Smarter Commerce and Analytics to revolutionise the 4 Ps - Part 3: Promotion
In last week’s blog, I covered how Smarter Commerce can change the way customers buy from organisations, allowing them to become part of the decision as to where and when they buy. This week, I discuss how Smarter Commerce and Analytics enhance “Promotion” strategies – the third “P” in the marketing mix.
What is promotion?
“Promotion” is the act of creating awareness and demand for your product through marketing activity. Promotion may be achieved through advertising, personal selling, public relations and direct selling.
Current “Promotion” methods typically focus on appealing to mass audiences. Advertisements delivered through a variety of channels aim to spread unsolicited messages to a very broad audience. These methods are usually costly and provide little insight for targeting audiences at an individual level.
Promotion and Smarter Commerce:
Smarter Commerce and Analytics harness customer data to instantly tailor promotions to individuals, not just market segments. Since these promotions have greater relevance to individual customers, they are more likely to result in purchase behaviours. In this way, Smarter Commerce helps organisations present the right promotion, to the right customer at the right time, through the right channel.
A customer browses your online clothing store and immediately starts looking at women’s accessories, specifically necklaces. Promotions across the page should now utilise the power of analytics to optimise the advertisements presented. Based on search behaviour the customer is likely to be female, so advertising should be female focused. Since the customer is looking at necklaces, advertisements should relate to those types of items. This way the offers made to customers are targeted and relevant, which increases the chances of conversion.
Next week I will discuss the final “P” in the marketing mix – “Product.”