Marketing database allows you to make use of the customer databases and generate a list of targeted customers for the purpose of direct marketing. The databases consist of names, addresses, contact numbers, purchase histories, e-mails, and other data of the customers.
Though building a marketing database is not an easy task and may be daunting. A good database can be built initially, but can never be completed as it always needs to be updated.
Be clear with your objectives:
The main reason behind failure in the database projects is the undefined goals. When you are going to work with a database project, it is very much essential that you clearly define your objectives before getting committed.
In the beginning, review and document your plans to see what kind of database you need? If your database needs to support both loyalty programs and direct response, you may need to change the approach.
Therefore, be sure about the support system. Check the standard approach and queries of your current system, and review them.
Data standardization:
Creating a marketing database is a daunting task, but it also provides the greatest opportunities. Standardize your data as much as possible, because inconsistent data will complicate your queries and lead your team to confusion.
There are several categories of standardizing data: coded fields, summarized coded fields, common output structures and standard address.
Each of the categories comes with different features. Go through the business database for further details. Take steps according to your requirement and do not try to use any sets excessively as it may mislead your goals.
Keep it simple:
Do not try to do too much with your database, as it may complicate things, according to the old principle. In case you are creating your first database, a star with something small, set achievable goals and support only one marketing program.
A big database may get complicated easily, and you may lose your opportunities. A database takes about 12 weeks to complete, so build a realistic timeline.
Do not take any shortcuts; as a result, may not be fruitful. Choose a good database designer and express your doubts to get the required data.
Build an effective budget:
After you are done with defining your expectation, building a budget will be much easier. Clearly specify the volume of the database to be used. Check the number of gross customers, incorporated into your marketing database.
Including both orders and products, check the records of transactions. Be clear with how many times you are going to update your database. Go through your interest during data enhancements.
For online access, contact your team for a decision and what type of support you are in need of the representatives. Document all the mentioned factors and try to build an accurate budget.
Measurements:
One of the primary objectives must be keeping your project cost-effective. For cost reductions, try to be more selective for renting the names of the prospects that are to be included in your database.
To reduce the promotional cost, you can eliminate the unresponsive names by utilizing segmentation strategies, predictive modeling and profile data. You can mail to the responsive customers more frequently, compared to others.
Conclusion:
In order to make things work properly, try to collect adequate and appropriate information. Be punctual with your decisions and try to be responsive. The field is very much dynamic; therefore, try to take advantage of the changes that take place in the environment of the customers.
Build a loyal team and be cooperative with them. Try to award them to keep them focused. Gather as much knowledge as possible if you are a beginner and before taking decisions, try to think about the consequences.