Big Data Precision Marketing Reduces Ecommerce APP New Customer Costs_Data Analyst Exam

As of June 2015, China's Internet users amounted to 668 million, with an Internet penetration rate of 48.8%; the size of cell phone users amounted to 594 million, accounting for 88.9%. That is to say that the mobile Internet era has fully arrived. In the mobile Internet era, the key technology that determines the success or failure of a company has shifted from information technology (Information Technology) to data processing technology (Data Technology), and "mankind is moving from the IT era to the DT era".

In the DT era, the incremental and variable brought by big data is the core of enterprises' concern. In the field of e-commerce in the broad sense, the acquisition cost of new customers is an important indicator to determine the incremental and variable. For the convenience of discussion, BigData-Research defines new customers of e-commerce APP as users who have purchasing behavior within one month after activating APP.

As we all know, the main sales of e-commerce come from regular customers, but the growth of new customers is a key indicator to meet the expansion of the base scale and rapidly pull up the market share. At present, we are familiar with the e-commerce platform, are from the PC network period, and are doing the strategic layout of the transition to the mobile Internet, so the scale of expansion is still the first priority, that is, to continue to draw new customers, including the PC old customers into the APP new customers in the process.

In the early days of the PC Internet, the conversion of new customers mainly relied on traditional brand advertising, buses, subways, newspapers are filled with advertisements of various Internet companies. With the expansion of the scale of the Internet and the development of search technology, the mode of conversion of new customers became brand advertising + precision placement, and the precision of this precision placement has gone through the variation of casting on the website, casting on the webpage, and casting on the keywords.

After entering the mobile Internet era, the mode of opening up APP new customers has newly added precision marketing ---- based on big data analysis in the DT era on the basis of brand advertising + precision placement. Precision here includes two meanings, one is to more accurately locate to potential users, the other is to further pinpoint the cost of each new customer.

Since 2013, the cost of new customers has been rising. before 2013, according to industry statistics, the cost of acquiring a new user is 5 to 6 times the cost of maintaining an old user. At that time, the situation was: the big electricity supplier does not make money because the flow is getting more and more expensive, the small electricity supplier can not make money because there is no flow; and the cost of acquiring new customers is getting higher and higher, the conversion of new customers is difficult, the user activity is low. In 2014, the cost of acquiring new customers has been 6-8 times the cost of maintaining old users. By 2015, thanks to big data precision marketing, the cost of new customers has some changes.

(Figure: Research data on new customer cost of various types of e-commerce APP)

According to the above figure, it can be seen that the category distinction of APP new customer cost is becoming more and more refined, and the price of the cost of new customers is no longer an average price, but a price range. This is because the various targeting of new customers is three-dimensional, i.e.: brand advertising + precision placement + precision marketing. The price range marked in the figure contains the placement prices of different platforms, with the high values coming from the traditional advertising model and the low values coming from the big data precision operation. As a result, the cost of new customers for enterprises that only do advertising will be higher, with the side benefit that brand awareness will increase. Most companies will combine several means of operation, such as advertising for the marketing festival in advance, and then buy traffic for the marketing festival activity page, during the marketing festival to send red packet promotions to bring in the old to bring in the new or A business to drive B business.

For the largest price span in the figure of the ticket travel APP, there are two reasons: 1, not many ticket travel sites into the data statistics; 2, there are long-term reliance on TV advertising business. This also indirectly explains the intensity of competition in this field. Another third-party data proves the high growth of online tourism in the first half of 2015. According to the latest CNNIC report, as of the end of June 2015, the size of Internet users who booked air tickets, hotels, train tickets or travel and vacation products by cell phone reached 168 million, an increase of 33.5 million people from the end of December 2014, with a half-year growth rate of 25.0%. This is not found in other industries.

Precision marketing in the DT era is currently in a period of rapid growth with a variety of means. Enterprises are constantly trying, and consumers are gradually adapting. For example, consumers will complain about why old users get less promotional red packets than new users; for example, for buying a plane ticket to give you a car pick-up coupon, some users find it convenient, some users feel that it is harassment. In the past, customer lifetime value = customer lifetime purchase × unit price × profit margin. In the future, the customer's social relationship, customer consumption reviews, bring new customers and other indicators, will also be included in the customer lifetime value.DT era of precision marketing, the first is the actuarial, the enterprise should be clear in pulling up the new customers at the same time brought how much turnover conversion, clear where the money is spent.

The above is what I shared with you about the big data precision marketing to reduce the cost of new customers of the e-commerce APP, more information can be concerned about the Global Green Ivy to share more dry goods