Database marketing

Definition

Database marketing is the company's use of electronic mail, SMS, telephone, letters, etc. by the enterprise by collecting and accumulating members (users or consumers). Customer depth mining and maintenance of relationship maintenance marketing methods. Alternatively, database marketing is a new sales tool for long-term promotional activities with customers to establish a one-to-one interactive communication relationship and relying on a huge customer information library for long-term promotion. We think it is a set of dynamic database management systems that cover existing customers and potential customers. The core of database marketing is data mining.

These data will be maintained in the company's database. Although in traditional sales, the database used for customer data has been a long time, but more customer data, data processing, and application in new and more complicated methods are still existing in need of maintenance. Very different. In other things, market business people use data to learn more about customer knowledge, choose the target market for specific companies (segment through customers), compare customers for the company's value, and provide more professional services to customers.

Effects

(l) Select and edit customer data. Collect, organize customer data, build customer database. Collecting the customer's data should include customer personal information, transaction records and other information.

(2) Select the appropriate consumer. Targetingly communicating, increasing feedback rate, increasing sales, thereby reducing marketing costs.

(3) Provide these consumers for companies to use marketing databases, applied to mail, telephone, sales, service, customer loyalty programs and other methods.

(4) A weapon against competitors. The database can reflect customer characteristics associated with competitors, and then analyze the advantages and disadvantages of competitors, improve marketing strategies, and provide better products and services than competitors, enhance relationships with customers.

(5) Timely marketing effect feedback can analyze the short-term and long-term effects of market activities, and propose improved methods.

Features

1. Provide direct controllable, personalized service

2. Competitive concealment

3. Diversified communication channel

4. The cost is minimized, and the effect is maximized

5. High technology content

6. Variable Digital Integrated Marketing Idea

Application

Macro

Marketing Database is mainly to apply marketing data for market forecasting and marketing activities, and get marketing Active and customer real-time response.

Marketing departments apply marketing database to design marketing activities to build customers loyalty or increase product sales. The customer is divided into different segment customer bases according to customer behavior and value, and design marketing activities for different customer segmentation. The results of marketing activities can often be recorded in marketing databases, marketers and customer managers can clearly see the customer response and return on investment activities of each marketing.

Marketing staff Application customer database information, application data analysis technology discovers and identifies the profit opportunity in potential customer data. Based on the customer's age, gender, demographic data, etc., the possibility of purchasing a particular product or service is predicted, helping business decision-making products and services, and design and formulate a suitable price system.

Get customer feedback from frontline staff such as market, sales and services, and integrate related market survey data, regularly analyzing customers information and feedback, helps products and services in functional and sales methods The improvement of the product; can also help product design and research and development departments make forward-looking analysis and predictions; can also adjust the procurement of raw materials according to the real-time information on the market, or adjust the product model, control and optimization inventory of the production.

Micro

Customer lifecycle value is often used to predict the value of each customer. Enterprises often apply life cycle value to distinguish high-value customers and ordinary customers, and can effectively identify potential customers and design and take appropriate marketing strategies.

For a company, customers who really bring rich profits to enterprises are often only a small part of the customer base. These small amounts of customers are the best customers of the company, their loyalty and profitability The rate is often the highest. Enterprises can identify these customers to distinguish services and treat high-value customers by applying customer profiles in the marketing database. For these customers, companies need to provide special service or reward mechanisms, but also need to be keeled, these high-value customers are often a target marketing customer targeted by competitors.

Some customer-intensive companies have also used marketing database to establish a marketing analysis model to predict customer loss tendency. In other words, the marketing database is the core foundation of successful operation of mobile communications companies, long-distance telephone companies or credit card companies.

strategy

Database marketing, there are several ways of operation, depending on the industry's industry, the business cycle of the enterprise is different, the business strategy and the management strategy can be a company Tailored a suitable way of operation.

1. Basic operation method: Regardless of the business, it is a basic operation method if it is a business that is hoped in the market. The basic operation method refers to the construction of its own database marketing operations platform. It has a centralized management of the company's own data, and obtains potential target customers through their own website, and the database marketing is carried out through a series of database marketing strategies. To the interaction between trust and loyalty, create long-term business value for the company.

2. Data Renting Operation: This way is the potential target customer data provided by professional database marketing companies, deliver brand information or product information to potential target customers, and achieve accurate marketing advertising effects. This way of operation is also important, and the database marketing strategy is required for a long time. Through data rental, enterprises can obtain precise target customers concerned about corporate brands and products, providing better ROI for the establishment of customer relationships, sales clues mining, brand promotion.

3. Data purchase operation: This operation method is to obtain potential target customer data through a series of legal procedures, and companies carry out database marketing through their own database marketing departments. This way of operation is generally matched with basic operations. . The effect of this way is largely dependent on two factors. The first is whether the database marketing platform for the enterprise is built in the basic operation method. The second is whether the business has established a database marketing operation mechanism and whether there is a human resource condition required for database marketing.

In summary, the use of three database marketing methods is the most important database marketing strategy to success.

Operating

Generally speaking, database marketing generally undergoes six basic processes such as data acquisition, data storage, data processing, finding ideal consumers, using data, and perfect data.

(l) Data acquisition, database data on the one hand, through the market investigation of consumer consumption records and records of promotion activities, on the other hand, using public records, such as demographic data, hospital baby birth record, patient Record cards, bank guarantee cards, credit card records, etc. can be selectively entered into the database.

(2) Data storage, the data collected, with consumers, enter the computer one by one, and establish a consumer database.

(3) Data processing, use advanced statistical technology, use the computer to use different; data is integrated into an organized database, and then produce product development department, marketing department with strong various software support Any detailed database required by the public relations department.

(4) Looking for ideal consumers, based on the common characteristics of the most class consumers, use computers to have a consumer model of a product, such consumer groups have some common features - such as interest , Income, to adopt a group of consumers who specialize a brand product as a marketing work goal.

(5) Use data, database data can be used in multiple aspects: signing the value goal of the shopping coupon, which customers should be given; what kind of new product is developed; according to consumer characteristics, how The production advertisements are more effective; determine the consumer consumption grade and brand loyalty according to the consumption record. If the consumer database of special body is useful, it is useful for the clothing factory, but also is useful for the diet phantom manufacturer, the hospital, the food factory, and the furniture factory. Therefore, the database can not only meet information, but also the development of database business projects.

(6) Perfecting the database, with the information collected by the consumer club, coupon feedback, lottery sales activities, and other promotional activities, so that the data is constantly increasing Received updates to promptly reflect the consumer's change trend, so that the database adapts to business needs.

Database marketing has just begun, but with information technology, communication development and computer popularization, it is believed that more and more companies will adopt the modern marketing method of database marketing, because in the future In the fierce market competition, there is nothing more important than understanding consumer habits and hobbies.

Evaluation

Advantages

Accurately find the target group

to analyze the user information in the database, It is more accurate to find the corresponding target customer based on the company's own products and services, which is a suitable way in which the capital investment is appropriate. Relative to other marketing methods in Guang Sang, database marketing is more targeted.

Reduce investment

For a general marketing method, since it is relatively wide, the ratio of the target user contained is relatively Lower, therefore the benefit ratio of the marketing investment of the website will be lower, and the database marketing is to find a wonderful target user from the data, so that the return on investment in marketing will be relatively high. Small companies that are not very sufficient, use database marketing to effectively reduce investment.

Enhanced User Loyalty

Database Marketing This one-to-one marketing model will make users better impressions to the company's products and services. The relationship between enterprises and users is relatively tight, thereby enhancing the degree of loyalty to the company.

Develop new development strategies

Database marketing research on the database marketing is the first-hand information of the user. Through research on these content, you can understand the different needs of different users. According to these needs, the development direction of enterprise products and services can be made very well, so you can seize the needs of users and seek new development.

concealed marketing is safer

Participating in database marketing, this marketing model is more concealed, unlike most of the traditional marketing, online marketing is as big as the big flag, people It is well known that this will not cause the focus of competitors to avoid malicious injuries.

Reduce costs, improve marketing efficiency

database marketing can make companies can concentrate on less people, and ultimate goals are concentrated in minimum consumer units Personally, accurate positioning. Using consumer databases to accurately find target consumers for some product, companies can avoid using expensive mass communication media, can use more economical promotion methods to reduce costs and enhance the competitiveness of enterprises.

Corporate winning secret weapons

Traditional marketing, using mass media (newspapers, magazines, network, television, etc.) to promote new listing, Or implement a new promotion plan, it is easy to pay attention to the attention of competitors, so that they keep in launch a confrontation program, which will inevitably affect the expected results. The use of database marketing can be used to establish a close relationship with consumers, and generally not causing the attention of competitors to avoid public confrontation.

Disadvantages

Legal risk

Database marketing risk, mainly from the legitimacy of the data source. Generally, for B2B data, as long as it is purchased through regular ways (such as the Industry and Commerce Bureau, the Taxation Bureau, the Information Company, etc.), it is legal data, which basically does not have legal risks; and the business and third-party database marketing Through the B2C class data collected by our marketing activities, the company does not have legal risks from the customer's authorized enterprise to use their own information and continue to send marketing to themselves; the key issue is that the market is in the market ( Whether it is a black market or a gray market) There is a large number of personal information collected by informal channels and trading with a very low price. In the market without strict legal regulation, personal information abuse and low cost acquisition of personal information, there is inevitably lead to a low entry threshold and no order, and there is no state in industries, and the relevant marketers will actively actively participate. With China's series of laws and regulations for personal information protection, the industry will further get healthy development.