Quantium’s Tim Trumper cautions marketers to be wary of the dangers of poor or misleading data as they establish a data-driven marketing approach
Marketers increasingly adopting a data-driven approach should be wary of misleading or poor data, a leading analytics consultancy claims.
Speaking at the ad:tech event in Sydney on data disruption, advisor to Quantium’s board of directors, Tim Trumper, discussed the importance of data to companies who want a competitive advantage. But he warned the audience that without proper investment into analytical tools and looking beyond the surface, businesses can face a strong disadvantage.
Social media in particular holds many pitfalls, according to Trumper, as likes and followers are not indicative of true engagement.
“Facebook is a genius business… and inside of it is a treasure trove of information. But at a casual glance, it can mislead you if you didn't know what you were doing with data,” he said.
“BMW has 12 million likes, but if you look at transaction data you can see who mentions BMW and their behaviour at scale. Meanwhile, Toilet Duck sells 800,000 units roughly in Australia, but globally has only 200 likes, so mining the likes there aren’t going to be the answer.”
RELATED: Data-driven marketing drives geekification of the CMO
Getting ahead with data-driven marketing
Data management remains poor across marketers: Report
As a way of illustrating inappropriate data usage, Trumper cited how BrisConnections in Queensland spent $4 million on the Clem Jones tunnel under the assumption that 130,000 people in Brisbane would use the new toll road, when the reality was it is only used by 28,000 people.
“That’s a bad error. I would be surprised if they used a vast expansive pool of data,” said Trumper.
A more extreme case involved Bill Clinton’s approval of the bombing of the Chinese Embassy in Belgrade during the Bosnian War, when he signed off on the attack based on the CIA's incorrect co-ordinates when detecting terrorist activity.
“It killed some diplomats and it was the closest America has come to war with China. Imagine trying to explain that, it was basically just the data was wrong,” said Trumper. "To not have the best available data is a disadvantage that could have some dire consequences.”
However if used in the right way, large-scale transaction data can reveal habits not previously seen before, helping to develop a view of individual customer profiles such as where they live, their income, where they shop, which magazines they read and so on, Trumper said.
“The truth is starting to be revealed in clever and new ways,” he added.
Data is now a key issue in the board room, and predictions suggest big data will lead to $1.2 trillion of incremental profit in the US, and 190,000 new jobs, Thumper added.
More from ad:tech 2014:
Follow CMO on Twitter: @CMOAustralia, take part in the CMO Australia conversation on LinkedIn: CMO Australia, or join us on Facebook: https://www.facebook.com/CMOAustralia
A study published in The Harvard Business Review found the time spent in collaborative activities at work has increased by over 50 per cent in the past two decades. Larger projects; complicated problems; tighter timeframes: These require bigger teams with specialised skillsets and diverse backgrounds, often dispersed globally.
In 2018, only 21 per cent of customers believed that banks in general had their customers best interests at heart and behave ethically. Only 26 per cent believed that banks will keep their promises; views cemented further following the Hayne Financial Services Royal Commission.
Taking people on an emotional journey through content is the most critical part of being a publisher. Which is why emotion lies at the heart of VICE Media.
In this bonus last episode of this new podcast series, BrandHook MD, Pip Stocks, talks with former ANZ group general manager of marketing, Louise Eyres, talks about the importance of thinking like a customer and using intuition to solve customer painpoints.
That's an interesting use for biometrics, to actually assist in predictive analysis of campaign success.
Simon Smith
Facial recognition technology being used in a new out-of-home campaign
This journey would identify all your future life aspects!
Maryann Humphrey
Open Colleges: one-to-one journeys is the goal
It's a pretty good idea. I think this integration is useful. Don't you agree?
Misty Stoll
Officeworks hops on voice interface bandwagon with Google Assistant integration
ok. so no RCS support? by the way, RCS is a lot bigger than 5G in terms of marketing and monetisation so y'all should be covering it.
DragoCubed
Optus goes for education with 5G network campaign
Many companies and individual merchants have shifted their major part of marketing to web marketing services Portland as it weighs fewer ...
Radiata Solutions
6 Ways to ramp up Social Media to Your Web Design