Do you see your customer data as an asset or a pain in the @ss..et? 🙂
At CF, we believe customer data is a hugely under-valued + under-used resource in business.
+ look, there’s a good reason for that…. because it’s kinda boring, right… + overwhelming at times… sometimes there’s too much of it… sometimes there’s not enough…
Whatever the reason, customer data often gets tossed in the too-hard basket or becomes that old chestnut, the elephant in the room.
We kinda know we need it, we might even be gathering it quite voraciously, but what to do with it is another story.
Check out our latest short video on Customer Insight, a topic we cover in our Quick Up-Skill Program, for more on this topic.
WHY IS CUSTOMER DATA SO IMPORTANT?
Today we’d like to share one of the five reasons why customer data is important to your business.
Did you know that data can be a huge asset for your business – way beyond what you would normally think.
We were recently talking to a swimwear retailer who works in the specialist retail segment, a hugely competitive marketplace. We were talking about the value of their business + what valuation they might achieve, should they wish to sell.
+ it got us thinking about value metrics – you have your typical turnover, seasonality impacts, market data, growth percentages… lots of metrics that can help you value your business.
AN ASSET RIGHT UNDER THEIR NOSE
Then we started talking about their customer database + the business owner tells us that he has a solid database that allows him to keep in touch with his customers, drive repeat purchases + track his loyal customers. Fabulous!
That’s a great database. That’s goodwill.
But there’s more to a great customer database than just being able to track repeat purchases.
Imagine if you were a swimwear retailer + you had 30,000 contacts on your database – that is, people who are professional or amateur professional swimmers across the country.
That’s worth something.
THERE’S MORE TO A DATABASE THAN MARKETING
Yes – you can you remarket to them, align your comms around their needs to drive more sales, share promotions + reward loyalty, but there’s something even better.
What value would your 30,000 rich database have to say, a manufacturer like Speedo, for example. Or a competitor who might consider purchasing your business down the track? How much would they love to get their hands on a database of warm potential clients, complete with demographics + information on their purchasing habits?
When we start to think about the long-term value of data + not just how painful it is to collect or even use day-to-day, we can reach far beyond that traditional thinking of capturing sales data to actually building on your database to become a rich resource, a core asset of huge business value.
So, there you go – one of the top five reasons why customer data is so important for your business – + it makes sense really, when you consider that customers are the ultimate reason we’re in business in the first place.
Check out our latest short video on Customer Insight, a topic we cover in our Quick Up-Skill Program, for more detail.