In the context of marketing and IT services, data collection refers to the compilation of valuable information related to customers, their behavior, and how they communicate on various channels.
There are different kinds of data, but all kinds of data need to be collected with explicit consent in order to meet regulatory requirements such as the GDPR or HIPAA. While these regulations may seem intimidating, businesses still need to collect data in order to build email lists, track user behavior, to remarket products, and to avoid cart abandonments.
Of course, there are hundreds of other business reasons why a business will need to collect data, and is well out of scope of this article. In this article, let us take a specific look at how data collection helps you improve your marketing.
Most businesses send out emails to the wrong people and the wrong contact persons, leading to wasted marketing efforts. The trick to capitalizing on email marketing is to build a list that actually is worth using. Data collection helps you to build a list that will help you carry out your marketing or sales communication exercise more effectively.
The most relevant emails are collected with prior consent, so that you remain compliant as well. A small but well-researched list is more valuable than hundreds of thousands of emails which will not help you build your business anyway.
Many businesses have begun to pay large amounts of fines to various regulatory authorities for not seeking prior consent with regard to the data they collect. Customer data needs to be protected, and should be collected only with prior consent.
Once collected, data needs to be securely stored and protected. Data collection services help you to comply with regulations and still collect information related to your customers in a manner that helps your business.
Not only will you be able to avoid hefty fines, you will also avoid expensive litigation's involving customer-driven lawsuits.
There is nothing more fruitless than directing all your marketing efforts towards a non-existing customer or hollering on social media to accounts that barely exist. Data collection helps you to update your existing customers' information so that you have all the correct details in place.
If you plan to launch a Twitter campaign, you can rest assured that you will be tweeting to the right account even if the individual changes their ID frequently, as it frequently happens. Updated customer information can also help you in several other ways, including providing after sales support.
A marketing campaign is no good if it is not personalized, in this day and age. Most businesses target customers at a hyper-personal level, and not doing so can cost your bottom-line figures dearly.
Data collection helps you gather important information about your customers' online and offline behaviour you can use to draft both sales and marketing campaigns.
You can choose how to create personalized creative in order to win the hearts of your customers. Data collection also helps you to understand and predict your customer behavior, so that marketing campaigns are well-prepared for success right from the outset.
The quality of insight you derive from various tools depends on the quality of data you have collected. Predictive analysis tools depend on the quality of the data, and if the quality is not top-notch, you will risk using inaccurate insight.
If it is not recent, relevant, or accurate, your insight is going to be erroneous and irrelevant. It is important to update data continuously and cleanse it regularly as well.
This ensures that all your marketing insights are accurate and useful. Data collection services are geared towards bringing you the most accurate and relevant information about your customers.
Data needs to be updated continuously because customers are not always stable. They constantly change their addresses, phone numbers, email addresses, and even their own names.
In addition, customer behavior changes over time both online and offline. Data should thus be collected constantly and updated at regular intervals so that it remains relevant.
You can see real time results of your marketing when you use data that is the most recent. This is one of the most important reasons why you need to use a data collection service.
Certainly, collecting data is no easy task. You will need to seek the help of an agency which is specialized at helping clients collect data specifically for marketing purposes.
However, you will save both time and money in the long run as data collection helps you to build better lists that actually fetch results. In addition, you can meet all the marketing-related regulations so that you don't pay fines.
Updated customer information helps you to personalize your sales and marketing communication better, while also helping you gain access to rich insights. Finally, relevant data helps you to find real-time results if you choose the right technology.