Big Data or Big Mess?

I'm reading a lot lately about "big data." And this is really a result of all the data that is available out there on users. And the ability to really role up all the channels into analytics that report on everything, not just pieces where you have to pull reports for separate sources and then put it together. Data that most of these users have put out there on themselves (even without knowing it), that can be collected and then mined and analyzed further down the proverbial 'purchase funnel'. The desire for more. If we know this, shouldn't we be able to know that? Why did this person pick red shoes instead of blue shoes? Why a kitten heel instead of stilettos?

And as an advertiser, this information is great because it really allows for a more targeted message. We're moving away from the A18 - 34 demo or the W25 - 54 demo as a result of all this data. We're moving towards a personified demo with psychographic data mixed in with the demographic data. And the net result of this should create a higher ROI because we're getting the right message in front of the right person at the right time. Right? Maybe.

It likely depends, and may or may not even be worth the extra expenditure one might spend on the data and the extra targeting and the dynamic creative in the long run. Are all those added expenditures catapulting the CPA to a point where the return is marginalized? The important piece here is to think about why you're doing - well, anything. Why are you targeting these people? Why are you narrowing it down to the level you're narrowing it down to? Is it worth the expense? How will we benefit from this?

I tweeted this out the other day, because I thought it was a great quote from an article I was reading:

"If the data you're reporting on can't lead to action, it's usually best not to bother." -  http://t.co/LPxvgUsT

The key takeaway is making sure what you're reporting on is really what you care about and what is going to most impact your bottom line. Not just be filler charts for your next investors meeting or board of advisors meeting.