If you don’t understand what your customers want and how they view your business, it’s challenging to grow. In 2020, collecting data and running an analysis of your customers is a critical component to growth and success.
How do you know where to start? What are the metrics to review and use to drive decisions about the future of what you offer to consumers? Keeping reading to learn about five of the most crucial customer analytics to focus on when responding to customers’ needs.
1. Longterm Value
A customer that spends $50 on your products or services today might not seem as valuable as a person who spends $500 with you today. However, it’s wrong to make that assumption about a “low-dollar” purchaser without taking a look at their long-term value to your business.
If the $50 customer spends $50 with you every month, but the $500 customer shops with you once a year (or never returns), over time, that $50 customer is more loyal and more valuable to your business. Track and analyze repeat business from all customers—large and small.
2. Sentiment Analysis
How do your customers feel about your business? Studying consumers through sentiment analysis helps you understand how people are talking about you. Digging into social media comments, shares, likes, and referrals give you insight into your customers’ sentiments about your product or services.
3. Customer Segmentation
Not all of your customers interact with you in the same way.
Where should you spend more marketing dollars so that it pays off? How can you encourage low-activity customers to increase their purchase amounts or frequency? How can you communicate with different types of customers in ways that help them respond with a purchase or referral?
Dividing customers into different segments based on purchase level, gender, location, product preferences, and other criteria can help you engage more customers in ways that elicit positive responses.
4. Sales Method
Where are your customers? Do they purchase through your website? Do they come into your store to purchase? Does your social media help drive customer traffic to your website?
Gathering data about where and how your customers purchase from you helps direct your products and services to where they are.
5. Consumer Acquisition
Where do your customers come from? Your consumer analytics should include a way to track the first interactions or point-of-sale for customers. When you know where your best customers come from, you know where to focus future marketing efforts to acquire more customers.
You can also analyze the value of customers based on where they originate for your business. You might find that customers who first found you through a link on your Facebook page are more (or less) valuable than a customer that did an online search and landed on your website.
📖 More similar articles
Customer Analytics Help Drive Your Business Future!
When you make business decisions based on historical data, you have a better roadmap toward a future of growth. Let customer analytics help drive your marketing efforts and help you develop new products and services!
If you found this to be a helpful article, please enjoy more blogs on our website!
