How does your marketing data measure up?

Success in digital marketing hinges on the ability to reach and engage the right audience effectively. Accurate audience data forms the foundation of effective audience targeting. It allows marketers to identify and segment audiences based on relevant and timely criteria such as demographics, multicultural, interests, behaviors, triggers, and purchase intent. By leveraging precise audience data, marketers can tailor their messaging and content to resonate with specific audience segments, maximizing engagement and conversion rates.

At LBDigital, we recognize the pivotal role that accurate audience segmentation plays in campaign measurement. In this post, we'll explore why precise audience data is essential for effective campaign measurement and how it impacts the overall success of marketing initiatives.

A/B Testing: Unveiling Insights Through Experimentation

A/B testing, also known as split testing, is a common practice among marketers to compare the performance of different campaign elements or strategies. This technique involves dividing the audience into two or more groups and exposing each group to different variations of a campaign. By measuring the performance metrics of each variation, marketers can determine which approach yields the best results and optimize their campaigns accordingly.

The effectiveness of A/B testing relies heavily on the accuracy of audience data. If the audience segments used in the test are not accurately defined or if inaccurate data is used to measure performance metrics, the results of the test become unreliable. For example, if audience segmentation is based on outdated or incomplete data, marketers may inadvertently target the wrong audience segments in their tests, leading to skewed results and misguided conclusions.

In the above A/B test, the audience is split into two groups to test different creatives. Here we can see that Creative B is the most effective as it resulted in more conversions and double the conversion rate compared to Test A. We would expect the advertiser to run their main campaign using Creative B based on the results of this test.

However, let’s explore what would happen if both audience A and audience B contain inaccurate audience data, placing some of the test group outside the target audience of the advertiser. Consequently, we can’t be sure of the test result. Had Test A leveraged accurate data, would this have resulted in more conversions? Can the advertiser be sure that it was the creative in Test B that led to more conversions or was it simply a coincidence? If the advertiser chose Creative B for their main campaign based on the results of this test, they may find their main campaign results do not reflect the A/B test, leading to lower conversion rates.

Maximizing Campaign Performance with Accurate Audience Data

To extract meaningful insights from their campaigns, marketers must prioritize the use of accurate audience data. By ensuring that audience segmentation is based on reliable data sources and that performance metrics are accurately tracked and measured, marketers can trust that their test results reflect true audience behavior and campaign effectiveness. This enables more informed decision-making and targeted optimizations that drive tangible results.

Evaluating Data Quality for Measurement: What Marketers Should Ask

When selecting a data provider, marketers should inquire about the methodologies and practices employed to ensure data accuracy and quality. Key questions to ask include:

How is the data collected, validated, and maintained?
How frequently is the data updated?
What sources are contributing to the data, what action have the individuals taken?
Can the provider offer insights into data accuracy and reliability metrics?
Has the data been evaluated by any third parties for accuracy?
Are there mechanisms in place to address data quality issues and customer feedback?
Can the provider offer case studies or references demonstrating the effectiveness of their data in driving successful marketing campaigns?

LBDigital is committed to providing marketers with #ThirdPartyDataThatDoesn’tSuck. That’s why we require a minimum of 5+ declared touchpoints for data hygiene, accuracy and validation. We source data from purchases, intent signals, online engagements, self-reported data, registrations & form fills. Our data has continuously been evaluated by Truthset and was found to be among the best in the industry.

In the competitive landscape of digital marketing, accuracy is paramount. Learn more about LBDigital’s stringent data sourcing methods >

Or to discuss your data needs, get in touch >