Analysis Cited as the Top Data Headache
Where do U.S. marketers stand in terms of data sophistication?
They lead their global counterparts in technical knowledge, but are fristrated in some other areas, according to a new survey by Alterian.
Asked to reveal their biggest direct marketing headache, 57% of the U.S. marketers cited customer insight and analysis, compared with slightly lesser percentages overseas.
But only 41% of the U.S. execs were worried about data hygiene, vs. 53% in the United Kingdom and European Union and 45% around the globe.
Why the U.S. advantage?
“Firms like Acxiom and Experian have invested heavily in the data hygiene process, and we’re seeing the fruits of that investment,” says David Eldridge, CEO of Alterian. “In the U.K., we’re not at that level of investment, although some of that U.S. technology is now coming to the U.K.”
That’s supported by the fact that 58% of all U.K. and EU vendors also see data hygiene as a headache. In the U.S., the number is 37%.
Another problem for U.S. marketers was data and list purchasing. It was cited by 41%, vs. 32% for the U.K. and EU firms and 37% for the global outfits.
How that can be when the U.S. has such a robust list and data industry?
“The headache is brought on by data volume,” Eldridge explains. “The North American market has physically larger lists with more consumers and businesses to select from. And to compound the problem, there are more lists in general and companies who maintain, rent, broker or resell them.”
Why is this a problem?
“The variety of choice makes the selection process more complicated,” Eldridge continues. “In response, list and data sales organizations are now upgrading their technology so that while data volume grows, so does marketing insight.” Meanwhile, U.S. marketers seemed to lead the pack in technical knowledge, with 47% saying they are “extremely technically aware.” Only 14% stated that their awareness and interest “does not stretch beyond Microsoft office.”
In contrast, only 28% of the U.K. and EU responders claimed they were extremely technically aware. The number was 39% for the global firms.
And U.S. marketers are more likely to use the technology at their disposal. Only 39% said that they did not use a variety of tools to their best advantage, compared with 54% in the U.K. and EU and 45% worldwide.
Who’s in charge of marketing technology in companies? The marketing departments themselves for 52% of the EU responders. That number drops to 45% globally and 41% in the U.S. American firms are slightly more likely to outsource it or to assign it to other internal departments.
Meanwhile, more than half the people polled by Alterian worldwide said technology is most valuable when it enables them to analyze, visualize and segment customer data. Roughly a quarter cited chores like campaign management and data generation.
The survey also found that 62% of all respondents expect to increase their marketing expenditures, excluding printing and postage, during the next 12 months. Another 28% said they will remain static. Only 5% predicted a decrease.
For this survey, Alterian polled 687 individuals, including 292 marketers and 395 service providers. Included were 392 U.S. participants who were surveyed in person at DMA05 last October.
Alterian provides a variety of analytic and performance measurement tools, working through over 60 vendors worldwide.
