Database: Data Prep
To accomplish that bigger goal, marketers must obtain additional attitudinal and behavioral data and then create accurate profiles for each individual. The most precise data is the self-reported information obtained from the customer. In past years, companies have offered different incentives to customers, as well as prospects, willing to fill out surveys and tell more about themselves. This approach is very costly, especially at the prospect level. The level of granular consumer data has eclipsed itself in the last five years, and it will continue to do so in the years ahead. The most prevalent examples are: age, income, assets, home values and Internet transaction behavior.
This deeper level of insight on individuals, integrated with less granular lifestyle/stage and attitudinal data plus the interactions of these variables, enables the expert database marketer to get very close to highly relevant, personalized marketing. One of the first steps in developing such customized campaigns is to determine the segmentation level you need for your campaign. The spectrum of options varies from a basic gender- and location-based segmentation all the way to full profile-based personalization. For example, cell phone companies may be satisfied with the customer's age and marital status to determine which plan to offer, while a cruise ship company would like to learn more about the individual's wine preferences, preferred sports and previous travel destinations in order to optimize the package offered.
To accomplish the best results for your campaign, you need to start with the product definition and characteristics. Recognizing the selling features of your product, or set of products, and to whom they may best appeal helps you select the type of information you would look for in your customer profile. In the example of the cruise company, certain travel packages offer more on-shore time including shopping and golfing, while other packages offer mostly on-deck activities including gambling, shows and other entertainment. Learning the individual's preferences is a key factor in creating a personalized campaign for the cruise company. Based on the individual's hobbies and known touchpoint attributes, the right package with the right creative approach will be presented to the right person with higher probability of generating interest and converting to a sale.