When you visit an e-commerce website like Amazon or eBay, you’ll see products based on both your purchase and browsing history. If you like listening to music, you are probably a big fan of Spotify and particularly “Discover Weekly”, because it makes you feel “acknowledged” by the company. It knows your musical tastes better than any person in your entire life ever has, and you’re constantly delighted by how satisfying and right it is every week, with tracks you would probably never have found by yourself or thought you would have liked.
What is personalization?
According to Wikipedia, personalized marketing, or one-to-one marketing is a marketing strategy with which companies leverage data analysis and digital technology to deliver individualized messages and product offerings to current or prospective customers. At a most basic level, we can define personalization as “the process of delivering an experience that is unique to each and every visitor across digital touchpoints”.
“74% of people get frustrated when websites have content, offers, ads, and promotions are irrelevant to their interests” - janrain.com
Personalization helps to bridge the gap between the vastness of what is available and the needs of customers for a streamlined shopping experience. By providing a customized experience for customers, you can accomplish 70% higher conversion rate, 40% higher average order value and 12% more sales in a month - Monetate Research
Why personalization is important?
Consumers want to be treated as individuals with unique traits. Today, they expect that brands will understand who they are, what they like, what they want, how they want it...and communicate with them in a way that sets them apart from the mobs. Therefore, we need to provide the information that consumers want, in the right place and at the right moment.
Coca-Cola kicked off the trend of personalization with a campaign called “Share a Coke”. When customers saw their name on the coke bottles, it created a personalized experience, encouraged people to share with friends and spread the brand’s message using the hashtag #shareacoke.
In a recent research from Epsilon, 80% of consumers are more likely to do business with a company that leverages user data to make the shopping experience more relevant. In a different study, 86% of the shoppers said that personalized marketing influenced their buying decisions, and the top three motivators were discounts (75%), free shipping (74%) and relevant product suggestions (68%)
Bombfell leverages data that you provide via a style survey, compares it against other subscribers, and then with the help of a personal stylist, ships packages to its customers with styled outfits personalized to your taste, shape, and size.
How do we apply personalization across all relevant channels?
Nowadays, consumers have access to a wide range of content and a lot of channels before they make a decision. Overwhelmed by a mess of information, people naturally see their interests aroused by places where they feel recognized, appreciated and valued as an individual.
Let’s say that you are finding a hotel for your vacation in Bangkok. You land on TripAdvisor’s site and find the hotels you are interested in, but then you become distracted by something else and left without booking a hotel.
Later, when you go on Facebook scrolling through your news feed, you notice something familiar: the hotels in Bangkok that you were looking at on TripAdvisor. This is what we call retargeting actions.
This ads offers the users a reminder and incentive them to go back and finalize their journey. Applying personalization across in every channel – customers are esteemed and can pick up exactly where they left off – should be the goal. To do so, companies need to be able to:
1. Track an individual’s behavior across different channels
2. Merge that information with relevant customer data from other systems
3. Automatically interpret the data to determine affinities and intent
4. Gather everything in a central place – creating a single, unified profile for each person
5. Act on all the data in real time.
The most important element – and an essential part of all five steps – is, of course, data. You can’t personalize an experience for an individual if you don’t know him or her.
At DRIVE, we can help you get a global and deeper understanding of your consumers’ expectations by suggesting you concrete marketing actions plan based on personalization, powered by skilled talents, reliable data, and scalable technology system.
For further info, you can meet us, call us, send us a message or take a look at our website www.drive-agency.com.