Database marketing is a kind of direct marketing
Database
marketing is a kind of direct marketing in which customers databases are used
to fetch targeted lists to carry out direct marketing communications. These
databases of customers contains all the customers details consisting of names,
addresses, emails, phone numbers, purchase histories, information requests and
other related data.
Database
marketing is a detailed process of recognizing, collecting and observing
relevant information related to an organization’s customers. The data are
obtained from different internal as well external sources like email
correspondence, promotional efforts, sales information, and social media.
What
are the objectives and goals behind DM?
The
primary goals of the database marketing is to make the best use of the entire
information of the database in order to implement the useful marketing
strategies which can increase the organization’s profits.
3
stages for effective DM
Let’s discuss about the
three important stages of database marketing:
● Data collection:
Starting with an initial stage of DM involves assembling and gathering all the
data relevant to the potential and prevailing customers. This process makes
sure that data is made available in a fruitful way that it proves advantageous
for the firm’s marketers in sales and marketing activities.
● Transformation of data
into knowledge: In this stage, inspecting data is
necessary so that the data required for marketing and communications can be
easily obtained. The data is segmented in existing and potential customers in
order to deliver objective and appropriate marketing message for both consumers
sections.
● Development of business
strategies: The business strategy is shaped in the
final stage with the help of knowledge and information. For example, the
communication system with customers is changed, the resources are devoted,
prices and other related reviews are estimated.
Benefits
of database marketing
Database
marketing have a number of benefits associated with its process. It allows a
buisnessman and an entrepreneur to fragment and focus the marketing endeavours
at an minimal cost.
An
effectual database marketing drives high sales volume by obtaining information
that enables different companies to recognize and explore fresh market
opportunities. The level of customer communication aslo goes high picking a
quality level. The organization is thus able to enhance the chances of customer
retention rate by creating healthy and long lasting customer relationships.
Database
Marketing Techniques
Here,
we are going to tell you about the remarkable database marketing techniques
which palys a crucial role for sales and marketing team to successfully use
their database to boost the sales without welcoming failure at their end.
● Customer
Lifetime Value
● Customer
Communications
● RFM
(Recency, Frequency, Monetary Analysis)
● Analytical
Software
● Loyalty
Programs
● Email
● Customer
Segmentation
● Multi-channel
marketing
Comments