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A recent article in AdAge tackles a question that most brand-marketing executives are probably asking: How much of my budget should I be spending on data? Data is important because it could be a brand’s customer-service tool. Data, if used correctly, helps marketers identify and then target the most relevant audiences, increasing online marketing’s ROI. AdAge columnist Jason Del Rey expects the spend on data to increase going forward.
The best data investments should stretch budgets, not necessarily add to them. But here’s some guidance: if you’re launching a broad, awareness-driving campaign, data may not be your first tactic. On the other hand, if you’re trying to drive sales or purchase consideration, you should often be looking to more data-centric plans, combining both first- and third-party information where possible. “I think you’d be hard-pressed to find savvy marketers that aren’t spending 10 percent, 15 percent, 20 percent of their budgets on data-driven plans,” said Jordan Bitterman, senior vp of social marketing practice director at Digitas. Expect that number to only grow going forward.
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