In today’s hyperconnected world, understanding consumers is crucial for engagement and brand reputation. Location data is a key resource for brands and advertisers alike, but understanding how to best choose a location data provider and quantify the benefits can be difficult.
That’s why Factual commissioned Forrester Consulting to conduct a Total Economic Impact™ (TEI) Study and examine the potential return on investment (ROI) businesses may achieve by utilizing Factual location data.
To assess the value of Factual location data, including unquantifiable benefits like increased customer lifetime value (CLV) and residual revenues after the initial purchase, Forrester interviewed six of Factual’s current customers. Forrester then aggregated each piece of feedback to create an in-depth financial analysis using the TEI methodology.
Our intention with this study is to provide brands and advertisers with a framework to evaluate the potential financial impact of using Factual data as a component in their marketing campaigns. Here are a few other highlights from the report:
202% OVERALL ROI WHEN USING FACTUAL’S LOCATION DATA
Forrester’s interviews with existing customers and subsequent in-depth financial analysis found that Factual location data products creates benefits of $3.4M over three years and an ROI of 202%. The full report shows the financial benefits of leveraging Factual location data in detail.
400% INCREASE IN REACH FROM FACTUAL’S SCALE
Combining the use of behavioral data with a large and accurate POI database, brands and advertisers can target with hyper-locality at great scale. Where other data providers did not have granularity or adequate location information, Factual can hone in on customer types from very specific locations, yielding higher rates of visitations. One marketer indicated that coverage was up to 4x as great as some other location providers (without sacrificing quality).
FACTUAL CAMPAIGNS PRODUCE 47% COST-PER-ACTION (CPA) SAVINGS
Traditional indicators like CTR are not always the best indicators of driving in-store foot traffic. Instead, many brands used CPA to deterministically assess the value of a campaign. Greater accuracy from Factual’s high-quality data drives huge CPA savings, with Factual customers reporting their average CPA dropped from $3.75 to $2.00.
ADDITIONAL BENEFITS FROM USING FACTUAL DATA
Forrester’s interviews and analysis of Factual customers pointed to additional benefits that could not be reasonably quantified but are still important to note including:
- Ability to reach the right consumers for increased customer lifetime value (CLV) and residual revenues after the initial purchase
- Flexibility to leverage customer behavioral traits across multiple marketing channels
- Continual optimization from fresh data provides opportunities for businesses to maximize campaign results
Download the free report to read the full analysis with benefit breakdowns!
Interested in learning more after reading the report? Join Ocean Fine of Factual and guest speaker, Anish Shah of Forrester, as they share the results of the research and tips for using location data to increase marketing effectiveness. Register for the MMA webinar below.