What is Predictive Marketing?

It is impossible to know the exact outcome of a marketing campaign before you run it. However, you can come close with predictive marketing.

But what exactly is predictive marketing?

Let’s find out.

Definition of predictive marketing

Predictive marketing is the development of marketing strategies based on data and data analytics for a high probability of success. It analyses customer data to identify patterns of behaviour, and forecast future behaviour and potential buying trends for marketing strategies.

Understand why predictive marketing is vital in today’s marketplace

Its is nothing new. However, with the technological advances in data management, analysing data has become much more manageable. Today, vast volumes of data (including synthetic data) can be analysed using AI, advanced algorithms, and machine learning.

Use predictive marketing to your advantage

Predictive marketing tools develop data-driven predictions about customers’ purchasing behaviour: how, when, and how much they will buy based on previous activities.

With these tools, marketers can create buyer journeys where each step is consistent, whether text, visual, or interactive content. Every interaction (e.g., phone call, landing page, chatbot, or newsletter) is tailored with predictive solutions.

Apply predictive marketing – 3 examples

Let’s explore three application examples:

1. Envisage customer behaviour

Amazon analyzes many data entries and produces the best product recommendations for each online customer. Amazon’s online shops subtly make us buy more while providing a pleasant UX (user experience).

2. Qualify and prioritize leads

A predictive algorithm compares the clients in your database and their buying habits with other data sets. This helps in identifying potential buyer behaviours that can drive conversions in your campaign.    

3. Use predictive models in content marketing

In contrast to displaying content randomly to a “faceless audience,” predictive models envisage customer preferences and the potential to take action. This enables you to display content to a specific targeted audience.

Choose a predictive marketing research tool

Lukas Bllzek via Unsplash

• IBM predictive analytics

IBM predictive analytics supports a variety of predictive marketing techniques, with machine-learning algorithms and analysis programs. The platform also offers functionalities for statistical analytical projects that use R, Python, or other coding.

• Salesforce Marketing Cloud

Salesforce Marketing Cloud comes with AI-powered tools. In addition to analysing sales data, it integrates social media, email, and SMS and automates marketing actions.

• Everstring

Predictive analytical solutions from Everstring, like predictive demand generation and predictive lead scoring, support marketing teams in building successful sales pipelines.

• Radius Intelligence

Radius Intelligence is a robust B2B platform that provides a variety of data analytics solutions, including those for monitoring data health, identifying duplicate and inaccurate data, and enriching data in real-time.

Rely on best practices to implement predictive technology

These four best practices are a common theme among many predictive marketing success stories:

1. Understand How Predictive Marketing Supports Your Goals

Quantify your company goals and challenges. Then use your internal resources, including software solutions and data analytics expertise, to run your predictive modelling targeting your goals.

2. Keep Your Model Up-to-Date

Use predictive models that are up to date and maintained by experts. Ensure that only capable and experienced people are in charge of interpreting the output.

3. Allow Time for Your Strategy to Take Effect

The industry norm is 36 months for a new predictive marketing strategy to develop its full potential.

4. Make Sure to Integrate Your Predictive Marketing Strategy With Sales

Integrating with sales is critical to reaping the full benefits of your predictive marketing platform.

Data-driven predictive marketing with Justwords

Stay ahead of the competition. Use data analytics and make informed data-driven decisions.

No more guesswork. Predictive marketing brings you predictable outcomes and a competitive edge.

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