What is Marketing Automation and How It Works?

You must have heard a lot about marketing. But you might be thinking what is marketing automation. Basically, it is a process to use the software in marketing activities. The aim is to automate the marketing tasks. Most of the marketing departments automate repetitive tasks. These tasks are email advertising, ad posting, or social media posting.

It does not only provide efficiency. Also, it helps in a more personalized experience for their customers. The technology of marketing automation makes these tasks easier. At its best, automation is a combination of software and strategy. It should allow you to raise potential with highly personalized and useful content. So, that personalization helps convert potentials to delighted customers. 

All organizations have the same desire. They want higher revenue and faster growth at a lower cost. But the sad reality is many companies struggle to gain this. They face difficulty in integrating their people, processes, and technology to achieve these goals.  

Marketing automation solves this problem. It enables companies to streamline and automate activities. Also, it helps to measure marketing tasks and workflows. As a result, they can increase operational efficiency and grow revenue faster.

This category of software tech is designed to allow organizations to more effectively market on multiple channels. Moreover, it helps to automate repetitive tasks. Many modern advertising practices are supported by this automation. These practices include:

  • Lead generation
  • Segmentation
  • Lead prediction
  • Scoring
  • Relationship Marketing
  • Cross-sell and Upsell
  • Retention rate,
  • Return on investment (ROI) measurement
  • Account-based Marketing
  • Personalized Marketing

A marketing expert named John McTigue believes that automation is necessary. He says that without the use of this automation, you are just guessing. And you are hoping that people will take the bait and be ready to buy your products.

“Statistics show that buyers don’t do that,” he says. “They want to learn at their own pace and be reached when they need more information or are ready to buy. A well-constructed marketing automation strategy makes that a reality.” 

It is one of the fastest-growing technologies out there. This is according to Forrester’s Marketing Automation Technology Forecast, 2017 to 2023. The automation tools have become more predominant. and scalable for small and mid-sized businesses. These tools are initially used for large enterprises No wonder marketing automation is no longer a nice-to-have, it’s a must-have. 

The automation technology is expected to show a 14% compounded annual growth rate (CAGR) over the next five years. It predicts the highest growth for “through-channel marketing automation”. These platforms will reach 25% annually. Whereas, “lead-to-revenue automation” platforms will grow at 19.4%.

Nowadays, consumers are filled with advertising messages from every direction. It is essential to make a promotional campaign stand out. Consequently, it has become more difficult than ever before. Marketing teams are under increasing pressure to come up with more different ideas. It is important to create campaigns that are bigger and better than anything the competitors are doing. But doing this with other regular promotional activities is not easy.

Marketing teams need more time to focus on the bigger picture. But it also brings one of the major challenges being faced by many businesses across the UK. Fortunately, technology in the form of marketing automation software could be the answer.

Think of effective promotional automation like growing a garden. You need fertile soil, ripe for growth. Then you need seeds to sow. And you need water and light to nurture those seeds into a lush, blooming plant. With good promotional automation, it’s easier to nurture leads (the seedlings) well enough. That will produce paying customers (a lush, full-grown plant).

But it doesn’t end there. Customers are more than just the output of successful marketing automation. They should be at the center of everything you do. That means promotional automation should continue to play an important role in your relationship with them.

That’s why the most successful promotional automation strategies lay importance to customers. They don’t consider customers an extra at the end of a traditional funnel. Instead, customers should be at the center of a flywheel. The wheel gets more efficient when you add force to that flywheel. Consequently, it reduces points of customer friction.

Successful marketing automation strategies will reduce that friction and speed up your flywheel. Additionally, helping you continue to nurture customer relationships well. Even after they’ve been passed to Sales and the deal has been won.

Common Problems That Automation Can Solve:

Many marketers today are overworked. They are dealing with issues like being unable to track engagement and chasing unqualified leads. These are only amongst the few problems they face. Automation can assist by helping you measure your programs. Moreover, it helps you to deliver more personalized ads. As well as targeted communications. You can also boost up your sales and measure effectiveness. These are some common problems that promotional automation can solve easily:

Problem: I need to do more with less. 

Today we live in a fast-moving digital environment. So, marketers feel pressure to do more with less. They need to generate more leads, grow revenue, and close deals faster. One campaign finish, then the other campaign starts immediately. This automation frees up marketers’ busy schedules with automated tasks. So, they can focus on more strategic work. Consequently, the software will do the rest to manage leads. 

Problem: I don’t have a way to track or optimize user engagement. 

Tracking user engagement is essential. So, promotional automation allows you to capture, track, manage, and score leads coming in. It will help you create, manage, and automate your marketing processes. Similarly, you will be able to create conversations across online and offline channels.

Consequently, you’ll be able to better design your programs. Also, you can measure the ROI accurately of your promotional efforts. Use retargeting and recirculation to improve engagement and connect with the buyer. Retargeting is the process of changing the target market for better results.

Marketing automation provides an easier way to provide the right content to the right person on the right platform. It looks for platforms where customers are open to engaging with you. Expert Marketers says 68% of B2B companies will use landing pages to nurture new sales leads for future conversion.  

Problem: My leads aren’t converting, or I have an inconsistent customer sales journey. 

The biggest problem for business marketers is to generate leads. Approximately, 61% of B2B marketers face this problem. This has been revealed by the B2B Technology Marketing Community. Dealing with leads that aren’t converting into sales is problematic. Or an inconsistent sales pattern is frustrating. But this all can be fixed. Promotional automation allows you to increase potential customers with relevant and useful information. You can target them through multiple channels until they are ready to buy. As a result, nurturing will result in 50% more sales leads at 33% lower cost per lead.
 

Problem: My leads aren’t qualified.

Marketers can’t focus just on top of lead generation and awareness-building strategies. They also need to make sure these leads are a good fit for the company. There’s no point in increasing lead generation if the leads have no possibility of converting to sales. We can understand our potential customers better with marketing automation. Moreover, it helps us know the buyer’s characteristics and preferences. It aids in personalizing each buyer’s journey from the first impression to the sale. Even for after-sales services and beyond. Marketing data and analytics, lead nurturing, and lead scoring capabilities help us to do all of this.
 

Problem: I’m experiencing marketing inefficiencies and tech gaps.

 Many marketers face problems due to marketing inefficiencies. Then automation can help. It automates the work processes. As a result, your staff is free to focus on more strategic work that will help to improve overall processes. Moreover, it will help to create advertising campaigns and boost the bottom line. Automated messaging and email send personalized messaging quickly.  Also, the process becomes simple.

How do You Make This Automation Work?

Marketing automation is powerful, which also means making work. You must understand all its components and distinctions. This page has compiled some of our top components that will help you understand those distinctions. So, you can make marketing automation work for your company.

Components of Marketing Automation

Marketing automation has many useful features. It has the capabilities that allow marketers to deliver results that increase ROI. Some of them include: 

  • A Central Marketing Database: You can store all your marketing data in one place. For instance, data detailed potential and current customer interactions and behaviors. You can segment customers. And send a personalized message to each customer. Think of this as a “system of record” for all your marketing information. 
  • An Engagement Marketing Engine: It creates a climate for the creation, management, and computerization of marketing cycles. Moreover, it helps make conversations and discussions across the web and offline channels. Consider this the “ensemble conductor” for your client connections.
  • An Analytics Engine: It is a way to test, measure, and optimize marketing ROI. You can also find out its impact on revenue. Think of this as the friend which will help you understand what worked. Also, that will explain to you what isn’t working and where you can improve.  

Conclusion:

Marketing automation is essential for your marketing activities. It helps you in understanding customers, make strategies, and save time. Moreover, the automation process creates personalized messages for your customers.

9 Replies to “What is Marketing Automation and How It Works?”

  1. Thanks a lot for sharing this article. This article is very informative for me. I understand more concept from this article. Once again thanks for this interesting article.

Comments are closed.