What is a Strategic Data Partner?
Expectation versus reality â€“ given the wealth of data available to businesses today, expectations have never been higher from executives for their business units to be using data effectively. The reality, however, is that leveraging disparate data sets across multiple channels, platforms and formats isnâ€™t something in the wheelhouse of an average marketer or business professional. Operating within this reality, businesses aiming to achieve the data driven success they expect will clearly require some outside help. They need what we call a strategic data partnerâ€¦
A strategic data partner is a trusted resource for analyzing, augmenting, and modeling data to deliver valuable business insights on opportunities and competitive advantages within a given market. In other words, strategic data partners help businesses understand key patterns within data, focus on areas of highest return, and drive overall growth.
With 49% of marketers reporting â€śuse of marketing analytics to drive marketing decisionsâ€ť to be their most significant shortcoming, according to Forrester Research, and 98% of companies reporting plans to increase their use of data driven marketing over the next twelve months according to the Aberdeen Group, thereâ€™s clearly a huge gap between what businesses want to do with data, and what they actually are capable of doing with data. This is exactly where the strategic data partner fitsâ€“ handling the data initiatives that business leaders expect while accommodating the realities of a limited capacity for leveraging data in house.
Unlike individual data analysts or data scientists, however, strategic data partners also bring additional data sources to the table for testing, scaling, identifying and acting on significant market trends. In cases where a company doesnâ€™t have enough data points in house, for example, a strategic data partner can model existing data points and expand the overall data sample into a much larger and more accurate pool.
At present, the CMO Survey reports that 5.5% of marketing budgets are currently dedicated to marketing analytics, but over the next three years, that estimate is expected to rise by 58%. Itâ€™s clear that expectations for data driven marketing are matched with realistic spending intentions, but spend alone doesnâ€™t result in data driven success. Another point of value for strategic data partners is that their entire role within the partnership revolves around delivering the highest return possible for data investments. According to an analysis by Eloqua of their users, even an approximate 5% increase in pulling and analyzing marketing data can increase the rate of marketing campaign engagement by as much as 35%.
With a strategic data partner, the ability to achieve such distinct competitive advantages and enhancements to marketing activities becomes an extremely realistic expectation.