You might not even be aware of it, but there's a high possibility you have access to mountains of detailed and intelligent information on your clients that you could use to effectively expand your company.Better still? Thanks to a marketing tactic known as data mining, it's simple to analyse this data, which can help you draw in more clients and increase the profitability of your company.
What is Data Mining?
In essence, it involves calculating the hard facts about your clients' qualities, including everything from their purchasing patterns and ages to their income levels and credit scores. Analyzing this data will help you identify particular trends about your clients that will help you market to them more successfully than ever.
You already possess this knowledge, thus there are a variety of ways to find it. Every time a customer makes a purchase, responds to a survey, or spends time on your website, they voluntarily provide you with invaluable information about:
• Their preferences;• How and when they prefer to shop;• How much they are willing to spend;• How close they live to your location(s);• Conversion rates for incentives.
Using Data Mining
Data on your clients can be used in a variety of ways to learn more about them. You can build and grow a customer database by entering data you gather from sources like:
• Sales• Email newsletters, subscriptions, competitions, and surveys
By directly asking your customers what they think your business can do better, you can increase customer loyalty through yet another data-mining strategy. Customers will perceive your brand as more personable the more you interact with them in this way.
Engage your audience on social media by asking them questions and responding to their response. Request their participation in online surveys that ask about their experiences with your business. Host focus groups where you can sit customers down and conduct in-person interviews with them.
Inquire directly with your sales representatives and marketers about how they believe your company can improve consumer interaction and feedback.
Your future encounters with customers and how you approach selling to them will be informed by all the data you gather using this technique. Following that, you may utilise this knowledge to:
• Only run deals on the days when your consumers are the busiest.• By providing your customers with pertinent offers, upsell and/or cross-sell• More closely match upcoming contests to client preferences.• Improve customer service to make customers happier (and more likely to buy from you again).
The options are essentially limitless.
How Data Mining Increases Income
Observing how organisations apply these strategies to increase revenue in the real world is what makes them so effective.Grasshopper, a provider of virtual phone systems, and Sway, a women's boutique, were the subjects of a CNN article. Each one employed data mining to increase sales. While Grasshopper achieved a more than 25% decrease in customer attrition (leading in yearly advertising savings of $100,000), Sway observed a 300% increase in online revenue.
To mine their client data, they both used predictive analytics programmes. To the joy of their customers, this enabled them to comprehend the patterns of client behaviour and give them more individualised email marketing campaigns and streamline online transactions.
Calculate Those Figures
Data mining may not be the most fun part of running a business, but it is essential if you want to grow your clientele and income. It can come from repetitive tasks like creating a database from consumer information you get through purchases or from predictive-analysis tools like Retention Science. Whatever method you choose, it will be helpful regardless of the type of business you run, whether you provide online training or social media marketing services.
How well do you understand your clients? Have you ever examined the information they give you after each exchange? Comment below and let us know!