The ‘dark side’ of data–driven marketing: a system’s thinking analysis

Abstract

ABSTRACT Data-driven marketing has become a prominent strategic marketing approach, but it is prone to complex challenges, often referred as its dark side. The literature on data-driven marketing is dominated by its positive aspects, but there is an emerging literature stream focussing on its challenges. This study aims at contributing to this literature stream by providing an empirical study involving a holistic analysis of the undesirable effects of data-driven marketing using a systems thinking approach. The challenges faced by a New Zealand university in its international marketing using data-driven marketing is used as a case. Using 23 interviews, a systems model was developed, capturing the underlying structure behind these challenges. Eight interacting feedback loops were identified in the model, responsible for these complex challenges. A focus group was used to formulate three strategic interventions to address the complex challenges facing this organisation involved in data-driven marketing.