The-Future-of-Marketing-Analytics-2024-Predictions-Unveiled.pdf

A Research Report by DiGGrowth
2024: Predictions Unveiled
The Future of

Marketing Analytics

Table of Contents
Marketing Investments in 2024 vs 2023: The
Changing Landscape

About DiGGrowth
4.
5.
Real-Time Data Analytics for the Win

Data Handshakes Between Producers & Users
d.
e.
Executive Summary

The Current State of Marketing Analytics

The Future of Marketing Analytics in 2024
1.
2.
3.
a.
b.
c.
Generative AI Will Shape the Future of Marketing Data

Au Revoir Cookies, Bonjour First-Party Data

Profitability Metrics Will Reign Supreme

Executive Summary
We've hit the jackpot in terms of data. With the proliferation of digital channels, we're swimming in an ocean of data. Every click, like, and
scroll is a potential gold nugget. This abundance has given marketers unparalleled insights into consumer behavior.

The days of tossing marketing dollars into the void, winging it, and hoping for the best are long gone. Now, it's all about precision,
personalization, and predicting what your customers want even before they know it.

That's why data-driven decisions are the name of the game. And because of this, marketing analytics has gone from being a nice-to-
have to a must-have for businesses of all sizes. The future of marketing analytics is promising. Our report is your backstage pass to the
marketing world's next act.

Let's talk about what's on the menu. We're serving you the current state of marketing analytics, a tantalizing sneak peek into the not-so-
distant future of marketing analytics, and the hottest trends that'll be sizzling in 2024. But that's not all – we've got a side order of
marketing investments to compare this year and next, just to spice things up.

Let’s do this!
03

Marketing analytics helps you extract the best return out of your budget. Here’s a quick look
at what portion of their budget are CMOs dedicating to marketing analytics and where
they’re expecting to go from here:
1. Money Talks
The Current

State of Marketing

Analytics
01
Businesses across different industries are
splashing their cash into marketing
analytics to uncover those golden
nuggets of insight and ride the wave of
data-driven decisions. Let’s talk about five
important reasons why businesses jump
on the marketing analytics bandwagon.
04
Takeaway: CMOs that are devoting a significant amount of their budget toward
marketing analytics understand that the best way to improve their marketing
performance is by learning more about it and analyzing it to the most granular level.
6.5%
6.7%
1
1
.1
%
Spend by CMOs Spend by Companies
Expected Spend by Companies
Chief marketing officers (CMOs) spend around 6.5% of their marketing budgets on
analytics.
Companies currently spend 6.7% of their
marketing budgets on analytics and expect
to spend 11.1% over the next three years
Over a billion dollars have been invested in
data analytics companies this year
Spending across marketing analytics and
data infrastructure is forecast to grow from
$22 billion in 2022 to $32 billion in 2026 in
the US, UK, and European Union.

28%
of marketers say their marketing
analytics data helps them to measure
the performance of their campaigns
more effectively.
49%
of marketers use data analytics to
enhance customer experience.
67%
stated that they are constantly looking
for ways to become more advanced
with their use of data.
With marketing analytics in your corner, you can measure the success (or failure) of your efforts, identify what's working, and optimize like a pro.
Here’s a quick look at how marketing analytics is contributing to marketers’ lives globally:
2. Performance Measurement is the Name of the Game
05
Takeaway: Marketing analytics is an effective instrument for making more intelligent decisions when strategizing for and executing marketing
campaigns.

With marketing analytics, you can safely say goodbye to wasted resources and actually witness maximum ROI. Here’s a quick look at what marketers
are doing with marketing analytics and how they’re utilizing it:
54% of companies that extensively use marketing analytics
end up with higher profits than average
Nearly one-third (32%) of marketers surveyed by Ascend2
report that a strategy is planned to have unified marketing
data and 45% are already operating with a strategy in place
Marketers use marketing analytics for several immediate
benefits and long-term gains, be it to optimize the customer
journey, eliminate ad waste, improve attribution, or increase
conversion rates and customer loyalty.
3. The Usage Showdown
06
Check out what the statistical picture looks like:
What are the PRIMARY OBJECTIVES of a strategy for

using data to make decisions?
Increasing customer loyalty 46%
Increasing conversion rates 43%
Optimizing customer journey 42%
Increasing content engagement 35%
Defining appropriate channels 28%
Eliminating ad waste 21%
Integrating disparate data 16%
Improving multi-touch attribution 11%
Takeaway: As marketing serves as a fundamental avenue for generating sales, it is logical to assume that enhancing your campaigns
would lead to an increase in revenue as well. Analytics empowers you to establish a self-perpetuating sales cycle by enabling you to
generate sales, collect data from those sales, enhance your marketing strategies, and subsequently drive further sales.

07
With marketing analytics, you have solid evidence to back up your strategies, convince stakeholders, and push for those genius ideas
that are poised to take your brand presence to the next level. Adverity wanted to find out whether or not marketing teams are actually
using the data from marketing analytics to improve their campaigns. Here’s what they found:
4. Decision-Making Gets a Facelift
Takeaway: By basing your marketing decisions on data-driven insights, you can expect significantly improved outcomes compared
to alternative approaches.
61%
of marketers said that they regularly
test hypotheses and let the results
guide their marketing strategy.
63%
of marketers said that they make
strategic marketing decisions based on
objective data.
66%
stated that they are constantly looking
for ways to become more advanced
with their use of data.
61%
of marketers said that they closely
monitor the performance of marketing
campaigns, adjust in real time, and
optimize on the fly.

08
You can only do so much manually, you need the right tools to understand the wealth of data at your disposal. Automating analytics
and reporting saves time, is more accurate, and enables you to focus on improving results. Here's a quick look at why having the right
marketing analytics technology can significantly increase campaign quality:
Even though these advantages are hard to ignore, the majority of businesses often fail to capitalize on them. The primary culprit? The
daunting challenge of demonstrating return on investment (ROI).
Marketers who use five or more tools in a marketing analytics stack are 39% more likely to see overall marketing campaign
improvement
The global marketing analytics software market was valued at $3.9 billion in 2021
The global marketing analytics software market is expected to grow at a compound annual growth rate of 14.8% from 2020 to 2027 to
reach USD 7.43 billion by 2027
North America dominated the marketing analytics software market with a share of 46.21% in 2019.
5. The Technology Phenomenon
Takeaway: Using the right tools enables you to gather a greater volume of data, derive more insightful conclusions, and make
superior marketing decisions. The abundance of available data directly contributes to the effectiveness of your marketing
analytics.
analytics.
analytics.

09
Proving that tricky marketing ROI isn't a stroll in the park, folks. It's a real challenge. Wrangling those numbers and providing concrete
evidence of how your marketing efforts directly impact your bottom line, in other words, the actual cash your marketing brings in.
But that's not all – tracking and attributing conversions
across all those different channels and touchpoints can be
a bit like navigating a labyrinth. Let's dive into the top
challenges that CMOs often grapple with when they're on
the ROI quest.

Takeaway: If you'd like to dig deeper into the state of marketing analytics 2023 - the trends, challenges, and breakthroughs
that are shaping the field right now, check out the complete report.
Top Challenges for Proving Marketing ROI
Attributing social and content to revenue
Aligning KPIs with overall business goals
Attributing leads to revenue
Collecting the right data
Determining the right KPIs to measure
Analyzing the data
71.11%
48.89%
46.67%
45.00%
41.67%
33.33%

Generative AI is like the marketing assistant you've always dreamed of. It has the power to
analyze tons of your marketing data, understand customer behaviors, and churn out
content that's personalized, engaging, and spot on. The result? Marketing campaigns that
are not just data-driven, but also human-centric.

We have access to a wealth of data about potential customers for analysis and there has
long been a challenge in personalizing initial marketing outreach on a large scale.
Generative AI solves these challenges and there's cautious optimism across the board
among marketing leaders regarding generative AI.

Check out this survey by McKinsey & Company that tells the whole story of generative AI in
marketing.
1. Generative AI Will Shape the Future of Marketing Data
The Future

of
in 2024
Marketing

Analytics
02
The world of marketing is evolving faster
than ever, and the role of analytics is
expanding right alongside it. So, what
does the future look like for marketing
analytics?

As technology continues to advance,
those who harness the full potential of
marketing analytics will be at the forefront
of the industry, making informed decisions
that drive business success. It's going to
be a thrilling data-driven drive. Here goes.
10

11
Commercial leaders are cautiously optimistic about gen Al use cases, anticipating moderate to significant impact.
Estimated impact of use cases, % respondents answering "significant" or "very significant"
Lead identification(real time, based on customer trends)
Marketing optimization(A/B testing, SEO strategies)
Personalized outreach (chatbots, virtual assistants)
Dynamic content (websites, marketing collateral)
Up/cross-selling recs(via usage patterns, support tickets)
Success analytics (continuous chum modeling)
Marketing analylics (dynamic audience targeting)
Dynamic customer-journey mapping (identifying critical touchpoints)
Automated marketing workflows (nurturing campaigns)
Sales analytics (predictive pricing, negotiation)
Sales coaching (hyper-personalized training)
60
55
53
50
50
45
45
45
35
30
25
Takeaway: Navigating marketing data coupled with generative AI requires dedication, a thirst for data-driven brilliance, and a
solid grasp of what makes your audience tick. The future promises even sharper predictions, the agility to adjust on the fly, and
tailor-made experiences in real time.

Third-party cookies—those tiny bits of data that have been trailing us around the internet, offering us personalized ads—are on their way out. But it's
not the end of personalized marketing as we know it. In fact, it's a new beginning—say hello to first-party data!

It's the information that you collect directly from your customers. Think purchase history, website interactions, and subscription details. This data is
willingly shared by your audience and it's far more reliable and accurate.
With this inevitable cookie apocalypse, marketers are now increasing their spending on
first-party data. Check out what sources of data collection businesses will be focusing
on and by how much.
Takeaway: With first-party data, you're in control. Your customers trust you
with their information, and you can be transparent about how you use it.
This is not just a change, it's an opportunity to connect with your audience
on a deeper level, enhance your marketing strategies, and ensure a
thriving future for your brand.
2. Au Revoir Cookies, Bonjour First-Party Data
12
35%
30%
25%
20%
15%
10%
5%
0%
0.5%
Email

Address
Share
of
respondents
Publisher

first-party

Data
Universal ID There will

not be a like-

for-like

alternative
Phone

number
Other
28.5%
24.5%
22%
16%
8.5%

Profitability metrics, often referred to as profitability ratios or financial performance indicators, help businesses measure their ability to generate
profits relative to various aspects of their operations. These metrics provide a quantitative assessment of a company's financial health, offering
valuable insights into how efficiently a company is operating and how effectively it is converting revenues into profits.

The key profitability metrics are Gross Profit Margin, Operating Profit Margin, Net Profit Margin, Return on Assets (ROA), and Return on Equity (ROE).
These metrics enable businesses to assess their performance over time, helping management make informed decisions about strategy, resource
allocation, and potential areas for improvement. Moreover, investors rely on profitability metrics to assess a company's financial health and future
potential. Strong profitability metrics can attract investment and enhance shareholder trust.
3. Profitability Metrics Will Reign Supreme
13

14
Here are some numbers that make the case for profitability metrics:
Takeaway: Profitability metrics help you navigate the turbulent seas of business by providing a clear picture of how much
money your company is making. But they're not all about chasing money. They also help you understand your customers
better, enhance your product offerings, and optimize your processes.
Nearly 30%
of small businesses fail in the
first two years, while 50% fail in
the first five years, owing to
the lack of utilization of
profitability metrics.
77%
of marketers in the United
States used profitability metrics
to measure their marketing
campaigns' ROI.
44%
of companies use ROI to
evaluate the performance of
their marketing investments,
emphasizing the significance of
profitability metrics in
marketing.

It's not just about collecting data anymore, it's about making sense of it and doing so in real time. Real-time data analytics lets you make decisions
on the fly, whether you're optimizing your website for user experience or managing supply chain disruptions.

In the age of instant gratification, customers appreciate businesses that respond promptly. Real-time analytics help you provide better customer
service, tailor marketing campaigns, and make adjustments in real time.

They also enable you to mitigate risks as they arise, rather than after the damage is done. In their annual State of Data Race Report, Datastax
surveyed a significant number of businesses and found out the top five real-time use cases for data leaders.
4. Real-Time Data Analytics for the Win
15

16
Here's a look.:
Takeaway: Real-time data analytics isn't just a tool, it's a stylish, data-powered way to navigate the fast-paced, data-centric
world we live in. It's about being proactive, responsive, and staying ahead of the curve by leveraging real-time insights.
The top three real-time data use cases for data leaders
Compared to the average respondent, data leaders are:
More likely to use real-time data
for chatbots/messaging
15%
for payments/ processing
13%
for customer personalization
16%

The role of data producers is to ensure that data is collected accurately, securely, and ethically. This data serves as the foundation for data-driven
insights and decision-making. Data users are individuals, organizations, or systems that consume, analyze, and derive insights from the data
provided by data producers. Their goal is to extract meaningful information, gain insights, and transform raw data into actionable knowledge.

The process of transferring data from producers to users is a 'data handshake', a digital agreement where data is shared, received, and used for
various purposes. Effective data handshakes create a symbiotic relationship where both parties benefit. Data producers gain insights into the utility
of their data, enabling them to improve data collection methods. Data users, on the other hand, gain access to valuable information that informs
their actions and decisions.

In one of their surveys, Experian found out how businesses across different industries value data quality and accuracy.

5. Data Handshakes Between Producers & Users Will Be in the Limelight
17

18
Take a look.
Takeaway: Data quality and accuracy are indispensable in the data-driven landscape of today and the future. It's all about
making sure the data you're working with is reliable and trustworthy.
Data quality statistics for industries
99%
for location/logistics
98%
83%
69%

So, what's changing as we leap into 2024? Marketers are digging deep into customer data
to understand their preferences, behaviors, and desires. This level of personalization not
only keeps customers engaged but also boosts conversion rates.

Moreover, emerging technologies like AI and machine learning are becoming more
accessible and affordable. They're no longer just for the marketing giants. Smaller
businesses are getting in on the action, using AI to analyze customer data, predict trends,
and automate processes.

Lastly, sustainability and social responsibility are at the forefront. Consumers are looking
beyond the product or service – they're interested in the values and ethics of the brands
they support. Marketing investments in 2024 will continue to focus on transparent and
ethical business practices.

While this may be a common sentiment, we dug deeper and uncovered a research by
Web FX. In this research, business executives were surveyed - those who plan on increasing
their budgets in 2024 and those who plan on decreasing them and why.
Marketing

Investments

in 2024 vs 2023:

The Changing

Landscape
03
In 2023, marketing investments saw some
exciting trends. We witnessed a growing
emphasis on digital marketing, with social
media advertising, influencer marketing,
and content marketing continuing to steal
the spotlight.
19

The Forces Behind the Marketing Investment Upswing
20
Despite how fickle the economy has been, a solid 59% of
business leaders noticed some serious business growth in
2023. That got them all fired up to keep their marketing
engines running at full tilt in 2024.

56% of these business leaders are throwing more cash into
their digital marketing efforts. Why? Well, because they're
seeing more bang for their buck. Their return on investment
(ROI) is looking sweeter than ever.

And that's not all – 55% of these savvy leaders are going all-in
on new tools and cool channels. They're diving into stuff like AI,
ML, LLMs, etc, exploring uncharted waters to keep their
marketing game strong.
What Does This Mean for Businesses?
Factors Impacting Increased Digital Marketing Investment
Overall business growth requires a larger

digital marketing budget 59.8%
Seeing increased digital marketing ROI 56%
Investments in new

digital marketing tools like Al 55.6%
Previously cut digital marketing spend and

lost sales/revenue, so re-investing in 2024 14.7%
Other 0.8%

21
The Forces Behind the Marketing Investment Downswing
It's not surprising that a whopping 66% of business leaders are
tightening their belts when it comes to their 2024 marketing
budget. Economic changes and the looming uncertainty have
folks rethinking their game plan.

In a world where some are ramping up while others are
dialing it down due to economic unpredictability, what's the
smart move for planning your 2024 marketing budget?

The answer? Keep that marketing engine humming, even
when the financial waters get a bit choppy. Waiting for the
storm to pass and hitting the 'off' switch on your marketing
efforts might sound like a good idea, but it's tough to time it
right, and frankly, it's not the most effective strategy.
Those who keep their marketing investments flowing actually build a strong foundation, gather valuable insights, connect with more customers, and
accumulate more data. All of this positions them to reap significant rewards when the market stabilizes and the tide turns in their favor.
What Does This Mean for Businesses?
Factors Impacting Decreased Digital Marketing Investment
Economic shifts 66.7%
Not seeing ROl from digital marketing 30.3%
Not getting executive approval for

digital marketing budget
27.3%
Investing in non-digital

marketing channels
27.3%
Other 3%

22
Marketing analytics isn't just a bunch of cold, hard numbers. It's the key to understanding your customers better and creating marketing strategies
that truly resonate.

Marketing analytics in 2024 and beyond will be about having conversations with your data, using AI as your trusty sidekick, and wowing your
audience with personalized experiences.

The road ahead for marketing analytics is looking pretty darn sunny, that's for sure. But handling and digging through all that marketing data can be
a real head-scratcher.

That's where marketing analytics tools step in. When you bring a robust, no-fuss platform like DiGGrowth into the mix, it can seriously supercharge
your marketing analytics game and hand you some game-changing insights that'll steer you straight toward success.

Here's what you can do with DiGGrowth
Accurately Measure Return on Marketing Investmen
Easily Integrate Multiple Platform
Standardize & Enrich Campaign Dat
Measure Marketing Effectiveness Down to the Keyword-Leve
Get a 360° View of Marketing Touchpoint
Lead to Account Matching in Salesforce
The Bottom Line

23
Because there’s ZERO upfront cos
Because you get a FREE assessment & implementatio
Because you pay ONLY once you love what you see
 
The platform also comes with a mighty plus one - a team of marketing science experts to make it as simple as ‘plug-and-play’ for you.

You've got to see it to believe it. Get a 1:1 demo for DiGGrowth to explore how you can unlock the full potential of your marketing data, paving the way
for greater marketing success and growth.
Why It’s Easy to Choose DiGGrowth?
Explore DiGGrowth For Free

This report uses references and data from the following sources:

Web FX, Business2Community, Ascend2, Adverity, McKinsey & Company, OpenSense Labs, Datastax,

American Marketing Association, Nielsen, Small Business Association
+1 425 389 6118
info@DiGGrowth.com
8425 NE 22nd Pl, Clyde Hill, WA 98004
www.diggrowth.com
Feel Free to Contact us

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