By Jasi Rommel
In the rapidly changing world of advertising, it is essential to deliver marketing campaigns, services, and product information with precision. This can be accomplished through data-driven advertising. It’s therefore important to understand how it operates, its impact on our businesses, and how to implement it.
When used to its strengths, Data-driven advertising has the potential to revolutionize the marketing industry, teaching us a great deal about consumers and aiding both up-stream product development and downstream targeting through Programmatic Media. It is increasingly the fuel for award-winning creativity and impactful campaigns. Data-driven advertising, which relies on market approaches and insights from previous market penetration, plays a significant role in commercial strategies. The availability of data allows for well-backed efforts, ensuring that investments in marketing campaigns are based on solid analysis rather than guesswork. However, marketers should be aware of the limitations of digital data and be cautious not to violate privacy laws or risk consumer backlash.
What’s working? Contextual targeting may provide a solution to audience reach in a post-cookie era. Data can identify new consumer segments, reach connected TV audiences, shape real-time media strategies, and tell stories that form deep connections with audiences. It is elevating digital out-of-home (OOH) advertising into a more powerful, persuasive, and effective medium. A focus on ROI has accelerated the adoption of programmatic buying, with many marketers now increasing the share of performance budgets.
Data isn’t an opinion; it’s facts and statistics collected to inform decisions through the campaign development process. Successful data analysis aids brands in being customer-centric. Understanding data also requires survey campaign evaluation, including analyzing audience criticisms and evaluating competitors. This overall brand monitoring provides a holistic understanding of brand perception, enabling businesses to make informed decisions, prevent reputational risks, and capitalize on opportunities worldwide.
By conducting comprehensive brand surveillance and analyzing various metrics and data, businesses can leverage contextual targeting and data-driven insights to enhance their marketing strategies and drive success in a post-cookie era.
By collecting data from customer interactions, purchases, online behaviors, and feedback, you gain insights into how your brand is perceived. Social media further simplifies this process, as you’re able to track brand mentions, sentiment, and engagement across all platforms. Additionally, you can conduct web analytics by analyzing website traffic, user behavior, and conversion rates to make informed decisions. Physical interactions are also catered for by collecting feedback to gauge customer satisfaction and brand perception.
Jumia Uganda, one of the largest online retailers in Uganda, consistently leads the way in utilizing data to understand and cater to its customers’ needs. By leveraging the collected data, Jumia can analyze geographic patterns and customer preferences to better serve its clientele.
Maria Katumba, the Chief Marketing Officer of Jumia Uganda urges that “Leveraging data guides us with the insight of making more than one advert for our product catalog. Many businesses make the mistake of zeroing in on only one product and neglecting the rest. If you have data, you’ll soon realize how dangerous this is…”
Similarly, Uganda Breweries Limited (UBL), one of the leading companies in Uganda is no stranger to data-driven advertising. Through data-based decisions, UBL has been able to reach its customers through advertising on social media platforms and keeping people aware of the ongoing programs, and their new products. This has expanded its customer base, and there are numbers to back it.
They value the idea that modern online advertising works by accumulating and processing data on millions of people, usually without their consent, to help target ads with better precision.
Furthermore, due to the increased desire for secure futures and early retirement, there has been a rise in the usage of banks. Banks capitalize on this surge by utilizing that data for media planning and buying.
It’s essential to consider not only your internal data but also what your competitors are up to. Keep an eye on their data and how they are using your real-time data. This will help you make better decisions when it comes to launching campaigns.
Unlike traditional brands where customers have to reach directly at the given shop, with e-commerce there is flexibility and customers shop at their convenience.
At the end of the day, it’s a competitive world. Your company should embrace data by measuring performance and reading the collected data to optimize its results.
Chairman, Uganda Advertising Association and General Manager Saladin OMD
