Marketing automation refers to the use of automated software to streamline routine marketing activities down from email marketing to lead nurturing and finally generating sales. Automated marketing is not only limited to emails but also manages social media activities, landing pages, lead nurturing, marketing campaign and a lot more. There is a significant rise in marketing automation in the recent time due to increased need for personalization in lead generation and nurturing.

For instance, when you add an item to your cart or wishlist on shopping sites like Amazon you instantly start seeing ads based on the item you were interested in. Occasionally you may get exclusive offers based on your buying interests as well. This is done through marketing automation. Such messages are automated using marketing data and link tracking mechanisms which help provide the right message to the prospective customers.

Rise of Marketing Automation

Marketing automation is on rise due to increase in online marketing activities and need for personalization and targeting in lead generation and nurturing. In fact, there were 11 times more B2B organizations using automated marketing in 2014 than in 2011, and the numbers are increasing every day.  

As per a report by Email Monday, on an average 49% of all companies are currently using Marketing automation. With more than half of the B2B companies (55%) adopting such technology.

 

Marketing automation Industry

 

Image Source: http://www.emailmonday.com/marketing-automation-statistics-overview#adoption

But why are businesses so inclined towards marketing automation? As per marketing proofs, businesses using marketing automation have seen:

  • 451% increase in qualified leads
  • 14.5% increase in sales productivity
  • 12.2% reduction in marketing overhead

Reasons for the Rise of Marketing Automation

There are many reasons associated with the rise of marketing automation. Some of the core reasons include an increase in market data, strong filtering by email applications, a decrease in the attention span of people, information overload etc. If properly used then marketing automation can drive huge business for the company. It is its capability of driving consumer behavior towards more conversions that makes it so popular. Here are some main reasons associated with the increase in adoption of automated marketing:

Death of Blast emailing

Let’s face it, Blast emailing is dead. Gone are the days when you could just send the same email to a bunch of people and get feedback. Email inboxes now come with a lot of filters which mean that your might be going directly to the spam folder. Even if you manage to get it to the primary tab still, the open rates have declined. People want personalized messaging as if the brand is talking to them directly. Such level of personalization and commitment is possible only through automated emailing.

Increase in raw data 

This is the age of data. We couldn’t possibly have more analytics about our buyers than we have now. The amount of data from demographics to behavior patterns collectively creates a huge cluster of unorganized information. To make use of such data it is important to synchronize it in one place and generate meaningful analytics from the same. Such data-driven marketing is possible only through advanced technologies which have resulted in the rise of marketing automation.

Efficiency

Think about the efficiency of interrupt marketing in the present scenario. What is the closing rate of cold calling and blast emailing? Inbound marketing is so much more efficient because it provides more quality leads in less time and boosts conversion rate. Marketing automation gives arms and ammunition to your inbound marketing. With a higher level of personalization and automation marketing automation boosts the productivity of online marketing and increases ROI.