Big data is one of the biggest buzzwords in the recent years. Due to huge publicity by Mckinsey Company, IBM and many others, the topic had generated a lot of interest among marketers. However, not many people know how to implement big data successfully and even fewer gained competitive advantage working with big data.
Discovering Hidden Segments
A/B and multivariate testing has finally come of age is now considered a mainstream digital marketing and website management practice. However, though testing has been implemented by many organizations, few organizations has embarked on the personalization aspects of website optimization. Most of them mistake personalization for user-customization and hence did not make full use of the power of personalization.
Beware of Selection Bias
Lets travel back in time to World War II. You are an analyst and you discovered that your aircrafts has low survival rate. Only 10% of the aircrafts made it back from missions. You examined the aircrafts and discovered that the enemy has good marksmen and all the shots landed in the cockpit. 90% of the bullet holes are on the left cockpit. 10% are on the right cockpit. You can only armor plate one side of the aircraft due to weight constrain. Which side would you armor plate?
Marketers Can Use Linear Programming to Optimize Search Budget
The complexity of search engine marketing (SEM) cannot be overstated and yet a majority of search marketers avoided complex problems by over-simplifying the problems. Usually, marketers depend on their media agencies to optimize their search budgets and set KPIs for their agencies. Unfortunately, these KPIs are not useful in optimizing the budget and can even work against them.