Table of Contents
- INTRODUCTION
- PROJECT OBJECTIVE
- PROJECT SCOPE
- LITERATURE REVIEW
- Introduction
- Role of marketing analytics in making managerial decision in an efficient manner
- Importance of marketing analytics in making effective managerial decision for modern startups
- Recommending the use of marketing analytical tools for making effective decision
- CONCLUSION
- REFERENCES
INTRODUCTION
Marketing analytics is comprised of the processes as well as technologies which enable marketing in evaluating their marketing initiative success. This can be accomplished by measuring performance like social media marketing versus channel communications versus blogging, etc. Furthermore, marketing analytics utilizes essential business metrics like return on investment, marketing attribution as well as overall marketing effectiveness. It means to say that how the marketing programs of a firm are really performing (Germann, Lilien and Rangaswamy, 2013).
Moreover, marketing analytics plays an important role during practical decision making of modern startups. The reason is that these days company is marketing has become the most vitaltool for promoting the businesses and for that aspect; the company has to identify effective marketing tool for promoting their business, and this can be done using marketing analytics (Bertolucci, 2012). For this research, Apple Company has been taken which is planning to open up its operating branch in Australia. Furthermore, in thisreport, the critical literature review has been done on the role and importance of marketing analytics which helps in making efficient decisions for new startups. Here the reviews of various literature and authors have been taken to recognize the role played by marketing analytics in the success of a modern business (Marketing Analytics, 2017). On the contrary, there are some of the authors who have criticized its importance as per their view points. Therefore, by reviewing its roles and importance, a business can make the best utilization of marketing analytics in their new start-ups.
PROJECT OBJECTIVE
- To assess the role of Marketing Analytics to make efficient managerial decision in modern startups.
- To analyze the importance of Marketing Analytics in making an efficient managerial decision for new startups.
- To recommend the usage of marketing analytical tools to make the efficient decision for modern startups.
PROJECT SCOPE
This research project has been done for the identification of the role and importance of marketing analytics. After analyzing the roles and importance of marketing analytics, it can be assessed that this project report has wider scope in the market (Owyang and et al., 2010).The reason is that every company uses marketing tools and techniques to promote their business. Therefore, they require effective decision making for the use of appropriate marketing tools and that can be done using marketing analytics. With the help of this project report, the other companies can come to know about their importance and its usage which will be helpful for them during decision making of marketing tactics. Thus, this report has the wider scope and can be utilized by every company dealing in various products and services.
LITERATURE REVIEW
Introduction
Literature review is evaluative reportof information which is founded in the literature in the relative of the desired area of study. Furthermore, it is necessary that review of the literature must demonstrate, summarize, clarify and evaluate the literature. Moreover, literature review gives the theoretical base to the research projects and help the researcher in determining the nature of the research which is about to get conduct. Therefore, in the present report, the literature review has been done to provide a theoretical base to the research which has been going to take the place of the research and that the investigation builds on the review of various authors.
Moreover, the literature reviewsabout marketing analytics have been done where views of various authors have been taken who have already conducted their research in the similar area of the subject. Thus, it provides the insight about the relevant topic to determine their importance for the further research.
Role of marketing analytics in making managerial decision in an efficient manner
According to Owyang and Lovett, 2010 analytics refers to as the usage of skills sets, technologies and practices to explore and investigate past performance. The author defines that marketing analytics have been considered as the blend of art and science and it is the foundation for the modern start-ups so that they can learn about the performance of their marketing campaigns. Furthermore, Kaufmann, 2012 described that some of the industries had considered marketing analytics as the leaders when they describe the role which is played by the marketing analytics for their brands. In other words, Brown and Wang, 2012 stated that most of the marketing organizations are analytics driven because this technique is at the heart of how the marketing organization carries out their work. Several organizations rely upon the analytics in order validate the efforts of the firm and to show accountability to their organization.
On the contrary, Verbraken, Lessmann and Baesens, 2012 strongly criticized the role played by marketing analytics to provide the reviews which are not in favor of marketing analytics. Furthermore, the author stated that always a marketer will face the challenge of establishing the value and relevance to the organizations for which they serve and also sometimes reluctantly agree to the point that analytics provides compelling proof of their contribution (Verbraken, Lessmann and Baesens, 2012. However, the reality is far different from which the marketer has thought of. Furthermore, Grigsby, 2015 also supported to the point and defined that more than 700 company’s president, CEOs, marketing directors and brand managers on the status of marketing analytics in their firm. Through this, they have reached the conclusion of five points and have demonstrated that they are trying to avoid analytics unless required, they are searching for the best way to starting, they are experimenting for identifying best set of analytics, there are various meaningful analytics; however, their visibility is very low, and at the same time there is much useful analytics available, and they are visible throughout the organization. Thus, it has been identified that in the modern era of marketing, over a third of companies are searching and tracking for meaningful analytics to carry out their marketing activities.
In contrast with the above-stated description, Bertolucci, 2012 argued that, in modern business, the importance of marketing analytics has been increased and along with that many marketers search for descriptive and predictive analytics. The importance of these two analytics has gained great popularity because of its advancement in computing technology. Furthermore, these tools can create easy reports and can summarize the analytical results which at the end help the decision maker readily understand the findings and their implications. Because of its nature, marketing analytics is the most helpful tool for taking effective managerial decisions in modern startups. Such as Apple Company in Australia need this tool in order to compare the performance measures of various marketing activities. Through this the firm can analyze its marketing performance in the market and its progress can be judged accordingly.
Importance of marketing analytics in making efficient managerial decision for modern startups
It has been identified from the above points that marketing analytics is the set of skills which are used by marketers, especially modern marketers to identify the marketingperformance of their company. Therefore, its importance is increasing day by day and through this marketing performance can be made better. According to the viewpoints of Järvinen and Karjaluoto, 2015 marketing analytics has been considered as the most effective tool through which a company can market their brand or products or services in a most efficient manner. Furthermore, this tool helps the managers in taking out decision regarding the marketing of products and services. Moreover, modern businesses are making best usage of this tool to promote their business at a high pace (Järvinen and Karjaluoto, 2015).
Further, Chaffey and Patron 2012 supported this point and commented that analytical tools are very essential for marketing of brands and products because it helps the marketers to know that how their marketing activities are performing. Through this, they can come to know about the progress of their marketing activities. In the case of marketing tactics are not performing in a better manner then they can take the alternate decision on time. This will help the marketer in changing marketing activities at the right time. Moreover, Germann, Lilien and Rangaswamy(2013) also commented that marketing analytics also plays a major role in identifying the competitor’s activities. Through this marketers can come to know where and how competitors are investing time and other resources. This way, they can take managerial decisions accordingly. Along with that, this tool is also considered as important because it provides an insight to the marketer on how marketing activities will perform in the long term. By using this, marketers can assess the success of their marketing decisions and how it will affect the company in the long run.
On the contrary, Wedel and Kannan, 2016 argued that marketing analytics are not always considered as the best tool for taking managerial decisions for modern startups (Wedel and Kannan, 2016). There are various cons which prove that marketing analytical tool considers flaws in it.Owyang and et al., 2010 stated that when the marketer misidentify the market needs, then analytical tools are no longer considered as the effective tool for taking managerial decisions. Furthermore, marketing analysis tool will give an insight into the overall market growth which will give the little idea to the managers about the range of opportunities lying. However, this analysis tool will not inform about the market share and his may lead to vulnerability. Thus, this tool does not provide accurate information and due to which disasters can happen.
On the other hand, Kaufmann, 2012 also argued in support of marketing analytics that in a modern era importance of marketing analytics is increasing at faster pace. Although it has some disadvantages but advantages of the tool layoffs all the cons from it. Through this tool, a marketer can set priorities of marketing which can be helpful for the modern startups to concentrate more on those activities which are prior and can promote their business most effectively. Furthermore, Grigsby, 2015 also stated thatthis tool is more future focused and due to which long term planning can be done. Along with that, this tool also helps the marketer in taking the further decision about their marketing activities. This links all the marketing decisions which assist in making further decisions by looking into former decisions.
Thus, it can be concluded that marketing analytical tool is highly important for the marketer in carrying out marketing activities. It is because, by using this tool, marketing decisions can be taken in a more efficient manner which helps the marketers in effectively promoting their business. Moreover, this can be considered as an essential tool for the modern start-ups because, with the help of this tool, they can market their business in an easier manner which will aid them to grow in the market.
For this aspect, two companies can be compared, one which is using marketing analytics and the other which is not using marketing analytics. Apple is using marketing analytics and through this, it can measure the performance of various marketing tools and by measuring it can identify the best tool or medium for marketing its brand. However, the other firm is Austar which is a telecommunication company of Australia and it does not use marketing analytics for its services. Thus, it cannot find out which is the most effective marketing tactics or activities through which it can do string marketing of its product and services. Hence, the firm which uses marketing analytics would stay ahead in the competition because it knows which marketing tool will benefit them in doing marketing of their brand in an efficient manner.
Recommending the use of marketing analytical tools for making efficient decision
From the above discussion, it can assess that marketing analytic has been considered as the most useful tool for carrying out the marketing activities in an efficient manner (Marketing Analytics - Success through Analysis, 2017). Furthermore, this tool can also provide insights into the future through which a firm can do long term planning. Therefore, some of the recommendations can be made so that modern startup companies can make the best utilization of this tool for assessing the success of their marketing activities.
- A firm must understand the market needs and then develop their plan accordingly using analytical tools.
- It is important for the marketer to develop a marketing plan on an early basis and similarly, they must socialize it early so that they can stay ahead of competitors. This can be done using analytical tools which will help them in identifying the opportunities.
- Furthermore, the marketer must make sure that they track and adjust their activities in real time so that they can stay ahead in the market against their competitors (Wedel and Kannan, 2016).
- Most important recommendations which can be made to the modern marketers that they must communicate more and more to avoid confusions during analysis of marketing data.
These are some of the ways through which marketing analytical tools can be best utilized by the modern startups, and through this, they can achieve heights in their business.
CONCLUSION
From the above report, it can be concluded that there are distinct views of various authors on marketing analytics. But they think marketing analytics is critical for making a marketing program a big success. However, authors aren't saying that it should get replaced with web analytics. Moreover, it has been assessed that this tool is playing a vital role in making efficient managerial decisions for the modern start-ups. This tool helps the company in identifying the best opportunities prevailing in the market and how they can grab them to achieve greater success. Furthermore, it also assesses the company in measuring the performance of various marketing activities so that they can set priorities accordingly.
Moreover, this tool is essential in carrying out marketing activities efficiently and smoothly. However, few authors have strongly criticized this tool because it can also mislead the marketer if not utilized properly and this can lead to a disaster for the company. Therefore, for that reason, some of the recommendations have been made to make the best utilization of this tool by the modern marketers and hence, it would help them in taking efficient marketing decisions.
References
Journals and Books
Germann, F., Lilien, G.L. and Rangaswamy, A., 2013. Performance implications of deploying marketing analytics. International Journal of Research in Marketing, 30(2), pp.114-128.
Wedel, M. and Kannan, P.K., 2016. Marketing analytics for data-rich environments. Journal of Marketing, 80(6), pp.97-121.
Owyang, J. and et.al., 2010. Social marketing analytics: A new framework for measuring results in social media. San Mateo, CA: Altimeter Group.
Owyang, J. and Lovett, J., 2010. Social marketing analytics. Retrieved on March, 1, p.2012.
Kaufmann, M.A., 2012. Inductive fuzzy classification in marketing analytics. Bern: Ruf.
Brown, C. and Wang, Z., 2012. Internet Marketing Analytics System. U.S. Patent Application 13/691,564.
Verbraken, T., Lessmann, S. and Baesens, B., 2012, December. Toward profit-driven churn modeling with predictive marketing analytics. In Cloud Computing and Analytics: Innovations in E-business Services. Workshop on E-Business (WEB2012).
Grigsby, M., 2015. Marketing analytics: A practical guide to real marketing science. Kogan Page Publishers.
Bertolucci, J., 2012. Marketing Analytics: how to start without Data Scientists. InformationWeek http://www. informationweek. com/bigdata/news/big-data-analytics/marketinganalytics-how-to-startwithout-datascientists/240142289, 12.
Järvinen, J. and Karjaluoto, H., 2015. The use of Web analytics for digital marketing performance measurement. Industrial Marketing Management, 50, pp.117-127.
Chaffey, D. and Patron, M., 2012. From web analytics to digital marketing optimization: Increasing the commercial value of digital analytics. Journal of Direct, Data and Digital Marketing Practice, 14(1), pp.30-45.
Online
Marketing Analytics - Success Through Analysis. 2017. [Online]. Available through < http://www.wordstream.com/marketing-analytics>. [Accessed on 20th August, 2017].
Marketing Analytics. 2017. [Online]. Available through . [Accessed on 20th August, 2017].