Taking Control of the Customer Data and Analytics Initiatives In 2021

    Taking Control of the Customer Data and Analytics Initiatives In 2021

    Companies that successfully gather and utilize data in 2021 will outlive their non-data-using competitors. They will have the ability to better target the right customers, make the right business decisions, and save money when the time comes. Everyone benefits when CMOs and business leaders use data to acquire the proper insights for their companies.

    Research shows acquiring a new customer is five times more expensive than retaining an existing one.  Understanding where and how the market segments out will be critical to achieving profitability in 2021. Many businesses are still facing closures at this stage of the pandemic. And CMOs throughout the world will be doing everything they can to avoid them.

    Big data, machine learning, analytics, and artificial intelligence are all key trends for digital transformation in 2021. Investment in customer data platforms is another significant trend that is seeing widespread adoption, due to the need to enhance the customer journey and utilize vast amounts of data that spans far beyond what exists in the systems.

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    The objective is to use the data intelligently and effectively to have a better understanding of the customers, financials, opportunities, weaknesses, and risks.

    Leveraging Data to Drive Brand Loyalty

    Keeping an existing customer is significantly less expensive than acquiring a new one. As a result, CMOs across the board will need to concentrate on measures to boost client loyalty in 2021. What does this mean in terms of data? It implies companies might have to think about gathering new KPIs to figure out who their most loyal customers are. It also implies that, once they have found the data, they will have to work with customer service to reassure those customers that they understand and value their loyalty.

    As a result, organizations should leverage their data to understand more about their loyal customers and what motivates them to stay with them — and do so more frequently.

    Improve Profitability with Data

    As per a recent report from Forrester, in 2021, one out of every four CMOs is likely to invest in consent and preference management software. What effect does this have on profitability? For starters, it will enable them to collect even more granular data and target more precise messaging. CMOs should also start elevating the collection of those insights to an automated, AI-driven platform or system.

    Moreover, there isn’t enough time or manpower to gather insights in any other way. Furthermore, data can be used to optimize pricing data, and there are technologies that can take this to the next level for companies aiming to maximize revenue from every sale.

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    Keeping Data Safe with AI

    With so much more data flowing around, it’s more important than ever to be cautious. This will increase profitability while lowering risk. This includes leveraging edge computing to process data closer to the source and utilizing tools smarter than humans to secure it wherever it is. In fact, according to a 2020 report from Gartner, by 2023, AI will account for 40% of privacy compliance technology.

    With so much data being processed and stored in most enterprise systems, it will be critical to employ AI to evaluate which data, if any, organizations don’t require. This will also help them save money on storage. This will also become a more crucial part of doing business in the future. Customers will demand more from their vendors, both B2C and B2B, in terms of data security and privacy

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