Why Legacy Analytics Tools are Failing Marketers (4-Part Series)

Building systems of action through emerging AI marketing technology

Part 1: Moving marketers out of neutral

(Ed note: This is part of a four-part series discussing how AI marketing technology disrupts the traditional analytics continuum with Amplero’s head of product Garrett Tenold.)

Just what is a marketer’s job?

No, not a trick question.

With all the market noise and investment dedicated to analytics and data modeling tools over the past decade, it’s often important to continually boil things down to the basics.

Marketer’s need situational awareness, sure. They both need to be smart about their customers, and have proven foresight to know what is likely to unfold organically. But, at the end of the day, a marketer’s core job isn’t to watch the world go by from an isolated perch. Marketing is always about finding ways to intervene, to cause the desired outcomes in the world. It’s about taking actions with your customers to cause things to happen that otherwise wouldn’t have happened.

Influence. Nudge. Compel. Coax. Lure. Tempt. Convert. The key here is that the marketer is an actor in the scene—not a neutral observer.

But here’s the rub.

Typical analytics and business intelligence tools create offline workflows which create insights, but don't give the marketer the ability to take timely action. Gartner provides a helpful framework for visualizing the current interplay between analytics and human input.

So now let’s overlay all the hype

Critically, if the marketer cares about smart decisions—taking the right action and causing the right outcome (observable feedback)—then the hype and hoopla from typical big data modeling efforts are a surprisingly small part of the puzzle.

They might describe the scene (say, the behavioral profile of a typical segment) or even make predictions about the scene (this user has a churn risk of.82). But they don’t help the marketer with the inevitable action questions that come from those analytics. As an example:

Descriptive

Predictive

Action question:

Alice is a long tenured customer

What’s the right way to encourage long tenured customers to add new products to their subscription?

Or should I not focus on cross sell, but should try to encourage long tenured customers to refer friends?

Bob’s behavior shows a better fit (propensity) for the Gold Card, not his current Silver Card

Do I need to intervene to get Bob to migrate? Would an incentive help or is that just throwing away money? (i.e., he was likely to change cards anyway)

Sam is a churn risk

How should I reach out to Sam? What’s the cost effective way to lure him back without giving away too much?

To summarize, a marketer’s job is to take action, and their analytical tools should support and optimize against these critical moments of truth.

Meanwhile, the issue is compounded as behavioral data sources are exponentially propagating across mobile, IoT, and social. In addition, today’s consumer interactions are often fluid, rapid, and cross-channel in what Google aptly coined the age of “micro-moments.”

Check out the next installment of the series, where we focus on the reframed core problem:

"How do I, as a marketer, know which decisions to make and which actions to take?"

To learn more about AI Marketing (AIM), download the case study on how Amplero helped a leading mobile provider gain 650% lift in ROI, or schedule an AIM Platform demo for your team today.

About Garrett

As head of product for Amplero, Garrett dwells at the forefront of the machine learning-powered marketing revolution. Building the Amplero Digital Intelligence Platform since its inception, Garrett is a SaaS product leader focused on marketing transformation with deep experience across both MarTech and AdTech industries.

With more than a decade focused on product innovation, he’s built forward-focused technology and analytical solutions for brands such as XBox, Sprint, American Express, Citibank, and Ganett. Prior to Amplero, he held product leadership roles at Microsoft Advertising, AdReady, and aQuantive.

Contact him directly at gtenold@amplero.com.

About Amplero

Headquartered in Seattle, Amplero is an Artificial Intelligence Marketing (AIM) company that enables business-to-consumer (B2C) marketers at global brands to optimize customer lifetime value at a scale that is not humanly possible.

Unlike traditional rules-based marketing automation systems, Amplero’s Artificial Intelligence Marketing Platform leverages machine learning and multi-armed bandit experimentation to dynamically test thousands of permutations to adaptively optimize every customer interaction and maximize customer lifetime value and loyalty.

With Amplero, marketers in competitive, customer-obsessed industries like telecom, banking, gaming and consumer tech are currently seeing measurable lift across key performance indicators—including 1-3% incremental growth in customer topline revenue and 3-5x lift in retention rates.

For more information, contact us today or follow us on Twitter.