What Your Business Stands to Gain from Using Predictive Analytics for Sales and Marketing Functions
Predictive analytics is a tool used in various areas in managing businesses. Among the areas of impact that can be influenced by the use of this statistical tool is the sales and marketing function. The analytical tool analyzes large chunks of data to produce accurate predictions of potential customers and future course of action. There are multiple benefits that an enterprise can gain from using predictive analytics in sales and marketing. Some of the advantages your business stands to gain from the use of predictive analytics in the sales and marketing department are provided in this article.
It is possible to achieve optimized marketing campaigns from the use of predictive analytics. It is unlikely to get regular marketing campaigns to focus their strategy on a small group of customers whose chances of purchasing the products are almost obvious. However, predictive analytics help the marketing department to define the target audience in precise terms including what they are buying and how much they spend. Such information can help the marketing department come up with personalized plans to help bring on board these potential customers. A business gain thus gain more results from such personalized marketing plans.
It is possible to save a lot of time from using predictive analytics in marketing. Sales representatives will only spend their time and energy on those customers who indicate the highest chances of purchasing the products being promoted. Time can be spent in enhancing the products and improving other facets of the business other than draining off to people who are not interested in the product.
The use of predictive analytics is cost-effective. Money is spent on marketing campaign starts are likely to result in actual conversion into customers from potential customers. A business can achieve reduced costs by applying these tool in marketing and can use such funds for other activities.
A business can also use predictive analytics to maintain its current customers. It takes less for business to retain its current customer must learn to acquire new ones. Maintaining current customers requires marketers to ensure that the customers continue to receive the utility that drew them to the product in the first place. The use of predictive analysis can be helpful in retaining customers through the prediction what customers want and finding out what may have caused others to leave, thus taking the initiative to retain those who are the current customers. Any potential risks that can lead to customer loss are also pointed out.