Since college days, most of us might be familiar with the 4Ps of marketing—product, price, place, and promotion — a concept that marketers have applied to their strategies for decades. While these 4Ps today still hold weight, the marketing landscape has been undergoing drastic changes, especially with the advent of technology.
Introducing The New 4P Digital Marketing Mix & Beyond: Privacy, Personalisation, Permission, and Performance. This marketing concept has been coined to keep up with the ever-changing world and enhance the traditional 4Ps in earning consumer trust and loyalty even further.
"Privacy laws and regulations have changed, marketers have to be careful when they collect data or plan new strategies."
Trust and transparency are now top of mind for consumers. With the recent major data breaches, consumers have become concerned about their privacy, even Apple has launched the App Tracking Transparency to tackle this concern. Privacy laws and regulations have changed, marketers have to be careful when they collect data or plan new strategies.
Google made changes to its Chrome browser that would offer users additional insight into how they are tracked across the world through cookies. We can say that the cookie is seeing its downfall soon. Marketers have to find new means of collecting data in the near future when cookie is no longer around.
"The best way to make an impression and cut through all the noise is through the use of personalization."
With customers receiving an overload of marketing messages each day, it becomes harder for brands to stand out. The best way to make an impression and cut through all the noise is through the use of personalization. Messages that are customized based on consumer behaviour and preference insights have a much better chance of being noticed and offer significant ROI.
"Brands offering interactive experiences that are both engaging and entertaining have a higher chance to stick in the audience mind."
Finding a balance between privacy and personalization requires the use of a permission-based data approach. Third-party data is unreliable and often incomplete, and it hurts consumer trust. When brands require advanced consent, consumers expect to receive marketing messages from a brand that are both personal and relevant. Brands offering interactive experiences that are both engaging and entertaining have a higher chance to stick in the audience mind. Questionnaires, polls, quizzes and social stories are just a few ways marketers can improve the overall experience for customers while conducting research and collecting personal preferences data.
"Knowing how your campaigns perform and using that data to lead future marketing campaigns is the key to progress and revenue."
Measurement is what makes successful marketers stand out. Knowing how your campaigns perform and using that data to lead future marketing campaigns is the key to progress and revenue. Metrics that deliver actionable insights about your customers have the most influence on your business decisions. The original author, Judd Marcelo, stated that Customer Lifetime Value (CLV), Net Promoter Score (NPS), and Customer Repeat Rate are the top 3 marketing KPI metrics.
Frequently Asked Questions
What is App Tracking Transparency?
App Tracking Transparency is a new feature introduced in iOS 14.5 that allows users to prevent apps from tracking their usage involuntarily. It allows apps to display a pop-up notification that explains what data the app wants to collect and how developers will use it.
What is permission-based marketing?
Permission-based marketing is a form of advertising where the intended audience is given the option to receive promotional messages. It is often seen as the opposite of direct marketing where promotional material is sent to a wide customer population without their permission.
What are the benefits of permission-based marketing?
Permission marketing has a higher engagement rate compared to traditional forms. The fact that your target audience is interested in what you have to offer makes this possible. It is easy for an engaged audience to become a paying customer.
How do you determine customer lifetime value?
You have to take the average purchase value and multiply it by the average number of purchases and you get the customer value. Then you can multiply it with the average customer lifespan to determine customer lifetime value.
How to determine Repeat Customer Rate?
Divide the number of return customers by the total number of customers to calculate the Repeat Customer Rate, then multiply by 100 to convert to a percentage. This can be calculated by taking a variety of time frames such as daily, weekly, or monthly.
What is the Net Promoter Score example?
The Net Promoter Score is calculated as the difference between the percentage of Promoters and Detractors. For instance, if you have 25% Promoters, 55% Passives and 20% Detractors, the NPS will be +5.
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