Unlocking superior engagement in marketing and customer service
By Jonathan Billing, Director, Reva Marketing
The era of one-size-fits-all has long gone. As customers we now expect experiences that are tailored to our individual preferences, behaviours and specific needs. We like to be treated as individuals and not pigeonholed into types. For this reason, personalisation has become a key factor when it comes to achieving customer satisfaction – driving engagement and loyalty, which are critical for business success. Here’s why personalisation matters and how businesses can harness its power to achieve the best engagement.
Why personalisation matters
Enhanced customer experience
Personalised interactions make customers feel valued and understood. According to an Adobe Commerce survey, 67% of consumers say they want personalised offers based on their individual spending habits, whether they’re shopping online or in-store. If you tailor your communications and offers to match individual preferences, it creates a seamless and enjoyable customer experience. This level of attention to detail can significantly improve customer satisfaction and retention.
Increased engagement
Personalisation drives higher engagement rates. Emails with personalised subject lines are more likely to be opened and tailored content is more likely to be read and acted upon. This is because personalised messages resonate more with customers, capturing their interest and encouraging them to interact.
Improved conversion rates
In a recent MailChimp survey they found that 87% of people were more likely to click on a personalised email and 71% were more likely to buy from companies that target communications in this way. By delivering relevant content and offers, personalisation increases the likelihood of conversions. Customers are more inclined to purchase products or services that align with their interests and needs. Personalised recommendations can significantly boost sales and revenue.
Competitive advantage
In a crowded marketplace, personalisation can differentiate a brand from its competitors. Businesses that effectively personalise their marketing and customer service strategies are perceived as more innovative and customer-centric, giving them an edge over less adaptive competitors.
Tips for achieving the best engagement through personalisation
1. Leverage data and analytics
The foundation of effective personalisation lies in understanding your customers. Utilise data and analytics to gain insights into customer behaviour, preferences and purchasing patterns. CRM systems and data analytics platforms, if used correctly, can help gather and analyse this data. By understanding what your customers want and how they interact with your brand, you can create more targeted and relevant experiences.
2. Segment your audience
Not all customers are the same and treating them as such can be detrimental. Segment your audience based on various criteria such as demographics, purchase history and behaviour. This allows you to create tailored messages for different segments. For instance, new customers might receive a welcome discount, while loyal customers might get early access to new products.
3. Personalise communication
Personalised communication goes beyond using a customer’s name in an email. It involves tailoring the content, timing and channel of communication to match the customer’s preferences. For example, some customers might prefer receiving updates via email, while others might favour SMS or social media notifications. Personalise your messaging to align with these preferences.
4. Utilise AI and machine learning
Artificial intelligence (AI) and machine learning technologies can significantly enhance personalisation efforts. These technologies can analyse vast amounts of data to predict customer behaviour and preferences, enabling more accurate and dynamic personalisation. For instance, AI can power recommendation engines that suggest products based on past purchases and browsing history.
5. Create dynamic content
Dynamic content allows you to display different content to different users based on their characteristics or behaviour. This can be particularly effective in email marketing and on websites. For example, an e-commerce site can show different homepage banners to different users based on their previous interactions or interests.
6. Focus on customer journey mapping
Understanding the customer journey is crucial for personalisation. Map out the various touchpoints a customer has with your brand and identify opportunities for personalisation at each stage. This could involve personalised onboarding experiences for new users, tailored product recommendations during the shopping process and customised follow-up communications after a purchase.
7. Gather feedback and iterate
Personalisation is not a one-time effort – it requires continuous improvement. Gather feedback from your customers about their experiences and use this information to refine your personalisation strategies. Surveys, reviews and direct feedback can provide valuable insights into what’s working and what needs adjustment.
8. Respect privacy and data security
While personalisation relies on data, it’s essential to respect customer privacy and ensure data security. Be transparent about how you collect and use data, and give customers control over their personal information. Comply with the UK General Data Protection Regulations or the Data Protection Regulations for where you operate and build trust by safeguarding customer data.
A necessity and not a luxury
Personalisation is no longer a luxury but a necessity in modern marketing and customer service. By leveraging data and technology, businesses can create meaningful and relevant experiences that drive engagement and loyalty. The key to successful personalisation lies in understanding your customers, segmenting your audience and continuously iterating based on feedback. In doing so, businesses can not only meet but exceed customer expectations, fostering deeper connections and long-term success.