When marketing strategies become old and outdated, bringing innovation into processes becomes a dire necessity to compete with the competition.
Conventionally, marketing agencies relied on written or printed documents containing customer data, which made access to information much more difficult.
Now, with advancements in SaaS solutions and technologies like Optical Character Recognition (OCR), agencies can digitize crucial files easily and add, update, and edit customer data as they see fit.
This means quick, smart decisions for marketing agencies that can elevate productivity and functionality to the next level.
This post will discuss all the tips and tricks marketing agencies can apply when digitizing customer data. We will try to cover every aspect in detail, so read until the end to avoid missing anything.
What is customer data?
Customer data is any information that is gathered by the business when the customer interacts with them.
This includes their names, addresses, phone numbers, email, etc. It can also contain their purchase history, order details, or insights about their online activity, such as how much time they spend on social platforms like LinkedIn, Instagram, etc.
Leveraging such data, marketing agencies can create buyer personas or customer profiles, allowing them to target users precisely.
Why digitize customer data?
There is a dire need to digitize and store customer data in one place so that everyone in a marketing agency can easily access the required information for a buyer when needed.
This approach helps close more deals and aligns the entire marketing agency, smoothing workflows for each department.
The digitization of customer data also reduces human errors when tallying and inputting the information from a piece of paper to a computer. However, all these reasons are just scratching the surface. As businesses recognize the need for structured customer data, investments in Customer Data Platforms (CDPs) have surged. The CDP market is expected to grow from USD 2.4 billion in 2020 to USD 10.3 billion by 2025, highlighting its rising importance in marketing strategies.
Image Source: Algonomy1. Enhanced marketing efficiency and ROI
With data already in a digital format, marketing teams can analyze and act on insights faster. This allows them to make data-driven decisions easily, improving ROIs and making it easy for everyone to meet KPIs.
2. Better customer insights and personalization
Personalization is a necessity of the modern marketing industry. Digitizing customer data can create more precise customer profiles. From behavioral trends to demographic insights, agencies can effectively tailor campaigns directly to target audiences.
Once digitized, customer data can seamlessly integrate with various marketing tools, such as email marketing platforms, CRM systems, and analytics software. This integration enables marketing teams to activate campaigns faster, monitor performance in real-time, and glean deeper insights into customer behavior, ultimately enhancing overall marketing effectiveness.
When digitizing customer data, it's crucial to know privacy laws such as GDPR and CCPA. Compliance with these regulations protects customer information and builds client trust and credibility. Marketing agencies should implement practices that ensure customer consent for data collection and provide transparency about how the data will be used.
Tips for effective customer data digitization
Now, on to the main part. How does a marketing agency quickly digitize customer data without falling into common pitfalls? Find the answer to this question and more in this section.
1. Develop a clear strategy
Know what you want to achieve by digitizing customer data. Are you aiming to streamline campaign creation, improve response times, or enter a new market?
A clear, actionable goal can be truly helpful in establishing a solid data digitization strategy. This goal can clarify how all marketing agency departments should digitize customer data.
When setting goals for digitizing customer data, consider the scalability of the solutions you choose. Select technologies that can grow with your agency's needs, allowing for increased data volume and expanding functionalities as your client base expands.
Pro tip: Utilize the SMART (Specific, Measurable, Actionable, Relevant, Time-bound) framework to make data digitization goals easy. This will allow your agency to achieve hyper-personalization to cater to customer needs.
2. Train your team
The second tip is to train your team in data digitization processes so that they can achieve the goals you want them to.
Involve your front-line workers in workshops and training seminars/webinars. Teach them how to use complex digitization software (CX and CRM), data cleansing tools, etc., so they are not completely clueless when faced with dynamic working conditions.
If needed, industry professionals should be involved to help guide workers to success. This may take some time, so you must be patient.
Adopting a digitized approach requires a cultural shift within the agency. Foster ongoing training and support for your team to encourage a mindset that embraces data-driven decision-making. Highlight the value of data in achieving business objectives to inspire engagement and commitment.
3. Establish data quality standards
Digitization without standards can quickly cause chaos. To keep everything consistent and reliable, set guidelines for data formats, naming conventions, and input protocols.
Furthermore, you can automate data validation using programs running on Python Scripts or otherwise. If that's your work style, hire relevant professionals or train existing ones. This will ensure fewer errors when digitizing customer data and that the workflow remains smooth and fluid.
A critical aspect of digitizing customer data is ensuring the system is user-friendly. A well-designed interface enhances team adoption and facilitates efficient data retrieval and usage. Gather team feedback during development to create an intuitive solution that meets the needs of your marketing staff.
4. Conduct regular check-ins
Regularly check for errors in the digitization of customer data. Audit your databases to minimize missing links in information. Try to keep everything fresh and remove outdated records.
Example Scenario:
“Customer B talked to the front desk operative on the phone 6 months back. They registered their home address as House 23, Marina Drive, California.”
As we can see in this situation, six months is a long time for a person to live in the same place. They might have entirely switched houses in the same area or the city/country.
You need to contact customer B to get their updated address so that deliveries or correspondence (if any) can be made to them smoothly and efficiently.
To maintain the accuracy and relevance of customer data, establish best practices for regular maintenance. Schedule routine audits of your database, update records promptly, and implement data cleansing tools to remove duplicates and correct errors. Consistent data upkeep ensures that marketing decisions are based on current and reliable information.
Establishing feedback mechanisms is essential for continuous improvement. Encourage team members to provide input on the digitization process and report any challenges. This collaborative approach fosters an adaptive environment capable of refining practices based on real experiences.
5. Strengthen data security
Digitizing customer data is one thing, and securing that data is another. Your digitization efforts will be wasted if you don’t learn how to implement strong data protection protocols in your marketing agency’s frameworks.
To safeguard data integrity, use encryption, role-based access controls, and regular security audits. If storing data on physical drives becomes necessary, safeguard the data with encryption techniques like BitLocker, etc. Organizations that extensively use security AI and automation have seen an average cost savings of USD 2.22 million compared to those that don’t, proving that proactive security measures can make a significant financial difference.
Develop an incident response plan in case things go wrong, and conduct regular security audits to further improve data security. Training staff on data security best practices can further ensure that customer data remains protected against breaches.
6. Plan for scalability and sustainability
Sure, your current digitization plan and strategies are working. But will all this remain functional, secure, and viable in the future?
For a marketing agency competing in the 21st century, it becomes essential to consider digitization practices in terms of scalability and sustainability. When the business grows, so should your online infrastructure to hold that data.
Platforms such as AWS or Google Cloud can help you scale and sustain your agency’s requirements.
Tools for digitizing customer data
Digitization doesn’t have to be a headache. The key is to equip yourself with the right tools to ensure the process is smooth and successful.
1. OCR technology
OCR (Optical Character Recognition) tools are perfect for converting physical documents, images, or handwritten notes into editable text.
OCR tools are perfect for digitizing customer data if your agency handles client contracts, brainstorming notes, or scanned surveys.
There are many options; however, none is worthwhile for businesses, especially due to their paywall restrictions.
We found some tools on the Internet, including jpgtotext.com, imagetotext.io, and OCR.best. These can be used without registration or signups.
That said, many other online platforms can also perform such tasks. So, don’t let us limit you—explore alternatives and select the best OCR solution for your agency.
2. CRM systems
CRM (Customer Relationship Management) systems are vital for centralizing and managing digitized customer data. These comprehensive solutions may be more costly than other tools and resources. But the rewards they help you reap are immense.
Platforms like Salesforce and HubSpot allow agencies to integrate leads, existing client profiles, and campaign data into one accessible ecosystem. This data centralization ensures better organizational collaboration and communication, streamlining workflow.
CRMs are also crucial in employee onboarding, allowing digital marketers to start working as soon as they sign that offer letter.
3. Data cleansing and monitoring tools
Converting data to digital form is only the beginning. Cleaning and validating that data is also crucial to using the information in key processes quickly and efficiently.
Tools like OpenRefine can help repair inaccuracies, eliminate duplicates, and ensure consistency across datasets.
Moreover, tools like Two Minute Reports can ensure you get updates about every user activity. This can help track their usage patterns for different platforms, allowing you to present your offerings to them at the right place and time.
Overcoming common challenges
Although online tools and resources have made digitizing data quite easy, you should be aware of the many challenges in this process.
1. Dealing with unstructured data
Unstructured data includes sources like customer surveys, data from IoT sensors, email correspondences, etc. It doesn’t have a proper, predefined structure or format, making it very hard to understand and handle.
However, OCR solutions and data cleaners can significantly help in this aspect, allowing you to keep your productivity up without compromising data quality.
2. Ensuring data security and compliance
Digitized data must be protected. If that’s not the case, you can land in compliance issues and get penalized under standards like GDPR, HIPAA, CCPA, etc.
So, ensure that the software or methods you use to encrypt data are always up-to-date and functional. Complying with industry standards also boosts your credibility as an agency.
3. Dealing with legacy systems
Many agencies face integration issues between new digital tools and old systems. This is a common problem, especially for those who entered the digitization scene much later than others.
To combat this, we recommend using middleware solutions like Zapier or custom APIs to bridge the gap between legacy and new systems. This ensures a smooth transition from paper to digital form without losing valuable information.
Digitization case studies
Today, many marketing agencies have digitized their customer data and are reaping great rewards. Let’s learn more about them in this section.
Case study 1: Digital Diagnosis Marketing
Founded in early 2017, the Digital Diagnosis Marketing agency found its footing in the industry because of its highly efficient customer digitization methodologies. They’ve helped big businesses like Carvana drive great success by implementing their innovative techniques.
Case study 2: Agency Jet
Agency Jet is yet another resilient company that leverages data as its friend to propel businesses to success. According to their claim, clients stick with them 4x longer than the industry average, highlighting their ability to provide greater ROIs with cutting-edge digitization and customer acquisition techniques.
Final words
Digitizing customer data is essential for marketing agencies aiming to enhance efficiency, improve customer insights, and facilitate data-driven decision-making.
Agencies can successfully navigate the digitization process by using the discussed tips and tricks, such as developing clear goals, training teams, establishing data quality standards, and prioritizing security.
Using tools and technologies like OCR and CRMs in this journey can further streamline this effort. However, digitizing customer data for marketing agencies running legacy systems can be gruesome and time-consuming.
