CHAPTER 5: MARKETING

ANALYTICS
NO. 5, 6, 7, & 8
Azka
5. Describe the definition of data mining and explain
how marketers can put it in to good use!
Data Mining is a process to extract information from a data set and
transform it into an understandable structure for further use.

Data Mining helps marketing professionals understanding their customer

behavior.

This better understanding allows them to target marketing campaigns more

accurately and to align campaigns more closely with the needs, wants and
attitudes of customers and prospects.

It can help to increase return on investment (ROI), improve CRM and

market analysis, reduce marketing campaign costs, facilitate fraud
detection, and customer retention.
5. Describe the definition of data mining and explain
how marketers can put it in to good use!

Data mining can be used in many different sectors of business to

both predict and discover trends.

In the past, we were only able to analyze what a company’s

customers or clients HAD DONE, but now, with the help of Data
Mining, we can predict what they WILL DO.

In sum, data mining in marketing is very helpful because

marketers can able to summarize and analyze to discover useful
information.
6. Explain some ethical issues regarding to the use of
data mining.

In June 2014, a researcher from Cambridge University named

Aleksandr Kogan made a personality quiz application,
'thisisyourdigitallife'. Zuck revealed the Kogan application was
installed by around 300,000 people who were willing to share
their personal data and some of their friend's data.
 6. Explain some ethical issues regarding to the use of
data mining.
Cambridge Analytica conducted several methods which are research,
intensive surveys, data modeling, and optimizing the use of algorithms to
target as many as 10,000 different advertisements to the audience. These
advertisements were practiced to a different audience according to their
personal data for months until the 2016 general election.
7. Explain the application of data mining for marketers.
7. Explain the application of data mining for marketers.

• Customer Acquisition: Firms use demographic database such

as age, gender, tastes, etc. to determine which of its
customers respond best to specific offers
• Customer Retention and Loyalty: firms identify big-spending
customers and target them for special offers.
• Customer Abandonment: Firms identify unprofitable
customers-those who don’t spend enough or who return
most of what they buy.
7. Explain the application of data mining for marketers.

• Market Basket Analysis: develops focused promotional

strategies based on the records of which customers have
bought certain products.
8. Describe the definition of marketing analytics include
and explain how digital marketing channels connect to
marketing analytics.
Marketing Analytics:
Marketing analytics is the practice of measuring, managing and
analyzing marketing performance to maximize its effectiveness
and optimize return on investment (ROI).
 8. Describe the definition of marketing analytics include
and explain how digital marketing channels connect to
marketing analytics.
Connect Digital Marketing Channels to Marketing Analytics:
• Pemasar menghadapi tantangan menentukan campaign dan
efektivitas.
• Pemasaran digital telah menjadi elemen yang semakin penting
dari kotak alat pemasar.
• Semakin banyak orang menghabiskan lebih banyak waktu online.
• Lebih mudah untuk melacak perilaku konsumen dalam
menanggapi tindakan pemasaran digital