What is customer knowledge? One of the main reasons for a company’s existence is its customers: if the customer inspires the equation that the service or product delivered must solve, he is also the recipient and the judge.
What is customer knowledge?
All of the data available to you for this purpose include the area of customer knowledge. We tell you what this consists of.
Collect data for in-depth customer knowledge
For a company, customer knowledge aims to benefit, thanks to the data, from a unique, global, more precise, and relevant customer vision possible.
This approach allows you to continuously know the position of your consumers in relation to your offers, understand who you are addressing, to identify their needs and expectations. In other words, thanks to customer knowledge, you will be able to constantly improve your value proposition.
To do this, it is imperative to go through data collection, which must take into consideration all the points of contact in place between you and your customers. There is an impressive amount of usable data, it will necessarily be necessary to determine upstream which ones are interesting for the achievement of your marketing and commercial objectives.
Among the truly useful information for your prospecting, part comes from socio-demographic data. These include the age, family situation, or geographical location of your customers. These elements can, for example, be used to establish a typical profile of your consumers.
We differentiate between purchasing behaviors which represent another kind of crucial data to evaluate your customers. These relate to the history of purchases made (recency, frequency, amount), or even the products and services most requested by consumers.
Of course, there is other information to consider, such as web browsing data. You can also focus on interactions with your brand and customer feedback.
To collect the data that interests you and take advantage of it, you have the choice between various options: web forms (landing pages, newsletter, etc.), carrying out satisfaction surveys aimed at your audience, acquiring external data from a supplier-recognized, operate a loyalty program.
Also, remember to set up routines with your sales representatives (in direct and daily contact with your customers and prospects) to enter up-to-date information into your digital tools.
To be optimal, the different data sources must be unified, or even grouped and standardized. Centralization is essential to effectively analyze, organize and define history. The various correctly aggregated records can then be combined in order to obtain calculated information which was not initially accessible.
Analyze collected customer data
Data collection is therefore only the very first step in customer knowledge, and to continue, the optimization and analysis of the information at your disposal will be carried out. In simple terms, you must classify, complete, study ,and cross-reference the elements in order to qualify your database.
A well-conducted analysis will allow you, for example, to establish a predictive score, revealing which customers in your base would or would not be receptive to a given offer. At this level, we are talking more about data mining than simple analysis.
It’s hard to talk about customer-centric data analytics without mentioning marketing segmentation. Simply put, this is the operation by which your group, and your customers into homogeneous groups create sub-markets. It is carried out according to various criteria which make it possible to bring together consumers with similar profiles.
What is customer knowledge?
Depending on the characteristics considered to perform the segmentation, it is possible to achieve very distinct objectives. You will be able to find other details concerning the categories of customers and prospects on certain e-marketing sites. Which develops the notion of segmentation.
Of course, the aspects of segmentation and targeting represent a subject in their own right within customer knowledge. Thanks to the analysis of your database, you will be able to refine your prospecting and targeting methods by taking into account the segments in which your contacts are classified.
In addition to perfecting your customer knowledge, marketing segmentation has many advantages. This approach helps, among other things, to define priority actions in marketing and prospecting. Controlled segmentation is one of the best ways to improve your ROI (Return on Investment).
Use the information at your disposal wisely
The last step of customer knowledge consists of exploiting the information collected, augmented, and analyzed. It’s about how you use data to adapt your marketing and sales strategy to this new, more comprehensive view.
When the analysis step is precisely carried out, you are able to better target your customers on each of the various channels through which you communicate and to present to each profile the offer that is more consistent with their expectations.
In fact, you guarantee maximum performance for all of your campaigns. Thanks to targeting, these will be carried out at the right time, using the right means to address the right people.
The exploitation of data includes by extension the improvement of your offers and your products. In particular, you can determine new pricing to better correspond to a particular type of consumer. It will also help you methodically direct your loyalty actions.
Extending the customer experience by putting satisfaction at the heart of your policy will become more intuitive. As you will have understood, the possibilities are numerous when the company benefits from advanced customer knowledge.
Given the level of skill required, these procedures are most often entrusted to professionals. Depending on the context, it will often be advantageous to involve experts in customer knowledge to accompany you throughout the process.