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Introduction to Marketing Analytics

Pacmann X Edufund

Sat, Nov 4th 2023

© 2023 – Pacmann AI

pacmann.io

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Harumi Nimas Koentono

Working Experiences (latest three):

  • 2023 Head of Marketing at Pacmann &Valiance
  • 2022 Sr. Corporate Strategist at Pacmann
  • 2022 Head of Sekolah Bisnis at Pacmann

Projects in Business & Data Science (latest three):

  • 2021 Impact Assessment on Sustainable Corporate Activities for Astra Agro � Lestari
  • 2020 Belmawadikti Impact Evaluation Study 2020 for Kementerian Riset dan

Pendidikan Tinggi RI

  • 2019 SDG 4 Monitoring Report 2019 Development for UNICEF & Kementerian

Pendidikan dan Kebudayaan RI

Speakers in Business & Data Science (latest three):

  • 2023 Introduction to Data Science for Economists, Universitas Padjadjaran
  • 2022 Intro to Data Science in Practice: An Industry Perspective, Universitas

Padjadjaran

Education Background:

  • Bachelor of Economics, Universitas Padjadjaran

2

Data Education

www.pacmann.io

Head of Marketing at Pacmann & Valiance

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Marketing in Modern World

Then

  • Data usage:

Limited, less personalization, historical data

  • Channels:

Print media, broadcast media, outdoor ads, in-person events

  • Approaches:�Interruption-based, limited interactivity, mass marketing

Now

  • Data usage:

Big, personalized, real-time data

  • Channels:

Social media, website, search engines, email, mobile, online events

  • Approaches:

Inbound marketing, engagement & interaction, personalization, content marketing

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Marketing in Modern World

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Digital Marketing

Digital Ad. Worldwide Spending

(Hendrix et al. 2021)

refers to advertising campaigns that appear on a computer, phone, tablet, or other electronic device with the goals of promoting goods and services, reaching customers,

and learning about their behavior. It is also known as Online Marketing.

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Marketing in Modern World

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Marketing Communication Channels

~ in Digital Marketing ~

A marketing communication channel, often called a media channel, is a channel a company employs to communicate its marketing messages.

“ Organic ” Channels

“ Paid ” Channels

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Marketing in Modern World

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“ Organic ” Channels

Channels made available for free usage by businesses.

include

  • Email marketing
  • Search Engine Optimization (SEO)
  • Organic social media marketing
  • Digital PR, & others.

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Marketing in Modern World

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“ Organic ” Channels

Channels made available for free usage by businesses.

such as

  • Email Marketing

Email marketing is an effective advertising platform that utilizes email to promote your company's goods or services.

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“ Organic ” Channels

Channels made available for free usage by businesses.

such as

  • Search Engine Optimization (SEO)

Search engine optimization is a set

of technical procedures designed to enhance the content and structure

of your website and boost traffic to it.

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Channels made available for free usage by businesses.

such as

“ Organic ” Channels

  • Organic Social Media Marketing

Organic social media marketing is a type of advertising on social media that goes on without using any of a specific marketing budget.

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“ Organic ” Channels

Channels made available for free usage by businesses.

such as

  • Digital PR

Digital public relation refers to marketing campaigns that build connections with audiences through digital media, such as being a guest in a podcast & speaking

at virtual events. By doing this, you are taking advantage of the organic audiences of other businesses instead of entirely depending on your own.

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“ Paid ” Channels

Channels that are paid on a pay-per click basis for each visit to a company’s app or website.

include

  • Display ads
  • Social media ads
  • Search Engine Marketing (SEM)
  • Retargeting ads, & others.

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“ Paid ” Channels

Channels that are paid on a pay-per click basis for each visit to a company’s app or website.

such as

  • Display Ads

Display advertising is a type of online promotion that combines text, images, and URLs to direct viewers to websites, apps, and social media platforms using banner ads and other visual ad formats so that viewers can discover more about the product or make a purchase.

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Marketing in Modern World

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“ Paid ” Channels

Channels that are paid on a pay-per click basis for each visit to a company’s app or website.

such as

  • Social Media Ads

Social media advertising is a type of digital advertising that uses social media sites like Facebook, Twitter, Instagram, and LinkedIn to deliver paid adverts

to company’s target audience.

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“ Paid ” Channels

Channels that are paid on a pay-per click basis for each visit to a company’s app or website.

such as

  • Search Engine Marketing (SEM)

SEM is a type of internet marketing that helps businesses' content rank higher among search engine traffic and involves buying traffic from search engines like

Google in order to boost a company’s website

exposure on search engine results pages.

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“ Paid ” Channels

Channels that are paid on a pay-per click basis for each visit to a company’s app or website.

such as

  • Retargeting Ads

Retargeting ad, also referred to as remarketing,

is a type of advertisement that appears to audiences

who have visited your website so that they will see your website or brand ads again even if they switch

to another website.

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Marketing in Modern World

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Modern Marketing

Marketing Analytics

  • Marketing strategy
  • Promotional efforts
  • Marketing funnels
  • Marketing channels: �digital & non digital
  • Metrics
  • ROI of marketing efforts
  • Identify opportunities
  • Improve marketing performance

Data

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The Fundamentals: Data, Methods, Tools

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The data used in marketing

Demographic Data

Psychographic Data

Geographic Data

Behavioral Data

Firmographic Data

Transaction Data

Social Media Data

Web Analytics Data

Email Marketing Data

Survey Data

Competitive Data

Customer Feedback and Reviews

Customer Feedback and Reviews

Market Research Data:

By type:

By source:

Competitive Data

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Marketing Analytics Data Credibility

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The marketing analysis process must have both integrity and credibility, thus the entire organization will have trust in the process and the decisions.

An organization should have a method or procedure in place for assuring data quality or cleaning the data because it will affect the analytics, campaigns, users, or other systems that depend on it.

Clean data refers to a dataset that is accurate and consistent and contains data that is needed to measure a certain measurement, so that the data can generate accurate and useful information.

Marketing Analytics

Clean Data

Meaningful Information

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Analytics and Decisions Making

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Marketing Analytics

Clean Data

Meaningful Information

Better Decisions

Data from a marketing analytics process should contribute to making better decisions.

The data that has been gathered and examined enables marketers to decide more effectively how to optimize campaigns, enhance the customer experience, and eventually raise the return on investment (ROI)

of their marketing expenditures.

Marketing analytics examine key performance indicators so that marketers can better understand campaign performance, consumer behavior, ROI of marketing material, or other insights, and they can make a better decisions, eliminate or at least lower the element of

guesswork in marketing strategy.

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Types of Marketing Analytics

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Descriptive Analytics

Predictive Analytics

Prescriptive Analytics

Diagnostic

Analytics

What happened?

What will happen?

How do we make it happen?

Why happened?

Hindsight

Insight

Foresight

Insight

Value

Complexity

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Common statistical techniques used in marketing analytics

Descriptive Statistics

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Common statistical techniques used in marketing analytics

Regression Analysis

(can be cross-sectional, time-series or panel)

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Common statistical techniques used in marketing analytics

Correlation Analysis

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Common statistical techniques used in marketing analytics

Hypothesis Testing:

e.g. A/B Testing

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Common statistical techniques used in marketing analytics

Cluster Analysis

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Common statistical techniques used in marketing analytics

ANOVA (Analysis of Variance)

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Common tools in Marketing Analytics

… and many more

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Benefit and Challenges

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Marketing Analytics Benefit

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1

3

4

5

Brand Recognition

Content

Channel Optimization

Customer Understanding

Predictive Intelligence

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Marketing Analytics Benefit

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1

3

4

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Brand Recognition

Content

Channel Optimization

Customer Understanding

Predictive Intelligence

Understand the sentiments that consumers have for and about your brand.

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Marketing Analytics Benefit

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2

1

3

4

5

Brand Recognition

Content

Channel Optimization

Customer Understanding

Predictive Intelligence

Identify which of your marketing materials get the most views, shares, and highest conversions.

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Marketing Analytics Benefit

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1

3

4

5

Brand Recognition

Content

Channel Optimization

Customer Understanding

Predictive Intelligence

To boost the performance

or invest only

in the best-performing channels, compare the performance of different marketing channels such as email or pay-per-click.

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Marketing Analytics Benefit

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2

1

3

4

5

Brand Recognition

Content

Channel Optimization

Customer Understanding

Predictive Intelligence

Learn more about the behavior of your customers to better understand their needs and preferences.

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Marketing Analytics Benefit

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2

1

3

4

5

Brand Recognition

Content

Channel Optimization

Customer Understanding

Predictive Intelligence

Predict which clients will buy what and at what time early on in the buying cycle.

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Marketing Analytics Challenges

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System or Infrastructure

Time or Staff

Knowledge or Expertise

ID [TRack Meaningful Analytics]

Executive [Management Support]

No Challenges

Marketing Team’s Buy-In

Marketing Challenges based on Survey

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Marketing Analytics Challenges

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“ System or Infrastructure “

The majority of the channels used by

the modern marketing company are digital,

and the campaigns and content that marketing produces are displayed on a multitude devices.

The problem posed by this environment is the large amount of analytical data (the volume and variety of data). Technology is vital

for the analytics initiative to collect

the data and interpret it.

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Marketing Analytics Challenges

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“ Time or Staff “

Numerous businesses don't have much time

for the analytics process since they are

too busy with other activities.

Implementing marketing analytics is also difficult due to staff shortages.

Many businesses deal with this issue.

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Marketing Analytics Challenges

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“ Knowledge or Expertise “

Technical skills, more precisely technology skills,

are becoming more and more important for

the modern marketer. Using software &

technology to its fullest potential is

quickly taking over as the most

important qualification for

marketing credentials.

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Marketing Analytics Challenges

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ID [TRack Meaningful Analytics]

Analytics processes need to be evaluated

to measure their effectiveness.

Metrics are involved in this process.

Finding relevant key metrics to use is always challenging for marketers. The process of identifying metrics must begin with

an understanding of the strategic objectives

that marketing is pursuing.

It adopts a top-down approach.

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Marketing Analytics Challenges

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Executive [Management Support]

Getting support and commitment from executive management is a challenge to implement marketing analytics as this activity requires a large amount of resources.

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Marketing Analytics Challenges

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No Challenges

6% of the companies surveyed claimed that implementing marketing analytics do not encountered any significant challenges.

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Marketing Analytics Challenges

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Marketing Team’s Buy-In

Another barrier to the implementation of

the analytics process is the marketing

team's partial support.

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Getting Started with Marketing Analytics

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Marketing Analytics Scenarios

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Type

Leadership

Operation

Funding

Decisions

None

Intuitive

Busy-ness

Negotiated political process

Educated guesses

Pseudo

Intuitive; analytics smokescreen

Busy-ness

Negotiated political process

Educated guesses

Real

Intuitive; analytics proof

Results

Based on business case

Informed by analytics

Scenario

No Analytics

Pseudo-Analytics

Real Analytics

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Marketing Analytics Process

The marketing analytics process is a continuous cycle of measure, analyze and improve.

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STEP 3

Take Improvement Actions

STEP 1

Identify Metrics

STEP 2

Analyze the Metrics

Marketing Analytics Process

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Marketing Analytics Process

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  • Identify the metrics that are the crucial inputs to the marketing analytics process.
  • The metrics that marketing uses must be carefully considered, with a focus on the most relevant ones.

STEP 1 : Identify Metrics

What

Guidelines

Focus on objectives

1

Measure effectiveness

3

Measure efficiency

2

Do you have access to reliable data?

Assess Your Abilities

Are you capable of extracting and processing the data?

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Marketing Analytics Process

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  • Collecting the data and converting it into useful information through examination and analysis.
  • Transform information into insights about how marketing’s progress toward accomplishing its goals.

STEP 2 : Analyze The Metrics

What

The Analysis Step

Understand the current state

1

Compare it to ideal state

2

Do root cause analysis to determine why there are differences

3

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Marketing Analytics Process

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  • Determine what actions and changes are most likely to yield improvement.
  • The range of potential improvement actions is limited only by the creativity of the team.

STEP 3 : Take Improvement Actions

What

How

Brainstorm all potential solutions.

1

Don’t dismiss any ideas in the beginning.

3

Narrow the list of candidate ideas down to the possible ones.

4

Select the improvement ideas that will most likely increase performance.

5

The marketing team might conduct A/B Testing to find a solution.

2

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Marketing Analytics Process

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Repeat The Three-Step Process

Although executing marketing analytics process will produce benefit, but the continuous use

will maximize its benefit.

The real advantages of analytics can only be realized through consistent and long-term execution of the process.

01

03

Repetition of the analytics process is necessary to produce consistent and sustained improvement.

02

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Marketing Analytics Use Cases

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Analyze

the present

Report on

the past

Predict

the future

Compare with competitors

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Conclusion

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Key Points:

  • Modern Marketing = bigger, plentier data
  • Modern Marketer has to be familiar with data, its analyses tools, & techniques!
  • Remember: garbage in, garbage out. Clean data is crucial!
  • Stats & maths you learned in uni are indeed useful ;)
  • Prepare yourself with a good sense of business & problem solving skills too

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THANK YOU!

pacmann.io

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Reference

pacmann.io

  • Hendrix, T. Ajie, F. T. Berliandaldo, M. (2021). The Outlook Digital Indoor Advertising in Mini-Market Using Techno Economy Analysis: Implementation in Indonesia. ASEAN Marketing Journal. Vol 8. No. 1. pg. 86-101.
  • Kotler, P. and Keller, K. L. (2012). Marketing Management. 14th Edition. Upper Saddle River, N.J.: Prentice Hall.
  • Makosiewicz, Mateusz. (2022). Marketing Analytics: The Simple Guide. Retrieved from https://ahrefs.com/blog/marketing-analytics/
  • Rackley, Jerry. (2015). Marketing Analytics Roadmap: Methods, Metrics, and Tools. New York: Apress.
  • Viglia, Giampaolo. (2014). Pricing, Online Marketing Behavior, and Analytics. New York: Palgrave Macmillan.

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PT Algoritma Cerdas Indonesia

Office

Jl. Benda Atas No.47, RW.6, Cilandak Tim., Kec. Ps. Minggu, Kota Jakarta Selatan, Daerah Khusus Ibukota Jakarta 12560

Email

business@pacmannai.com

Phone

+6281362613775

Website

www.pacmann.io

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