How can Behavioral marketing reshape the marketing strategy?
Many marketers are busy scratching their heads for trailing out a successful marketing strategy which can help them to get connected with consumers and provide them the exact product they have been searching for. In the marketing world, this is something tough to achieve as each day new marketers are joining the race’ and spending huge amounts for building the best marketing campaigns. Well, to win this race there a technique called “Behavioral marketing” that can help the majority marketers to build a platform that is better target-oriented and equipped with the right messages that resonate with appropriate prospects and customers.
What is “Behavioral marketing”?
Behavioral marketing is purely based on the actual behavior of your audience on websites and not the content of the pages visited previously. Behavioral marketing includes tracking of the customer’s activities from the initial stage to the final purchase stage on your website. There are various tools available in the market like web analytics, heat maps, and user recordings that can generate great amounts of insights that rely on the activities of your visitors and can be used to build a strong customer-oriented marketing campaigns/advertisements.
Behavioral marketing helps in delivering appropriate advertising messages as per the consumer’s interest. A full user profile is created that reveals the consumer’s likes, dislikes, and purchases by tracking the web searches, purchase histories, frequently visited websites and other information. Using these points companies can formulate ads that are relevant or appealing to their preferences and needs.
According to a survey, 45% of shoppers find Behavioral Marketing beneficial and prefer shopping from the recommendations, 57% also wouldn’t mind giving personal information if they get certain benefits through it. On the other hand, 59% of online shoppers believe that more interesting products can be found through personalized online store and 56% return to the website that give personalized recommendations.
How useful is Behavioral Marketing/Benefits of Behavioral marketing?
Behavioral marketing reduces your work as a marketer and helps you reach customers at the times when they are in desperate need of an item or product. There are many benefits of behavioral advertising that an advertiser can get, let’s go through some of them:
- Understanding Customers: Behavioral marketing helps understanding customers on the basis of how they behave online and also offers marketers a great chance of success as they are able to recommend the services and products the customers may truly want presently or in future
- Relevant content: Audience tends to get irritated if they receive irrelevant content but through behavioral marketing, the digital and ad content is generated on the basis of their behavior on a website so that it creates a positive experience for customers and they won’t get a feeling of being scammed.
- Efficient use of resources: The resources spent on the ads as well as the messages/emails are efficient as it is purely target-oriented that gives a higher chance of eliciting a positive response.
- High ROI: This type of marketing offers good returns on your investment because there is relevant content along with target-oriented recommendations which can generate better CTR (click-through rate) turning them into sales giving out more profits. About 59% of online marketers are getting good ROI after personalization. Personalized ads have 10 times higher CTR (click-through rate) as compared to traditional ad display.
- Build offers and rewards: Behavioural marketing helps in identifying consumer patterns and interests which can be used to build additional offers and rewards that are crafted around their interests
How Does Behavioral Marketing work?
Personalized and profitable experience for customers is created by using Behavioral Marketing. The data collected plays a vital role in creating such an experience. The data collection is done in the following ways:
- Cookies: When a user visits a particular website or creates an account the data is collected through the cookies that are placed temporarily on a local memory drive or permanently in the hard drive of the computer.
- Creating a user profile: The stored cookies help to create a user profile on the basis of the data obtained through the new page visited, ad clicks, and time spent. Also depending on the consumer’s shopping data and search habits, behavioral patterns can be formed.
- Consumer groups: Different target groups are created on the basis of the created profile and patterns so that marketers are aware of each member’s purchasing trends, interests, likes, and dislikes.
- Sharing relevant information: The data collected helps in creating and sharing relevant information for the consumers.
Companies using Behavioral marketing strategy
This type of marketing strategy is more often used by many companies:
- Amazon: The basic form of behavior marketing is seen on Amazon, if you are a regular customer then you will receive recommendations that are totally dependent on your previous searches.
- Expedia: It targets the last minute travels looking out for a great travel deals
- Walmart: The multinational retail corporation which operates a chain of hypermarkets, discount department stores, and grocery stores also uses this marketing strategy.
- Facebook: More and more brands are creating ads that appear on popular social pages like Facebook which helps marketers to bring their previous readers or viewers back to their site which offers them something they were searching for and make the purchase.
Thus, Behavioral marketing can definitely re-shape the entire marketing strategy by enabling data management and behavior-tracking which helps companies to advertise online in an innovative way. Also, the consumers get a browser filled with ads that speak their interests which encourages customers to make the right purchase. If you need additional information about the intricate details of behavioral targeting strategies, look no further and contact CanisHub. We are happy to help you and build strategies that can benefit your company.