The purpose of the paper is to provide a historical evolution of data driven marketing and suggest next frontiers of research opportunities as a consequence of digital tsunami as well as ...affordability and accessibility to conduct databased research. Earlier, techniques were in search of data but in the future data will be in search of techniques, especially in the era of social media such as Twitter, Facebook, YouTube, What’s App, and Instagram.
We are living in a world of data abundance and rapid technological advances in the digital realm. The consequences for marketing practices have been transformative. The Marketing Edge and Journal of ...Business Research sponsored this special issue to address the need for research in this domain. We draw upon past literature to trace how data-driven marketing practices and adoption of digital technologies have helped transform and expand the scope of marketing from a function that was primarily related to analyzing advertisements, to crafting analytics-driven customer-centric marketing, to a function that is fiscally responsible and increasingly technology enabled. The collection of nine studies in this special issue richly describes the challenges that marketing practitioners face and highlights research issues that need to be addressed.
•Agency selling mode and reselling mode of the platform are investigated.•The impacts of data-driven marketing (DDM) on the sales mode selection are studied.•The platform prefers agency selling mode ...only when the market size is moderate.•With an increase in DDM efficiency, the platform more prefers the reselling mode.•The sales mode with higher sales volume is not more profitable in some conditions.
This study investigates a platform’s preferences between agency selling and reselling considering the impact of data-driven marketing (DDM). Four models are built: No-DDM+agency selling, No-DDM+reselling, DDM+agency selling, DDM+reselling. Sales volumes, profits and profit growth rates in different sales modes are compared. Results show that with an increase in DDM efficiency, the platform is more willing to adopt the reselling mode. In addition, without DDM, the sales mode with higher sales volume is not more profitable within a certain market size. DDM can help avoid this phenomenon to a certain extent.
•DDM quality positively affects inventory levels in both channels.•The stock-out-based substitution rate negatively impacts its own inventory level.•Sensitivity of product quality has a positive ...impact on quality improvement efforts.•Contract coordinates both members under stochastic demand for Pareto-optimality.
The digital dual-channel supply chain (DSC) is getting more and more difficult to ignore. This study develops a data-driven DSC, including an online manufacturer and an offline retailer with stochastic demand. Then it discusses the effects of the selling price, wholesale price, stock-out-based substitution rate, Data-Driven Marketing (DDM), and two channels’ sensitivity of product quality on the optimal decisions (quality improvement effort, online inventory level, and offline order quantity), and the optimal expected profits. It also analyzes the coordination of the manufacturer’s buyback contract. This work is mainly concluded as follows: (1) Increases in DDM quality can increase inventory levels in both channels and efforts to enhance quality, but they can also lower customer return rates, which makes sense. However, it is not always true that DDM quality positively affects the total supply chain expected profit. (2) The decline of one channel’s stock-out-based substitution rate can raise its inventory level but decrease the inventory level of the competitive channel. Contrarily, the selling price of one channel is adversely connected with the inventory level of the competitive channel, which extends some existing studies under a decentralized decision. (3) The increase of sensitivity of product quality can lead to the growth of quality improvement efforts (consistent with previous literature) and the reduction of consumer return rate. (4) The manufacturer’s buyback contract can well coordinate both members under stochastic demand for Pareto-optimality. Finally, this study proposes some managerial implications and further research directions.
Online food purchase over mobile apps is growing, and so is the competition between the different apps. Any dissatisfaction from the mobile app causes dissonance and customer attrition. The present ...study aims to highlight emoji's impact in lessening dissonance through selective personalized post-purchase communication. The study explores emoji's contrasting effect measured online between-group experimental designs among 431 participants. The results showed emoji presence in post-purchase communication lessens customers' anxiety and enhances satisfaction and liking. Further, the results revealed a positive impact of emoji presence on customers repurchase intention and recommendation (eWOM) behavior. The study adds to the literature on the importance of a richer communication medium in an online business, especially in the post-purchase dissonance context.
Data-driven marketing has become a prominent strategic marketing approach, but it is prone to complex challenges, often referred as its dark side. The literature on data-driven marketing is dominated ...by its positive aspects, but there is an emerging literature stream focussing on its challenges. This study aims at contributing to this literature stream by providing an empirical study involving a holistic analysis of the undesirable effects of data-driven marketing using a systems thinking approach. The challenges faced by a New Zealand university in its international marketing using data-driven marketing is used as a case. Using 23 interviews, a systems model was developed, capturing the underlying structure behind these challenges. Eight interacting feedback loops were identified in the model, responsible for these complex challenges. A focus group was used to formulate three strategic interventions to address the complex challenges facing this organisation involved in data-driven marketing.
Following Einstein’s sentence: “Everything should be made as simple as possible, but not simpler. If you can’t explain it simply, you don’t understand it well enough,” this book puts a spotlight on ...the complex marketing ecosystem from a physicist’s point of view.
Today’s marketing world is overcomplex; CMOs face the challenge to transform their current target operating models towards a 100% customer-centric and data-driven way of working. A journey from good old mad-men toward math-men marketing.
This book consists of three parts: The first part strips down the complexity of the marketing universe to the leanest frame of reference and then brings back the complexity, step by step, in single dimensions.
Part two and three just follow these thoughts and provide a detailed description of 56 small atoms that can be used in a maturity assessment of your marketing. How to use them in a broader transformation concludes the book.
In summary: An end-2-end guideline how to pursue and master the transformation from mad-men towards a math-men marketing operating model.
Due to the natural advantage of data acquisition, data driven marketing (DDM) has been widely adopted online. The major concern of managers, especially when facing severe environmental issues, is to ...adjust proper measures regarding DDM promotions (including consumers’ DDM preference and offline free riding), so as to ensure efficient implementation of the cap and trade regulation (CTR). We developed two models: No-CTR and CTR under centralized and decentralized scenarios, and then proposed corresponding contracts to achieve Pareto improvement. The validity of both coordination schemes has been demonstrated. Contrary to conventional wisdom, the results indicate that encouraging DDM promotions and consumers’ environmental awareness are not always beneficial to the manufacturer or retailers. Certain conditions should be met based on promotions and wholesale price. Secondly, comparing No-CTR with CTR, promotions should be set for different carbon quotas to ensure all members prefer CTR. Especially, when carbon quota is moderate, below a certain level can also be optimal. Furthermore, numerical analysis suggests that with the increase of carbon trading price, the online quantity will evolve from downward to upward, as will both retailers’ profit. Entrepreneurs should be mindful of balancing the trade-offs contingent on DDM promotion effect because it plays an essential role in CTR implementation efficiency. In our model, stochastic demand is also considered.
