Research on the role of precision marketing

Research on the role of precision marketing

The systematic means of precision marketing maintain close interactive communication between enterprises and customers, constantly meet the individual needs of customers, establish a stable corporate loyal customer base, and realize customer chains. Efficient response to value-added, thereby meeting the long-term, stable and rapid development needs of the enterprise. Below is a research paper on the role of precision marketing that I compiled for you. I hope it will be helpful to you.

Abstract: Precision marketing is based on precise positioning through a combination of quantitative and qualitative methods, and relies on modern information technology to capture the consumer psychology and behavior of the target audience and establish personalized customers. Communication service system, establish an appropriate information transmission channel, and carry out targeted marketing activities to achieve "one-to-one marketing", achieve accurate, measurable and high-return marketing communication for enterprises, and maximize benefits. Pursue.

Keywords: precision marketing; connotation; implementation strategy

The driving force for the sustainable development of enterprises comes from the pursuit of profits, and corporate marketing hopes to achieve this by attracting consumers. However, the progress of society has made people pay more and more attention to themselves and emphasize individuality, and consumers' needs have become more and more diverse and decentralized. Traditional marketing methods make it increasingly difficult for companies to meet customer needs. Their role is weakening with changes in consumer behavior and psychology, and the costs are becoming higher and higher. For enterprises, marketing may not be difficult. What is difficult is to market accurately, obtain loyal target customers, and achieve expected profits. Therefore, companies need accurate, measurable and high-return marketing communications, and they must pay more attention to investment in direct sales communications. Precision marketing with network and information technology as the core has gradually become a new trend in the development of modern enterprise marketing to a certain extent.

1. The connotation of precision marketing

The so-called precision marketing is to conduct a detailed analysis of different consumers in the target market through a combination of quantitative and qualitative methods, and based on their different consumption psychology and Based on behavioral characteristics, enterprises adopt targeted modern technologies, methods and well-directed strategies to achieve marketing communications with strong effectiveness and high return on investment for different consumer groups in the target market. The main characteristics of precision marketing mainly include: the selectivity of target objects, that is, selecting target consumers as accurately as possible and conducting targeted communication; the effectiveness of communication strategies, that is, the strategies are as effective as possible and can well touch the audience; The effectiveness of communication behavior, that is, high return on investment and reduced waste when communicating with the target audience; the measurability of communication results, that is, the results and costs of communication are as measurable as possible.

The core idea of ??precision marketing is accuracy, precision and measurability. Precision marketing uses quantifiable and accurate market positioning technology to break through the limitations of traditional marketing positioning that can only be qualitative; precision marketing uses advanced database technology, network communication technology and modern highly dispersed logistics to ensure long-term personalized communication with customers and enable Marketing meets the precise requirements of being measurable and controllable, breaking away from the high-cost constraints of traditional advertising communications, making it possible for companies to grow rapidly at low cost.

The systematic means of precision marketing maintain close interactive communication between enterprises and customers, continuously meet the individual needs of customers, establish a stable loyal customer base of the enterprise, and realize customer chain reaction value-added, thereby achieving long-term stability and high speed of the enterprise. Development needs; precision marketing relies on modern, efficient and decentralized logistics to free companies from complicated intermediate channel links and reliance on traditional marketing modular marketing organizations, achieve personalized care, and greatly reduce marketing costs.

2. The role of implementing precision marketing

Precision marketing realizes customers’ personalized communication, personalized service and personalized care through personalized communication technology. These personalized services more accurately understand and grasp the needs and desires of customers, achieve long-term communication with consumers, and tap the long-term value and lifetime value of customers.

1. Precision marketing truly implements the basic principles of consumer orientation.

All actions of an enterprise must be based on consumer needs and desires. Precision marketing emphasizes understanding and delivering the satisfaction expected by the target market in a more timely and effective manner than competitors. In this way, if companies want to quickly and accurately grasp market demand, they must be as close to consumers as possible.

On the one hand, this is because information is disseminated and filtered through multiple links, which inevitably leads to natural distortion, which is determined by selective attention, selective understanding, selective memory, selective feedback and selective acceptance of perception; on the other hand, On the one hand, due to the different interests of the subjects in each link, they often over-exaggerate or reduce information out of their own interests, thus causing artificial distortion of information. Precision marketing bypasses complex intermediate links, faces consumers directly, and communicates directly with consumers through various modern information dissemination tools, thereby avoiding information distortion and enabling a more accurate understanding and grasp of their needs and desires.

2. Accurate market positioning.

Market differentiation and positioning are a key part of modern marketing activities. Only by accurately segmenting the market can effective market, product and brand positioning be ensured. Through accurate measurement and analysis of consumers' consumption behavior, and the establishment of a corresponding data system, customer selection is carried out through data analysis, and market testing is used to verify whether the positioning is accurate and effective. Obtain real experimental data in a simulated real market environment. The data model is designed based on verification marketing. It simulates large-scale sales in a small real market environment. By investing a small amount of testing costs on a large-scale product, you can know the effect of tens of millions of dollars of investment.

3. Communicate with customers in a personalized way.

Precision marketing does not use mass communication, it requires precision. This kind of communication may take the following forms: mail (DM), Internet mail (EDM), direct advertising, phone calls, text messages, online promotion, etc. Let us accurately target the people who are interested in advertising, design activities and things that these people are interested in, and achieve the purpose of getting them to participate and achieve our next step of one-to-one communication. A campaign trigger is something that interests a specific customer.

4. Form one-to-one distribution sales.

Precision marketing gets rid of the traditional marketing system’s over-reliance on channels and marketing hierarchical framework organizations, and achieves one-to-one distribution. The sales organization of precision marketing includes two core components: one is a comprehensive and reliable logistics distribution and settlement system, and the other is the main channel for customer personalized communication. A platform established through network technology and telephone to achieve one-to-one communication with customers. Its main functions are to process customer orders, answer customer questions, and maintain customer relationships through customer care.

5. Provide personalized products.

In line with precise positioning and communication, only by designing, manufacturing, and providing personalized products and services for different consumers and different consumer needs can market needs be accurately met. Personalized products and services are customization to some extent. For other products that are less standardized and have more complex customer needs, in order to achieve mass production, achieve cost optimization, and adapt to increasingly differentiated customer needs, we must selectively meet the requirements that can achieve a balance of scale and differentiation. customer needs. Through accurate positioning and accurate communication, we can find and awaken a large number of differentiated needs, and through personalized design, manufacturing or provision of products and services, we can satisfy effective needs to the greatest extent and obtain ideal economic benefits.

6. Reduces consumers’ satisfaction costs.

Precision marketing is a marketing method with the shortest channels. It reduces circulation links and saves expensive store rent, greatly reducing marketing costs. And because of its complete ordering and distribution service system, other costs of purchase are also reduced accordingly, thus reducing the satisfaction cost.

7. Provide customers with value-added services.

The last step of precision marketing is after-sales customer retention and value-added services. For any company, perfect quality and service can only be achieved in the after-sales stage. The profits brought by loyal customers are much higher than those of new customers. Only through a precise customer service system can we retain old customers, attract new customers, and achieve a chain reaction of customers.

3. Strategies for implementing precision marketing

The key to implementing precision marketing is based on a full understanding of user behavior, so that marketing activities carried out can be "precise". The key step in the marketing implementation process is marketing object positioning. The entire marketing process is an iterative process, and its purpose is to make the entire marketing positioning more accurate.

1. Establishing a customer information database is the basis for implementing precision marketing.

Generally speaking, a database is a company’s record of all important customer information, including age, address, phone number, business code (industrial and commercial households), query source, query cost, purchase experience, etc. Through effective integration of these customer resources, proactive opportunities in the market can be obtained. Through the database, each customer's geographical location, psychological characteristics, purchase records, etc. can be accurately listed. Through this data, the company can directly determine which of the customers who have been in the company are about to renew. Based on customer purchase records, it can be inferred which customers will be interested in the company's newly launched products.

They can identify the company’s past big buyers and send them gift cards to entice those customers to make their next purchase. It can be seen that a complete database facilitates enterprises to carry out precise marketing and reduce marketing costs. A complete database is actually a microcosm of the entire market. After the database is established, your product development direction and marketing product development direction can form the basis for decision-making based on this database. At the same time, it can also calculate the direct marketing behavior itself or how much it costs you to acquire a customer.

Therefore, marketers should research and segment all consumer objects, purchase frequency, consumption amount and other information in the database to discover relevant and targeted things, so as to adjust corporate promotional positioning in a timely manner and deviations in marketing strategies, identify your best customers, determine their value to the company, understand their needs and purchasing behavior, and then calculate the customer's lifetime value. To establish an enterprise's database and make good use of it, you need to start from the following aspects:

(1) Collect customer and potential customer information through feasible methods to form a database.

To do database marketing well, you must first collect customer and potential customer information in a feasible way to form a database. Since building a database is like any activity, it also needs to determine the target? Different products obviously face different consumers, so the ways to collect consumer information may also be different. For example, consumer information on packaged foods is often obtained through coupons, sweepstakes, distribution of guarantee cards, and surveys.

(2) After obtaining the information, build a database.

No matter which method is used, all response information must be organized into the marketing database. This information is classified and stored in the database according to certain standards, and then the key information of accurate product and service introduction is regularly transmitted through certain channels to give full play to the role of the database. Key information includes discount promotion information, new product activity information, new service information, personalized information that is relevant to or helpful to consumers, etc. If an enterprise lacks the awareness to collect and organize information, even having abundant information resources will be in vain because they will not be fully developed and utilized.

(3) Have a complete customer database and do "data mining" well.

After creating the database, the most important thing is to effectively organize the data in the database, identify which customers are high-quality customers, determine marketing strategies and promotional methods in a targeted manner based on the characteristics of customer information in the database, and improve marketing efficiency. , helping companies decide to make marketable products and price them appropriately, including poring over data in every way possible, by region, country, customer, product, salesperson, and even by zip code to compare sales performance in different markets , find out what’s behind the numbers. After tapping the market potential, spend energy on building customer loyalty.

2. Conduct corporate market segmentation and market positioning according to corporate strategic goals.

To implement precision marketing, we must first select clear market segments based on market segmentation as the company's target market, and clearly describe the target consumers' demand characteristics for the company's products (services) . Through comprehensive, systematic and in-depth analysis and research on market targets, clearly and accurately finding the target market is the basic work of marketing, and it is also the first step in precision marketing.

The purpose of market segmentation is to enable enterprises to concentrate their efforts on the core target customer groups and effectively implement marketing purposes.

Through market segmentation, on the one hand, we can more accurately discover the differences in consumer needs and the degree to which the needs are satisfied, better discover and seize market opportunities, and avoid risks; on the other hand, we can clearly understand the performance of competitors in each segment. Competitive strength and market share in the market, in order to better leverage your competitive advantages and choose the most effective target market.

Faced with numerous competitors, companies need to give their products a clear and unique market positioning so that their products can stand out and have a fresh and unique market positioning. This is the necessary foundation for precision marketing.

3. Determine customer search tools.

Customer search tools are the key to whether a company can find potential customers. With a clear target market and clear product positioning, the next key issue is how to find target customers, and how to do so accurately? Find it economically. This requires enterprises to have corresponding tools and master methods. The main tools include mobile phone text messages, call centers, email ads, portals, blogs, search engines, "advertisements", etc.

4. Carefully combine products.

In the process of improving marketing management to a more precise level, product mix should be given top priority. Facing specific customers, it is necessary to determine the market segmentation and clarify which types of products are sold to which types of customers. . The following three methods can be used to increase sales: one is to increase product lines and use the original good market reputation to promote new products; the other is to increase the length of existing product lines and become a company with a full range of products to meet different needs the overall market; the third is to strengthen the consistency of product portfolio and gain a good reputation in specific fields.

5. Implement differentiated price strategies.

Segment the market according to demand differences, set different prices for the same product according to the characteristics of each market, or set different prices for products with slight differences, and the price difference is not proportional to the cost difference, so as to occupy more Consumer surplus maximizes corporate profits. Utilizing differentiated pricing can achieve a win-win situation, providing price-sensitive customers with the opportunity to obtain low prices and increasing demand for products that cannot be stored. When a company offers sales discounts to customers in some markets, it will not affect the sales price of customers in another market segment, thereby maximizing corporate profits.

6. Effectively control the entire marketing activity process.

The essence of carrying out marketing activities is the transmission of marketing information. Whether an enterprise can transmit appropriate marketing information to the appropriate marketing objects is a key factor in the success of marketing activities. The launch of marketing activities should start from the insight and analysis of customer needs, combined with corresponding marketing activity planning, product planning, brand planning, etc. to plan relevant marketing activities. To effectively communicate with customers, companies need to conduct two-way, interactive, and efficient communication with target customers, so that customers understand and love the company and its products, and finally form purchasing behaviors. Effective communication also plays a very important role in customer purchases. .

7. Provide customers with personalized services.

After the customer implements the purchase behavior, the company needs a reliable logistics distribution and settlement system to support the comprehensive completion of the customer's purchase behavior. This system is very important to improve customer convenience and reduce customer costs. Based on the different needs and potential needs of each customer, we provide services that are different from other standard services and have added value. Good after-sales service has a direct effect on customers' re-purchase and their influence on friends.

In short, driven by the development of science and technology, social progress has made people pay more and more attention to themselves and emphasize individuality, and consumer needs have become increasingly diverse and decentralized. Traditional marketing methods make it increasingly difficult for companies to meet customer needs. Precision marketing has profound connotations and has great advantages in the new era. On the premise of precise market segmentation and market positioning, companies choose appropriate tools to communicate with customers, implement full-process management and provide high-quality services, fully considering consumption It enhances the adaptability of product value to the individual characteristics of consumers' needs, thereby creating greater product value for customers, greatly reducing customer satisfaction costs, cultivating consumers' preference and loyalty to enterprises, and building on network and information technology. The precise marketing model based on the basics will be the direction of modern enterprise marketing development.

References:

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[3] Liu Zhengyu. Research on precision marketing methods [J] ]. Journal of Shanghai Jiao Tong University, 2007, (4). ;