Closed loop marketing

When the funnel becomes a racetrack: amplifying your reach with closed-loop marketing

Despite the work of marketing and sales teams being so deeply interconnected, very rarely do they collaborate. Often there is conflict. Sales teams believe that marketing teams are out of touch with what really matters to customers. Marketers believe that sales teams aren’t thinking about the bigger picture.

Neither really understands what the other does, or the value of their contribution, which often creates extra tension. Sales and marketing teams that don’t work together are missing out on a critical opportunity. This is where closed-loop marketing comes into play.

What is closed-loop marketing?

It’s an incredibly effective data-driven marketing analysis strategy that involves both the sales and marketing teams. It works by using analytics and data to help you build better campaigns and more targeted content for your customers.

Effectively, closed-loop marketing is a cycle of continuous research, analysis and adjustment. It can help you apply the best strategy for your goals and get the greatest ROI for your business.

‘Closing the loop,’ means that your sales team is talking to marketing about what happened with the leads they generated. Sharing this vital information is called ‘closed loop reporting.’ It’s a great way to help marketers understand the effectiveness of their campaigns.

What are the benefits of closed-loop marketing?

When your sales and marketing teams work together, the benefits are huge. Market entry costs go down, sales cycles are shorter and customer acquisition is improved. Implementing a closed-loop marketing strategy can give you:

  • A complete view of your customer
  • Improved customer satisfaction
  • Improved lead management
  • A shorter sales cycle
  • Reduced marketing costs
  • A more effectively allocated budget
  • A quantifiable return on investment

Closed-loop marketing and content

Content and communications teams can use closed-loop reporting to better understand what’s working across marketing channels. It can also help you measure the effectiveness of your campaigns and messaging.

By understanding more about your customers, you can start to create personalised content specifically for them. This will help you increase your revenue. After all, a staggering 80% of customers are more likely to buy from a business that provides a tailored experience.

Your closed-loop marketing strategy in 4 steps

The closed-loop process requires connecting your marketing analytics software with your customer relationship software. The data you extract from your analytics will help you create better and more targeted content for your customers. Here’s the four-step strategy in more detail:

Identify and track your visitors

The first stage of your closed-loop system requires lead capture pages and optimised content. As leads arrive on your website, you can identify and track vital information such as their demographics, interests and behaviour.

This customer data can be tracked using analytics cookies or performance cookies, as well as social media listening or surveys. Different tools are available to help you gather data and identify traffic sources, such as Google Analytics. This data will help you identify the best-performing channels, trends and consumer behaviour.

Check their interests and requirements

Once you’ve collected the data, you can use it to better understand your customers. Identify where your traffic is coming from, what actions they’re taking and which pages they’re viewing. Are they interested in your blogs, newsletter, or voucher codes? Did they arrive at your website because of your organic social media marketing efforts or through paid search?

You can then use this information to curate a detailed list of customers and group them according to their behaviour and interests. This data will help you understand what your customers are looking for and how to reach them with your marketing efforts. It will also help you adjust the content and campaigns that aren’t performing as well.

Create your leads database

Next, it’s time to create your database and populate it with information. This customer database will be used to store vital information such as your customers’ contact details, preferences and purchase history.

At this stage, you’ll need a customer relationship management system (CRM). These systems are used by sales teams to build better customer relationships and streamline processes.

A CRM system will help you get all the necessary information about your customers and ultimately build better quality marketing campaigns. It’ll also help you build trust with your customers and improve brand loyalty.

Manage relationships with your customers

The last step in the closed-loop marketing process is to manage relationships with your customers. Building better relationships with your customers might come in the form of more personalised messaging. It might also include sharing email newsletters or rewarding your customers for their loyalty.

You can then work on understanding how these visits turned into sales. Did most of your customers journey through one particular channel? Did they respond to a particular campaign or piece of content? Once you have this information, you can identify exactly what’s contributing to sales.

Both the sales team and your customer relationship management software will help attribute sales activity to your original marketing efforts. This information can be used to implement new campaigns, create better experiences for your customers and improve marketing ROI. Once this final step is achieved, the marketing loop is closed.

Closed-loop marketing and PR

PR can work with marketing and sales teams to amplify your closed-loop marketing efforts. A powerful public relations strategy can help you streamline your messaging, boost brand credibility and enhance your reputation. It can also help you gather useful feedback, harness customer insights and optimise your strategy.

A strong public relations agency can create compelling and targeted content that resonates throughout the customer journey. This content can be distributed effectively to get the widest possible reach. PR experts can use this content to build positive public perception and foster long-term customer relationships.

 

Do you want to supercharge your closed-loop marketing efforts? Talk to the team at Ambitious to unlock new levels of success for your business.