PEOPLE BASED MARKETING FIELD GUIDE
Read the full guide on people based marketing below, jump to a section from the menu that interests you, or email it to yourself to read later.
SECTION 1 WHAT IS PEOPLE-BASED MARKETING?
SECTION 2 HOW DOES PEOPLE-BASED MARKETING WORK?
SECTION 3 WHY SHOULD ADVERTISERS APPLY PEOPLE BASED MARKETING?
SECTION 4 WHAT KIND OF DATA DO YOU NEED AND WHERE DO YOU GET IT?
SECTION 5 HOW IS THE PEOPLE-BASED APPROACH DIFFERENT FROM TRADITIONAL TARGETING?
The goal of marketing has always been to deliver the right message at the right time to the right person. This sounds simple, but any marketer will tell you it’s much easier said than done. The proliferation of internet devices has caused the media landscape to explode into a bunch of fragmented channels, and audiences are now scattered far and wide. The days when advertisers could reach the masses over evening television are long gone.
There are now more ways than ever to reach today’s consumers, and advertisers have taken full advantage of this trend. We’re living in a world oversaturated with ads, as the average consumer is hit with 5,000 marketing messages each day. As a result, consumers have gotten pretty good at filtering them out. Cutting through the noise requires a new strategy for delivering the right message to the right people at the right time. That strategy is called people-based marketing.
WHAT IS PEOPLE-BASED MARKETING?
The term people-based marketing –or simply PBM– has been generating buzz for the marketing industry ever since Atlas, Facebook’s ad server, entered the media buying landscape in 2014. Even If you’re new to people-based marketing, you may know it by another name, such as audience-based marketing, identity-based marketing, people-centered marketing, account-based marketing.
But what the heck is people-based marketing?
People-based marketing focuses on creating personalized interactions with your most valuable audience members across all your media channels. By leveraging deep insights about your customers and what drives them to convert, a people-based approach allows brands to deliver experiences that customers want instead of marketing messages they want to ignore.
The traditional “spray and pray” approach to marketing involves targeting everyone in the hopes that your message reaches your intended audience. A people-based approach allows you to strategically place your media where audiences closest to the point of purchase are actively paying attention. That means you waste less spend on audiences less likely to convert.
HOW DOES PEOPLE-BASED MARKETING WORK?
Data is at the heart of people-based marketing. Data management technologies combine your first-party data with data you buy from third-party providers to build an identity graph of the audiences closest to the point of purchase. You can then match the identity graph to media publishers’ inventories without disclosing personally identifiable information about your customers.
Here is a step by step process explaining how data is activated with haloAMP , a proprietary Audience Management Platform developed by Wingman Media:
haloAMP collects your customer data across multiple data silos such as offline contact data and online response metrics. This data is stored in a centralized location where you can match it with signal data to create rich customer profiles.
A universal identity link, or persistent identifier, is assigned to each profile. This step makes personally identifiable information (PII) anonymous before you share your data with downstream data partners.
WHY SHOULD ADVERTISERS APPLY PEOPLE BASED MARKETING?
The biggest benefit of people-based marketing is that it avoids wasted ad spend by reducing the number of impressions spent on audiences with low engagement. This allows you to focus your ad budget on the inventory that reaches the people who care about your message, while they’re actively paying attention. This advantage drives greater response from your most valuable audiences.
People-based marketing helps foster better relationships with your customers by creating seamless one-to-one experiences with your brand across all channels. This is essential in marketing because consumers are now demanding a more personalized customer experience from their interactions with brands.
WHAT TYPE OF DATA DO YOU NEED?
First Party Data
First party data is the data you collect directly from your customers, which includes the following:
- CRM data
- POS and other transactional data
- Lead lists
- Offline customer data
- Website user data
First-party data provides advertisers with some of the most valuable insights to target your key audiences. However, it’s only as useful as a company’s ability to collect it, analyze it and make it actionable. That’s where data management tools become part of the equation. The right data tools are necessary to collect, manage and activate key data about your customers.
Third Party Data
Third-party data helps enrich customer profiles to improve targeting and extend your reach. Big data aggregators purchase massive amounts of user data, often from publishers. These companies collect all sorts of valuable data such as website browsing behavior, demographics, shopping behaviors, customer loyalty memberships and credit card data. Third-party data also includes device IDs and media consumption.
HOW IS THE PEOPLE-BASED APPROACH DIFFERENT FROM TRADITIONAL TARGETING?
Old-school targeting methods like market ratings and web cookies limit targeting due to the quality of the data being used. Because the people-based approach leverages consumer purchase data directly from the people who buy your products and services, the data offers far more precise and reliable insights. Let’s take a closer look into the limitations of traditional forms of audience targeting and how they limit the ability to target.
Market ratings or “legacy ratings” limit targeting to broad demographics, such as age range and gender. Nielsen Company has had a monopoly on the market ratings business since the 1950s. The data is aggregated from small samples of panel-based audiences which only represent a tiny fraction of the population. Because age ranges within a demo are so broad, the individuals within these segments typically share very few behaviors, interests, and motivations. Despite these limitations, market ratings are still used in the majority of media transactions for broadcast television and terrestrial radio and many digital campaigns.
Getting Started with People Based Marketing
For companies that want to reduce ad waste, increase response and maximize efficiency of media. People based marketing overcomes the limitations of traditional targeting methods by activating multiple sources of data from real people who care about your product or service. These data insights build a complete picture of your most valuable audiences and allow advertisers to create more personalized one to one experiences across all touch points, thus driving more conversions. Ready to see how a people-based approach can transform your media campaigns? Contact Wingman Media today!