intelligent, data-led insights is driving new business strategies, but only 25 per cent of respondents believe their organisation is doing enough.
“Businesses that are doing well are really playing the long game around customer loyalty and the brand equity that inevitably builds,” she adds.
“They understand the true value of retention and deep, emotion-based customer connections. We’re seeing that investment in brand building, now accounting for 48 per cent of the marketing budget, but this is still below recommended levels of 60 per cent.”
The report notes how technology is empowering marketers and redefining skill sets.
The teams are changing, with skills like automation, email and database marketing, and analytics becoming core.
Modelling loyalty, NPS, and sentiment analysis are now the fastest growing areas for data and analytics in marketing, the report states.
According to Morris, marketing team structures are also being redefined with a growing number of organisations adopting agile designs and processes.
“While agile is helping to drive a relentless focus on great customer experience, it’s also leading marketers out of their traditional siloes, encouraging greater collaboration and cross functional learning.
“These strategies are proving the difference between success and decline in today’s challenging market. Marketing teams in growth businesses are helping to reframe the customer relationship, as well as data and organisational strategies,” says Morris.
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