In this article, we’ll be looking into how to use address data retrieved from the eCommerce order form to gain insights applicable to other areas of the enterprise, from demographic data enrichment to deeper customer insights.
At the point of purchase, companies will collect all kinds of valuable data, from the address to ship the products to the type of product ordered, all the way down to the time of day the transaction took place. Although buying an item looks to serve one purpose - to obtain that item - it benefits companies to be a bit savvier with the information at their fingertips.
ZDNet reports that of the data available to businesses through ordinary customer-company interactions, only 56% is collected - and of that data, only 57% of it is used to fuel business insights, leaving 43% of critical decision-making data unused. Let’s delve into how already collected data can be used in other areas of the business to drive revenue growth.
Audience segmentation
Learning how to segment your audience and customer base is a decisive move, allowing you to understand your customers more deeply and see them as individuals based on their personal buying habits.
Your customers’ demographic information includes a range of data points, from age, gender, marital status, and more. Using this information, you can glean important insights into your customers’ behaviors to help you to predict what they might like to see more of in the future.
Audience segmentation is a way to ensure the messages you send will reach the right people and are not connecting with those who bear no interest - children’s toys to university students, for example - but instead in front of those who are interested - families, grandparents - to help you to attract high-quality leads who are more likely to convert.
Geographic segmentation
Following on from audience segmentation, you can also perform geographic segmentation with the aid of location data.
This is the fuel that powers geotargeting and geofencing marketing, where customers within a specific ZIP code are served advertisements for nearby businesses in their area, predominantly seen with fast-food chains and other brick-and-mortar businesses.
With geotargeting, conversions aren’t the be-all and end-all of success indicators. While customers might not convert right away, you are working on building brand awareness and visibility in a particular area, leading to growth for the business in the long term.
Areas for future development
Location-based data insights can show what’s already in a certain location and working well (or not working). It can also show you what might be missing from an area and benefit from being created.
While with geotargeting, targeting an immediate ZIP code near to your business might be appealing, you may want to cast your net a little wider. Suppose you can see through data analysis that customers from farther away are traveling longer distances to reach a specific locale to complete a purchase. In that case, it may be worth your while to see if developing a site in a new location might serve you.
This way, location data can help you immediately see what’s working - and what’s not working - while also being a key indicator of what might work well in the future to enable expansion and business growth in different areas.
Accuracy is key
Any data endeavor is futile if the information isn’t verified, making you lose out on vital customer information and leaving you with inaccurate insights.
When looking at geotargeting especially, accurate address data is essential for delivering quality customer experiences. Having access to one master data source helps businesses create a great CX, improve delivery rates, achieve accurate customer records, and much more.
Loqate’s address verification software will parse, standardize, verify, cleanse and format address data for all countries and territories via a single, easy-to-integrate API.
Want data quality you can rely on? To find out more about how you can become a Loqate partner, click here.