Article

Steven Ledgerwood
Steven Ledgerwood 14 October 2016

Machine Learning – Stop Guessing and Start Predicting with Accuracy

For the longest time, retailers have tried to pre-empt what their customers want to buy, even before they know it themselves. Luckily for marketers, we are creatures of habit. Over a sustained period of time, we wear the same clothes, watch the same TV programmes and shop with the same brands.

In our modern era, this repetitiveness is starting to filter through to the data each of us generates every day. As a result, predictive marketing is becoming less of a mysterious dark art and more of an informed scientific process.

This is welcome news to retailers everywhere. However, even if your business has a vast customer database, capturing this behavioural information and analysing patterns is not easy. Filtering and creating a coherent strategy out of actions that appear to be random is even more daunting.

For these reasons, many forward-thinking companies have started to use technology to help. Smarter analytics tools and new machine learning software now offer the opportunity to process vast volumes of diverse behaviour to identify actionable trends.

With this insight to hand, retailers can create relevant, personalised messages for each customer, garnering their loyalty and boosting their sales.

Reducing the guesswork                 

Most retailers know that success equates to keeping customers engaged across every channel and device. Data has become crucial in this battle to engage and retain, especially in today’s omni-channel, mobile-centric environment.

Analysing granular information like page views, check outs, add-to-cart events and search queries across thousands of products should be the first step.

Predictive marketing and machine learning algorithms then build on that intelligence. The technology learns from the historical data pulled and displays relevant product choices to customers, all of which are built around their personal preferences and shopping habits.

Essentially, this lets marketing teams tailor, evolve and grow their campaigns alongside each customer demographic. This effort builds a unified customer profile across every channel. Marketers can create more engaging content that encourage shoppers to take action. For example, reminding customers of an abandoned product in their cart, style recommendations or personalised discounts.

Preventing marketing fatigue

Another benefit is reducing ‘communication irrelevance’. Shoppers are continuously bombarded with empty marketing messages everywhere they go, albeit online or offline. With predictive marketing, retailers can meaningfully communicate with their customers without overwhelmed by messages they do not relate to.

At the same time, retailers can plan ahead with campaigns that will run automatically. This enables better preparation for sales peaks through the year. The results include greater agility and new growth opportunities that would have otherwise remained hidden beneath day-to-day activities.

For example, a retailer might want to know if customers are buying items for themselves or as presents for their loved ones. Once they have gathered the relevant data, predictive marketing can generate specific product recommendations for each category ahead of sales peaks such as Black Friday, Christmas or Valentine’s Day.

Wouldn’t it be nice if your favourite brand created a special offer for your birthday or for someone else you care about? Of course! Would such campaigns increase your loyalty and spending with the brand? Yes, they would.

Backed by smart analytics, predictive marketing and machine learning, marketers can deliver these outcomes in a non-intrusive way. Scheduling and automating a series of personalised emails, discounts and special offers becomes much simpler.

Customer intelligence, analytics and machine learning might seem complicated and intimidating, but what they actually do is decipher basic human behaviour and triggers— improving retailers’ strategies, expanding their conceptual thinking and increasing the success of their marketing programmes.

Consumers are who benefit the most from this technology as they should feel more connected to the brands they love, receive relevant offers and stay in touch with the latest trends.  

 

Please login or register to add a comment.

Contribute Now!

Loving our articles? Do you have an insightful post that you want to shout about? Well, you've come to the right place! We are always looking for fresh Doughnuts to be a part of our community.

Popular Articles

See all
7 reasons why social media marketing is important for your business

7 reasons why social media marketing is important for your business

Social media is quickly becoming one of the most important aspects of digital marketing, which provides incredible benefits that help reach millions of customers worldwide. And if you are not applying this profitable...

Sharron Nelson
Sharron Nelson 6 February 2018
Read more
Digital Marketing Vs. Traditional Marketing: Which One Is Better?

Digital Marketing Vs. Traditional Marketing: Which One Is Better?

What's the difference between digital marketing and traditional marketing, and why does it matter? The answers may surprise you.

Julie Cave
Julie Cave 14 July 2016
Read more
Top 10 B2B Platforms to Help your Business Grow Worldwide

Top 10 B2B Platforms to Help your Business Grow Worldwide

Although the trend of a Business to Business portal is not new but the evolution of technology has indeed changed the way they function. Additional digital trading features and branding has taken the place of...

Salman Sharif
Salman Sharif 7 July 2017
Read more
What Marketing Content Do Different Age Groups like to Consume?

What Marketing Content Do Different Age Groups like to Consume?

Today marketers have a wide choice of different content types to create; from video to blogs, from memes to whitepapers. But which types of content are most suitable for different age groups?

Lisa Curry
Lisa Curry 21 October 2016
Read more
Collection Of The Best Email Testing Tools Online

Collection Of The Best Email Testing Tools Online

Don’t be afraid of email testing. There are many free or freemium tools online that can help you with testing your SPAM score, deliverability and even the rendering of your email. We feature 30 email testing tools in...

Roland Pokornyik
Roland Pokornyik 31 October 2016
Read more