How Mr. John Used Analytics to Discover the Right Audience for His Company

What is the most valuable resource in 2019? Is it gold, oil, copper?

Well, the answer is none of them. The most valuable resource today is the data. If you used your vote on oil, you are wrong. Data is valuable because the things you can do with it is nearly unlimited.

Today we want to give you a case study example on how you can decipher data to understand the patterns and discover new opportunities.

Mr. John — Food Delivery Company

We all know that the food delivery industry is very saturated and fiercely competitive. It’s essential to have an edge against your competitors, and delivery companies are utilizing big data analytics in their favor to understand their user actions better and analyze it to discover trends and patterns.

In this example, we will talk about a product manager in the food industry and how he can use analytics to discover correlations and trends in the customers’ behaviors.

Let’s call our product manager John, and John wants to dwell into data to uncover some new insights which he can use it to help marketing team to optimize their marketing campaigns to increase return on investment.

John thinks that people who actively use Uber would not be using food delivery services because using Uber actively means that these people are mostly active and spend their time outside therefore they would prefer not to eat at home.

John also thinks that people who actively use Netflix would be an ideal target for his food delivery company. He believes that people who watch Netflix often are the kind of people who spend a lot of time at home. He asks himself “what do I do while I watch Netflix?” and the answer is obvious “I order food.”

So based on his hypothesis John wants to decipher the data to prove his idea. John segments his customers into two groups. Customers who have Netflix app and customers who have Uber apps installed on their devices.

John wants to see if his hypothesis makes sense. He checks how often people who have Uber installed in their devices orders food, and he also wants to see how often people who have Netflix installed orders food. If his theory is correct, he will see that people who use Netflix app order food more frequently than the other group.

So next time the marketing department wants to launch a campaign specifically for the churned users, it’s better to target the customers who have Netflix on their devices because of the reasons mentioned above. If you can pinpoint your target audience, then your marketing campaigns will be more accurate.

You can do experiments with the data, and this will allow you to discover new opportunities. There are many more examples we could give it to you just like the one we have given in this article.

Implement data-driven decision-making culture to your organization so that employees like John can come up with exciting ideas to test.

Author

Can Ozuysal