In today’s digital landscape, with the deprecation of third-party cookies, personalization is becoming increasingly important to drive customer loyalty and revenue growth. As consumers increasingly gravitate towards brands that understand their needs and provide tailored experiences, the business value of personalization continues to soar.
To begin with, let’s dive into some eye-opening statistics from Deloitte Digital’s June 2024 report on – “Personalization: it’s Value Exchange between Brands and Customers.“
🤝🏽 71% of consumers say personalization boosts loyalty.
🛍️ 3 out of 4 consumers are more likely to buy from brands that personalize.
💰 48% of leaders hit revenue goals thanks to personalization.
These numbers clearly demonstrate the power of personalization. But how can brands harness this potential?
Strategies for Successful Personalization
Successful Leaders ask the right questions 🙋
- How personal is too personal?
- Are we adding value or just being creepy?
- Is it a win-win for us and the customer?
These questions help you find the sweet spot in your personalization efforts.
Essential Tools for Data-Driven Marketing 📊 (Note: These are my personal recommendations)
- AI & Predictive Analytics: Tools like Adobe Sensei, IBM Watson, Google Analytics 360.
- Customer Data Platforms (CDPs): Salesforce Marketing Cloud, Insider, Segment, Adobe Real-time CDP.
- Dynamic Content Optimization: Optimizely, Dynamic Yield.
- Social Listening: Brandwatch, Talkwalker, Mention.
- Customer Service Platforms: Zendesk, Salesforce, Freshdesk.
- Omnichannel Personalization Tools: Salesforce Marketing Cloud, Adobe Experience Cloud.
Using suggested tools effectively ensures the right message is sent at the right time.
Channel Preference Matters 📺
- Email vs. In-App Ads & Notifications: While 69% say they prefer email, less than 25% open them. In-app ads and push notifications have higher action rates.
- Gen Z Shoppers: 1 in 3 want in-store personalized marketing such as interactive in-store displays, QR codes leading to tailored content, etc.
Personalization is often misconceived as requiring an extensive digital overhaul, but it’s more nuanced than that. Brands need to seamlessly engage with customers both online and offline. A brand that I think does this best at the moment is ‘Target’, whether in-store or via their app, they keep me hooked with personalized suggestions/ offers.
Investing in Personalization for Growth 🌷
- 66% of leading brands invest heavily in personalization.
- They plan to increase this spending by 29% in 2024.
More investment means better tools and better results.
The Bottom Line: Customer-centric Personalization 👜
- 78% of customers want personalization that saves them money.
- 67-69% spend more when brands understand their needs.
Show customers the money, and they’ll show you their loyalty. 😎
In conclusion, personalization is no longer a nice-to-have; it’s a must-have for brands looking to thrive in today’s competitive landscape. By asking the right questions, leveraging appropriate tools, and investing strategically, businesses can unlock the full potential of timely personalization and reap impressive rewards.
If you’d like to do a deep dive, download the report from Deloitte Digital here.