In: Economics
What are some examples of Database Marketing & Discrimination?
Database marketing very simply put is marketing based on a database of prospective customers. Marketing can be a very heavy-effort lengthy and elaborate process. But database marketing tried to reduce this effort and increase its efficiency by using statistical techniques to design marketing strategies. Marketing discrimination on the other hand can be seen as one marketing strategy adopted post database marketing. It is the adoption of different marketing strategies for different consumer groups.
Digital marketing provides a fine example for both these concepts. Applications on our phones, websites on our browsers collect information or data points about us and build big data databases. Then they show us adverts based on our preferences. For instance there is a very high probability that if you browse clothing stuff online, you will be shown greater number of such ads, than somebody who browses something else more.
Social media campaigns also devise such strategies. If you adhere to one particular political ideology or social philosophy, say either leftist or rightist, and have followed pages that subscribe to such ideas, your recommendations will be so based also.