What is customer data?
For most businesses, customer data is merely the email and phone number that a customer may leave behind after a transaction.
However, it is important to realise that businesses collect more data beyond phone numbers and emails as I learned in a recent workshop organized by Data Fintech.
“There are three types of data you can use to improve your customer experience. These are; customer profile data which includes the contact information as well as age; Transaction history data which includes the volume, value and frequency of purchase by customers, and the product and purchase history data which includes product category.” said Edna Maritim Marketing Executive at Data Fintech.
3 Simple Ways to Collect Customer Data
- Through Loyalty programs
A loyalty program allows you to collect data from your consumers about their location, frequency of purchase, volume and so on. However, this does not mean that we should become too engrossed in the value of such data to marketing. Instead, we should use this data to offer benefits personalised to customer behaviour.
2. POS Systems
Whenever a shopper makes a purchase, you can collect valuable transaction data such as order history. This data can be used to create more personalised promotions, and track which advertisement channels give best results based on the sales conversions. More on this on Shopify Blogs.
3. Customer Lists/ CRMs
From demographics to behavioural data, your CRM or customer list could be housing data essential to improving your customer experience. You can leverage this data to understand your customer’s preference and create a more customised experience. For example, if you are a hotel and you realise most of your customers are families. It may make sense to tailor your décor and furniture to be comfortable but fun.
What Do You Do With The Data?
Instead of using spray and pray tactics where you give all you customers the same ads, using a customer’s purchase history will help you personalize your ads to each customer based on what they usually buy. Imagine a new mother getting an ad that says there’s 30% off on diapers instead of the neutral ad that just says there’s an offer at the shop.
However, segmenting and scoring, your customer data may be hard if you are not a spreadsheet guru and if you have tonnes of customer data to deal with. Fortunately, there are tools like Mailchimp that can help out. Additionally, there exist specialized tools like Data Fintech’s Robo-Advisor which segments your customer database into categories according to their customer score. The system categorizes your customers into heavyweight customers, lifetime value customers, lapsed customers or churned customers allowing you to create ads that add value to your customers’ lives.
Communication is Key is In Improving Marketing
Let’s say you have decided to create a loyalty program where a customer gets a gift on their 10th purchase. You can go ahead and give them the most frequently purchased product as a gift to make the experience more personalised.
However, more importantly, is that you communicate with your customers about these programs and the value they offer. You can use platforms like MailChimp, WhatsApp and bulk SMS to talk to your clients. To grab your customers’ attention, make your message sticky by using visuals and stories.
The Best Part of The Data Fintech Workshop – One Year Date with The Robo Advisor
To help marketers create personalised promotions that improve customer experience, Data Fintech gave all the attendees of the workshop free access to their Robo-advisor with a total amount of Ksh, 144,000 to spend on promotions through the year.
Yes, you should have been there 😉
PSSST….. Data Fintech has these trainings twice every month. This was the first one in July. If I were you, I’d stay tuned to Data Fintech’s Twitter handle for latest updates 😉