HOW MARKETING DEPENDS ON BIG DATA AND HOW MARKETERS USE BIG DATA

1. Marketers Flunk the Big Data
Test
by Patrick Spenner and Anna
Bird
BY PRIYA MALHOTRA
MADRAS SCHOOL OF ECONOMICS

2. MARKETERS
Have a strong appetite for
data.
But they rely on intuition
too.

3. HOW MARKETING
DEPENDS ON BIG DATA
AND HOW MARKETERS
USE BIG DATA
Most rely too
much on gut
The best focus
on goals and
filter out noise
Some are
dangerously
distracted by data
A majority
struggle with
statistics

4. Most rely too much on gut
On average, marketers depend on data
for just 11% of all customer-related
decisions.
Information comes from their previous
experience .

5. Their intuition.
Data last on their list.
Expert advice and one-
off customer
interactions.

6. In volatile business environment,
unreliable judgment .
Once-valid assumptions can quickly
become outdated.

7. A majority struggle with
statistics
Most of the marketers lack statistical
knowledge and struggle with it.

8. Some are dangerously
distracted by data
 Data hounds consult dashboards daily,
and base most decisions on data.
 Thrive on external stimulation.
 They love data and all forms of
feedback.
 These marketers are called
“Connectors”.

9. They tend to underperform.
Don’t have the statistical aptitude or
judgment required to use data
effectively.
Many marketing disciplines like
direct, digital and loyalty marketing
encourage such practices.

10. The best focus on goals and filter
out noise
 Three key qualities found in
top managers:
 comfort with ambiguity.
 ability to ask strategic
questions based on data.
 narrow focus on higher-order
goals.

11.  Best marketing leaders
reiterate critical business
goals constantly .
 teach marketers to put data
front and center in their
decision making.
 Sensitize marketers to
common data interpretation
mistakes

12. Managerial Relevance
 Managers should not trust on all
their marketers. Completely
relying on them can result in
misleading conclusions.

13. THANK YOU