It was just a few years ago that the internet was considered the “wild west” – a new frontier that needed to be explored and tamed. Marketing trailblazers seized the reins and quickly started wresting control of the channel. Flash-forward to present times where Digital (i.e. mobile, social, display) has now become an established and growing channel. Per eMarketer.com, digital advertising will represent over half of all ad spending by 2020.1
- Source: //www.emarketer.com/content/emarketer-total-media-ad-spending-worldwide-will-rise-7-4-in-2018
Traditional is Alternative, Alternative is Traditional
Almost every marketer I talk to these days is preeminently interested in digital marketing solutions. The digital channel is leveraging unique data such as website traffic and interaction behavior to drive effectiveness. However, the importance of offline (traditional) data should not be diminished. The foundational requirements of online and offline marketing are the same.
For example, traditional marketing efforts like direct mail focus on the physical location and movements of a consumer – specifically where they live. Another traditional channel, Out-of-Home, focuses on where they are going – literally. Specifically, billboards and bus stands are designed to keep the message in front of the consumer as they live their . In order to be effective, the messaging for both of these channels must be relevant to the people that are looking at them.
The challenge for digital marketers to drive measurable efficiency and effectiveness is crucial in this channel. Thankfully, the desire to continually test and learn is bred into a marketer’s DNA. As the digital channel grows, the idea of online behavioral data becomes mainstream and offline data is now considered “alternative” data. Combining a company’s purchase data with online data is providing insights that were not considered in the past. This approach is now de rigueur for a marketer thanks to the proliferation of machine learning and big data methodologies. But what about offline data?
Online and Offline Marketers [still] face very similar challenges.
The challenge of identifying and the reaching target consumers online is as big a challenge as it ever was for direct marketers – arguably more so given the vastness of the internet. This is where offline data is starting to play a more prominent role. The marriage of online and offline data is providing marketers (and their machines) with fundamental insights that get them closer to their goal of one-to-one communication.
We are working more and more with marketers on leveraging our vast universe of offline data in digital. LexisNexis Risk Solutions data can help find prospects who look like your best customers and are the most likely to respond. You can take a deeper dive into how data plays a role in our latest customer lookalike modeling eBook
About the author: John has a dual role consulting on using alternative data for marketing data analytics and consumer credit risk decisioning at LexisNexis™ Risk Solutions. These roles intersect at many points throughout the customer lifecycle starting with marketing strategy (branding, acquisition, cross-sell/upsell, customer service and retention) through credit underwriting and account management. The goal is to help companies increase organizational efficiencies and effectiveness using a pragmatic, empirical data-driven approach that allows for measuring, refining, and scaling customer insights across the enterprise.