In my previous post, I talked about “Why Select A Predictive Marketing Solution“. Once you are convinced of the benefits of applying predictive marketing, the next logical question is “how do I implement it”?
If any of the following ring true, it might mean that you need predictive marketing – here’s why:
Predictive marketing creates funnel efficiency
– Often marketing is generating too many leads to keep track of, or too many marketing-qualified leads (MQLs) for business development reps (BDRs) to follow up on, which wastes marketing dollars. For example, if your BDR team can only reach out to 50% of the MQLs you generate, you can create half as many MQLs and still keep them busy. But if you put a machine between MQLs from marketing and the BDRs, they could select the best fit leads and create more opportunities for sales. This machine is predictive marketing.
Predictive marketing increases lead velocity
– Some marketers struggle to get leads through the funnel quickly. If they can’t qualify leads fast enough, information you’ve gathered can become obsolete. Every 12 weeks, 15-25% of the leads in your funnel become invalid – people change titles, emails, positions or companies. So higher velocity allows you to get more value from the same marketing database. Predictive marketing can shortcut the best leads through the funnel quickly, giving them higher priority in every step of the way.
Predictive marketing officiates data cleansing/filtering
– Marketers collect many leads over long periods of time. This causes marketing databases to grow to millions of leads. Are there really 12 million qualified buyers for your products or services? Probably not. But how do you know which leads to keep and which to discard?
Data validation solutions offer a partial answer, by discarding ‘Mickey Mouse’ and ‘Michael Jordan’ from your database, removing bad emails or invalid phone numbers. However, these typically account for less than 25% of your data. Predictive marketing can predict which 30% of your database contains 95% of your eventual wins. So, you can discard 70% of your data instead of only 25%, and focus on the leads that really matter.
Predictive marketing means smarter segmentation based on data
– As marketers create buyer personas and understand that most B2B decisions are made by groups, they find they have no idea which lead matches with the various personas. So what do you do? Most likely, you keep changing content pieces between different usage profiles hoping one will stick. Predictive marketing solves this problem by segmenting the buyers, matching each lead to a distinct persona and adding the needed information to your data (in your marketing automation or CRM). This data-driven approach allows you to run smarter marketing campaigns and learn more about what drives your customers.
Predictive marketing aggregates data for effective cross-sell and up-sell
– Predictive models can address your current customers as well as new prospects. It allows you to build models for different upsell and cross-sell activities, each with its unique characteristics based on not only behavioral data, but interest and deep company data that your predictive model was able to aggregate to let your sales team know who to cross-sell and up-sell to.
Predictive marketing provides context during green field discovery
– A significant part of marketing is not done in mature, well-defined markets. Sometimes new products are introduced, or new markets are tackled. In these cases you don’t have an abundance of past information and need to quickly get to the best buyers in this new space. Bootstrapping a marketing campaign is another important use-case for predictive marketing.
As B2B marketers, you have likely faced a combination of these scenarios.
The most important thing is to define your use case in detail and to articulate what is it that you are trying to solve, how that activity is done today, and what you expect from a predictive marketing solution. The more granular you get, the higher the likelihood you will achieve your goal, so investing effort in defining your goals is time well spent.
Check out the other posts in this 5 part series:
- Part 1: “Why Select A Predictive Marketing Solution?“
- Part 2: “How To Set Predictive Marketing Goals“
- Part 3: “5 Things To Do When Selecting A Predictive Marketing Vendor“
- Part 4: “Win The Marketing War: Get The Proof For Predictive Marketing“
- Part 5: “Marketing Mindfulness: 3 Critical Steps For A Successful Proof of Concept“