In marketing and advertising, everyone needs to establish their brand. During the pandemic, there was a huge rise in online retail and e-commerce, which led marketing experts to change their strategies and spend more money. In fact, 76% of marketing professionals plan to spend more money online. 70% of people plan to spend more money on social media stories, and 68% spend more money on social media feeds.
However, online competition raises the risk of overspending on advertising. Also, digital marketers need to make sure that highly-targeted advertisements are delivered through the proper channels so that they don’t waste money.
Understanding What The Issue
According to a survey of marketers worldwide, 26% of the people spent money on ineffective channels and strategies. For most digital marketing teams, the root of the problem is that they don’t have the information. They need to evaluate their work and make intelligent decisions. ROI Hunter has researched hundreds of clients with billions of dollars in spend and found that around 50% of dynamic advertising impressions are going to just 1% of the products in the catalog. As bad as that is, marketers don’t know which of their products get promoted or even which products get it.
This problem is made worse because product data is often found in different places across different businesses. Merchandisers don’t know how much money each item costs to advertise or how many people return it. It’s hard for marketers to have control and see everything at once, so they can only see part of the picture. People decide how much money to spend on advertising and how to do it based on what they can figure out from limited data sets.
Using Data from Products
One way that digital marketers can get rid of the guesswork and make their digital advertising strategies more effective is to use data from their products to plan promotions. When digital marketers connect all of their product data from all of their channels, they can get a lot of new information that can help them improve their performance. For example, marketers can find their best-selling products based on how much money they make or how many transactions they make and then promote them more.
The best way to use this product performance data is to use a Product Marketing Platform, simple and easy to use (PMP). PMPs give marketers information about how well individual products are doing on different channels. Like customer data platforms that focus on customer-level data, product marketing focuses on integrating data about the performance of products like margin, revenue, ad spend in different channels, or how many transactions there were for a product.
They can even connect business data like stock levels and returns to their campaigns with a custom source. This makes even more complex movements possible. With this cross-channel product performance data, marketers can make different product sets based on their wants. People who work in digital marketing can automate, scale, and make their campaigns more profitable with the help of a PMP.
A project manager connects this data to tools for making campaigns. It’s easier to use dynamic ads on a large scale when there are more execution layers on the top insights (like a photoshop template editor and a tool that turns images into product videos). The data behind the ads helps bring in more money.
Trying to Stay Ahead of the People
With regulations that limit the use of customer data, digital marketers want to do something. They need to show more effective and targeted ads on the right channels with the right product. The key to making this happen is to use data about products to make this happen. Without it, marketers will keep spending too much money on the wrong products and not enough on those with much potential.
Product data will one day change digital advertising and promotional planning, allowing digital marketers to get a better return on their investment and spend their money more wisely. A Product Marketing Platform is the best way to get this done. The first step is to collect and combine data from across different channels to improve performance.