UNIT-5

Marketing and
Sales Analytics
Topics
Marketing and Sales Analytics

Marketing Mix

Customer Behaviour

Selling Process

Sales Planning

Analytics application in Marketing and Sales

Predictive Analytics for customer behavior in marketing and sales

Marketing and Sales Analytics

Marketing and sales

analytics is the process of
measuring, managing,
and analyzing marketing
and sales performance to
maximize effectiveness
✅ Definition and optimize return on
investment (ROI). It
involves using data to
make informed decisions
about customer behavior,
campaign success, sales
trends, and more.
📌 Key Components in Marketing
and sales analytics
Data Collection – Gathering data from multiple sources (CRM, social media, email
campaigns, sales systems, etc.)

Performance Metrics – Tracking KPIs like conversion rates, customer acquisition cost
(CAC), customer lifetime value (CLTV), etc.

Attribution Modeling – Understanding which marketing channels contribute most to sales.

Forecasting & Predictive Analytics – Using historical data to predict future outcomes (like
sales forecasting).

Reporting & Dashboards – Visual tools to help interpret data for quick insights.
🌟 Benefits

Enhanced
Better alignment Ability to
Improved Higher ROI from customer
between sales optimize
decision-making marketing understanding
and marketing underperforming
with real data campaigns and
teams areas
personalization
🔍 Real-Time Example
A company runs a multi-channel marketing campaign
(Google Ads, email, and social media). By analyzing data:
They discover email has the highest conversion rate, though
Google Ads brings more traffic.
Sales analytics shows that leads from social media have the
highest average purchase value.
Using this, they shift more budget toward social and email
for better ROI.
🎯 Marketing Strategy

✅ Definition

A marketing strategy is a company’s overall game plan for

reaching prospective customers and turning them into loyal
buyers. It involves understanding the target market, setting
goals, and choosing the best marketing mix to achieve
success.
📌 Key Components
Target Market – Who you’re marketing to

Value Proposition – What makes your product/service unique

Marketing Goals – Objectives like increasing brand awareness, lead generation, etc.

Marketing Mix (4Ps):

Product

Price

Place (distribution)

Promotion (advertising, PR, digital)

Positioning & Messaging – How you present your brand to your audience

Budget & Resources

Performance Metrics – To track strategy effectiveness

🌟 Importance of Marketing
Strategy

Gives direction Improves

Helps you
and consistency customer Increases Sets a roadmap
allocate
to your engagement and competitive for scalable
resources more
marketing brand advantage growth
effectively
efforts positioning
🔍 Real-Time Example

Marketing Mix:
• Product: iPhones, Their strategy
MacBooks focuses on brand
Target Market: Value Proposition: • Price: Premium pricing loyalty, experience,
Apple’s Marketing Tech-savvy, design- Premium, strategy and innovation,
Strategy: conscious innovative, user- • Place: Apple Stores,
making Apple one of
consumers friendly products Online, Retailers
• Promotion: Clean, the most valuable
minimalist advertising, brands in the world.
product launches
📘 Marketing Mix

The Marketing Mix is a

foundational model in marketing
that outlines the key elements
involved in successfully marketing
✅ Definition It is often referred to as the 4 P's: Product, Price, Place, Promotion
a product or service. It helps
businesses plan and execute
strategies that align with customer
needs and market demand.
📦 Elements of the Marketing Mix
(4 P’s)
🎯 Purpose of the Marketing Mix

Aligns business offering with customer needs

Helps position the brand in the marketplace

Ensures consistency across all marketing efforts

Guides decision-making on resource allocation

Drives a competitive advantage

💡 Key Takeaways

it’s not just about the product—you must think holistically.

The mix must be balanced and tailored to the target market.

Any change in one “P” usually affects the others.

It forms the core of any marketing strategy.

🧪 Case Study Example: Coca-Cola
Let’s break down Coca-Cola’s marketing mix:

Element Coca-Cola Example

Wide range of beverages (Coke, Diet Coke, Zero Sugar,

Product
Sprite), consistent quality, iconic packaging

Competitive pricing strategy; bundles and discounts in

Price
retail; tiered pricing globally

Global distribution: supermarkets, vending machines,

Place
restaurants, online delivery

Memorable campaigns (e.g., “Open Happiness”),

Promotion
celebrity endorsements, sponsorships (FIFA, Olympics)
🧠 Customer Behavior

✅ Definition

Customer behavior refers to the actions and decision-making processes of consumers when they
search for, purchase, use, and evaluate products or services to satisfy their needs and wants.

In simpler terms:

It’s about understanding how, why, when, and what people buy—and what influences those
decisions.
🔍 Key Aspects of Customer
Behavior
🌟 Importance of Understanding Customer
Behavior

Helps tailor marketing messages and campaigns

Improves product development and positioning

Enhances customer experience and retention

Informs pricing, placement, and promotional strategies

Allows for personalization and targeting of specific segments

📂 Types of Customer Behavior

Type Description
High involvement, expensive or infrequent purchases
Complex Buying
(e.g., a car)
Buyer worried about regret after purchase (e.g.,
Dissonance-Reducing
electronics)
Low involvement, routine purchases (e.g., toothpaste,
Habitual Buying
groceries)
Customer switches for the sake of variety (e.g., trying
Variety-Seeking
new snacks)
📈 Parameters That Affect
Customer Behavior

Parameter Influence on Behavior

Cultural Norms, traditions, values, and lifestyle habits
Social Peer pressure, family influence, social media trends
Personal Income, age, gender, occupation, life stage
Psychological Perception, motivation, learning, beliefs, attitudes
Economic Product affordability, economic outlook
Time of purchase, occasion, urgency, physical
Situational
environment
🔍 Real-Time Example: Amazon
Prime Day
• Scenario:
During Amazon Prime Day, customers show specific behaviors:
• Urgency & FOMO (Fear of Missing Out) = psychological trigger
• Peer Influence via social media and influencers hyping deals
• Impulse Buying due to limited-time offers
• Increased Variety-Seeking = trying new products on discount
• Amazon uses:
• Behavioral data (what you browsed)
• Personalized deals (based on your past purchases)
• Limited-time pressure (psychological urgency)
• Result: Huge spike in sales due to strategic influence on customer behavior.
💼 Selling Process

✅ Definition

The selling process is a step-by-step approach used by

salespeople to identify potential buyers, understand their needs,
present a solution, handle objections, and close the deal.

It’s the journey from lead generation to closing and after-sales

follow-up.
📋 7 Steps of the Selling Process
(with Details)
Step Description
Finding potential customers (leads) who might need
1. Prospecting
your product/service
2. Preparation Researching the prospect and planning your pitch
3. Approach Making first contact—email, call, meeting, etc.
Demonstrating how your product/service solves the
4. Presentation
customer’s problem
Addressing any doubts, concerns, or hesitations the
5. Handling Objections
buyer has
Finalizing the deal—getting commitment, signing the
6. Closing
contract
Ensuring satisfaction and maintaining long-term
7. Follow-up
relationship
🔍 Example of Each Step
(Simplified)
Step Example
Prospecting Finding businesses on LinkedIn that need a CRM tool
Reviewing the company's size, needs, industry, and
Preparation
current tools
Sending a cold email to the decision-maker with a
Approach
personalized pitch
Showing a live demo of your CRM, highlighting how it
Presentation
saves time and boosts sales
Prospect says “We already use a CRM” — you highlight
Objection
better pricing & features
“Would you like to start a 14-day free trial or go
Closing
straight to onboarding?”
A week later, you check in: “How’s the setup going?
Follow-up
Can I help you with anything?”
🧪 Real-Time Case Study:
HubSpot CRM Selling to a SaaS
Startup
Scenario:

A HubSpot sales rep targets a 15-person SaaS startup that’s managing leads on Excel sheets.

Selling Process in Action:

Prospecting: Finds the startup via LinkedIn by targeting “Startups hiring for Sales Reps.”

Preparation: Sees they’re growing fast but still using spreadsheets (based on job post).

Approach: Sends a personalized message:

“Noticed you're growing your sales team—could I show you a faster way to track deals?”

Presentation: Gives a demo of how HubSpot automates lead tracking and improves team productivity.

Objection: Startup CEO says they’re tight on budget. Sales rep offers a free tier + startup discount.

Closing: CEO agrees to start with the free version and commit to a paid plan next quarter.

Follow-up: Rep checks in monthly, offering training resources and helping set up automations.

Result: Startup becomes a paying customer 2 months later and expands the plan as the team grows.
💼 Sales Planning

✅ Definition

Sales planning is the process of developing a roadmap to achieve sales goals

within a specific time frame. It includes setting targets, identifying resources,
defining strategies, assigning responsibilities, and monitoring performance.

It ensures your sales team knows what to sell, to whom, how, and when—with
clear goals and strategies in place.
📋 Key Elements of a Sales Plan
Element Description

🎯 Sales Goals Specific, measurable targets (e.g., $1M in revenue,

500 new customers)
👥 Target Audience Ideal customer profiles and segments to focus on
📦 Product/Service Offering What you're selling and the value proposition

📈 Sales Strategies Methods for reaching and persuading potential

customers

📊 Sales Forecast Revenue predictions based on pipeline and market

trends
Team Roles Who does what? Sales reps, managers, SDRs, etc.

Tools & Tech CRM, analytics, communication tools used to

support execution
📅 Timeline Time-bound plan—monthly, quarterly, or annually
📎 Budget & Resources Advertising spend, tools, training, events

🔁 Performance Tracking KPIs, dashboards, and review cycles to monitor

success
🧠 Factors That Encompass a
Winning Sales Strategy
Factor Why It Matters
Explains why customers should choose you over
🎯 Clear Value Proposition
competitors
🧠 Deep Customer Understanding Tailors sales approach to specific customer pain points
Focus on unique features, pricing, support, or
💡 Differentiation Strategy
experience
Streamlined process improves consistency and
🧭 Defined Sales Process
conversion rates
Leverages analytics for forecasting, targeting, and
📊 Data-Driven Decisions
performance tracking
🤝 Alignment with Marketing Ensures leads are warm and messaging is consistent
CRMs, automation tools, sales enablement platforms
📈 Scalable Tools & Systems
help teams grow faster
🌟 Importance of Sales Planning
Provides a roadmap to reach sales goals

Helps forecast revenue growth and pipeline health

Keeps the team focused and accountable

Improves resource allocation (people, time, money)

Reduces risk by preparing for market changes and competition

Aligns sales and marketing around shared objectives

🧪 Real-Time Example:
Salesforce’s Enterprise Sales
Planning
• Scenario:
Salesforce enters a new market segment—mid-sized law firms in
Canada.

• Result: Salesforce exceeded the goal by 15% using a focused, strategic

plan.
Step Example
Goal Acquire 50 new law firm clients in Canada Q2
Target Audience Law firms with 50–200 employees, no existing CRM
Salesforce Sales Cloud + Legal-specific automation
Offering
templates
Targeted email + LinkedIn outreach, live demos, and
Strategy
webinar series
3 account execs + 2 SDRs + 1 customer success
Team
manager
Salesforce CRM, SalesLoft, ZoomInfo, LinkedIn Sales
Tools
Navigator
Forecast Estimated $1.2M in new revenue in Q2
Weekly pipeline reviews, demo-to-close conversion
Review Metrics
rate, CAC
📊 Analytics Applications in
Marketing and Sales

✅ Definition

Analytics in marketing and sales refers to the use of data, statistical models, and AI
tools to gain insights into customer behavior, campaign performance, sales processes,
and market trends — all to optimize decision-making and increase revenue.

It’s about turning data into strategy.

📌 Key Applications of Analytics

Area Application Example

Grouping customers by behavior, demographics, or
Customer Segmentation
purchase history
Lead Scoring Predicting which leads are most likely to convert
Estimating future revenue based on pipeline and
Sales Forecasting
trends
Campaign Performance Measuring ROI across channels like email, social, ads
Churn Prediction Identifying which customers are at risk of leaving
Spotting changes in demand, pricing, and competitor
Market Trend Analysis
behavior
Personalization Delivering custom offers/content based on behavior
🧠 Role of Analytics in Marketing
& Sales

Role Impact
🎯 Informed Targeting Know exactly who to market/sell to
💬 Personalized Messaging Deliver the right message at the right time
📈 Performance Optimization Identify what’s working and scale it
🔍 Insight Discovery Uncover hidden trends or behaviors
📊 Forecast Accuracy Improve predictability of revenue and growth
💰 Budget Allocation Shift spend to high-performing channels
🧪 Use Cases of Analytics in
Marketing and Sales

Using
A/B testing heatmaps to Scoring leads Predicting
ads to find analyze user based on which deals
top- behavior on CRM data + are most
🔹 Marketing performing landing behavioral likely to
Use Cases creatives pages triggers close

Analyzing Tracking 🔹 Sales Use Identifying Coaching

email social Cases bottlenecks sales reps
open/click engagement in the sales using call
rates to to identify funnel analytics and
improve top content performance
subject lines themes trends
🌟 Benefits of Analytics in
Marketing & Sales

Benefit Why It Matters

🎯 Better Targeting Increases conversion and reduces wasted spend
💰 Higher ROI Optimize campaigns and pricing strategies
🧠 Smarter Decisions Based on data, not just intuition
Faster Strategy Adjustments Real-time insights = faster pivots
📉 Lower Customer Acquisition Cost (CAC) More efficient lead conversion
💼 Improved Customer Retention Predict and prevent churn
🧪 Real-Time Example: Netflix

Application: Result: Over 80% of

• Recommendation engine watched content comes
Analytics Used: Viewing suggests shows tailored to each from personalized
🎥 Case: Netflix Challenge: Keep users user
history, user ratings, recommendations
Personalized engaged and reduce • Predicts when a user is likely to
watch time, genre churn and pushes personalized → Massive increase in
Recommendations churn
preferences email or trailer user satisfaction,
retention, and watch
time
🔮 Predictive Analytics for
Customer Behavior in Marketing
& Sales
✅ Definition

Predictive analytics uses historical data, machine learning, and statistical

modeling to predict future customer behavior — such as who will buy, when
they'll buy, what they'll buy, or whether they'll leave.

Think of it as turning customer past behavior into future insights for smarter
actions.
🧠 Understanding Customer
Behavior through Analytics

What It Involves:

Tracking customer interactions across touchpoints (website, email, ads, purchase history)

Analyzing patterns in how, when, and why they buy or drop off

Segmenting customers based on behavior, intent, and engagement level

Using this insight to personalize marketing, optimize sales strategies, and increase retention
📈 Applications of Predictive
Analytics in Marketing & Sales
Application Area What Predictive Analytics Does
Predict which customers are likely to buy next — and
🛒 Purchase Prediction
what
🎯 Lead Scoring Rank leads based on likelihood to convert
Send emails when customers are most likely to open
📤 Email Targeting
or respond
🔄 Churn Prediction Identify at-risk customers before they leave
Suggest products based on past behavior and lookalike
📦 Product Recommendations
customers
🕒 Timing Optimization Find the best time to contact or retarget a customer
💬 Customer Lifetime Value (CLTV) Predict the total value a customer will bring over time
📌 Customer Behavior + Analytics
= Winning Formula
🔍 Key Behavioral Metrics Tracked:

Purchase frequency and recency (RFM model)

Cart abandonment behavior

Browsing/click patterns on your website

Ad engagement history

Time spent on product pages or features

Customer service interactions

Return/refund activity
🌟 Benefits of Predictive
Customer Behavior Analytics

Benefit Outcome
🔥 Personalized Marketing Higher engagement, click-throughs, and conversions
💰 Increased Sales Efficiency Focus reps on high-potential leads
⏳ Reduced Churn Risk Proactively retain at-risk customers
🎯 Better Product Suggestions Drives upselling and cross-selling
📊 Smarter Budget Allocation Invest in campaigns with the highest predicted ROI
👥 Customer Journey Optimization Tailor messages to each stage of the buying process
🧪 Real-Time Example: Amazon’s
Predictive Engine
Data Tracked: Browsing behavior, past purchases, wishlists, search keywords

Predictive Application: Recommends products you’re likely to buy based on your and similar users'
behavior

Outcome:

35% of Amazon’s revenue comes from its recommendation engine

Cart abandonment emails are triggered based on likelihood to complete purchase

💡 Tools Often Used in Predictive
Customer Behavior Analytics:

Tool Category Example Tools

CRM & Sales Platforms Salesforce, HubSpot, Zoho
Predictive Engines Adobe Sensei, Google Cloud AI, IBM Watson
Customer Data Platforms Segment, Bloomreach, Totango
Analytics & BI Tools Power BI, Tableau, Looker
Marketing Automation Mailchimp, ActiveCampaign, Klaviyo
📊 Analysis of Customer Behavior

✅ Definition

Customer behavior analysis is the process of collecting and studying data on how
customers interact with a business across all touchpoints—before, during, and
after a purchase—to identify patterns, preferences, and trends.

It helps businesses understand what drives customer decisions and how to

respond proactively.
🔍 Key Components of Customer
Behavior Analysis
Component Description
Group customers based on demographics, behaviors,
Customer Segmentation
or purchase patterns
What, when, how often, and how much customers
Purchase Behavior
buy
How customers interact with emails, websites, social
Engagement Patterns
media, and ads
Reviews, surveys, NPS, and social listening to gauge
Feedback & Sentiment
satisfaction
Tracking the entire path from awareness to post-
Customer Journey Mapping
purchase actions
Identifying behaviors that suggest a customer is about
Churn Indicators
to stop engaging
🧠 Why Analyze Customer
Behavior?

Purpose Outcome
🎯 Personalize marketing Tailored messages and offers increase engagement
Anticipate buying cycles, churn, and upsell
📈 Predict future actions
opportunities
🧲 Increase retention Proactively address issues before a customer leaves
💰 Improve product-market fit Use feedback and usage to enhance product offerings
⏳ Optimize customer journey Remove friction points and shorten the sales cycle
📂 Types of Customer Behavior to
Analyze
Type What It Involves

Complex Buying Behavior High involvement + major differences between brands

Habitual Buying Routine purchases with little thought (e.g., soap)

Variety-Seeking Behavior Customer wants change (e.g., trying new snacks)

Dissonance-Reducing Risky purchases where reassurance is needed

📊 Common Methods Used in
Behavior Analysis
Method Tool Example

Web Analytics Google Analytics, Hotjar, Crazy Egg

CRM Behavior Tracking Salesforce, HubSpot, Zoho

Heatmaps/Session Replays Hotjar, FullStory

Surveys/Feedback Typeform, SurveyMonkey, NPS tools

Purchase Data Analysis Shopify, Stripe, custom dashboards

Social Listening Sprout Social, Brand24, Hootsuite

💡 Metrics to Analyze
Metric What It Tells You

Customer Lifetime Value (CLTV) Revenue per customer over time

Average Order Value (AOV) Average spending per transaction

Retention Rate How many customers stick around

Churn Rate How many customers you’re losing

Engagement Rate How actively customers interact with your brand

Cart Abandonment Rate Where buyers drop off before purchasing

🧪 Real-Time Example: Spotify

Scenario:
Spotify
analyzes user
behavior to
recommend
music, Tracks skip Uses this to
podcasts, and rate, listening create
create time, liked “Discover Increased
personalized songs, playlist Weekly” and loyalty and
playlists. adds “Daily Mixes” Result: listening time

Customer Identifies Sends Massive boost Personalized

Behavior genres and retention- in user experience =
Analysis in artists the trigger emails engagement lower churn
Action: user loves if usage drops
(“Your favorite
artists just
dropped a
new album!”)