Using analytics to create marketing messages and product experiences is unique to each consumer. Personalized marketing does more than insert a customer’s name into the same marketing email that will be sent to your customers. It’s about reaching the right person with the right message, at the right time and with the right suggestions.
Personalized marketing is a strategy that uses data to communicate to target audiences and existing customers to deliver an optimized marketing experience. By collecting and leveraging data, businesses can identify patterns to target potential customers more effectively. This information not only allows marketing strategy experts to identify their target audience, but also helps them maintain the relationship with leads throughout the buyer’s journey.
Additionally, personalized marketing strategies allow businesses to reach more people without spending money on marketing methods that are ineffective or target the wrong audience.
Personalized marketing does more than insert a customer’s name into the same marketing email that will be sent to your customers. It’s about reaching the right person with the right message, at the right time and with the right suggestions.
When you personalize your marketing, you send the right message to the right people at the right time. Not only does this add a touch of humanity to your content, but it can also generate more revenue . Find out why you should offer unique marketing to every customer.
What is personalized marketing?
Personalized marketing refers to tailoring your marketing based on the data you collect from your contacts. These include interests, purchasing preferences, purchasing history and much more.
When you use this data to personalize the content your contacts receive via email , ads, and other platforms, you are using personalized marketing.
Personalized Marketing Trends
With businesses increasingly using this strategy, personalization has impacted many forms of customer communication. Here are some of the latest trends:
Personalized Emails : Emails with personalized subject lines are 50% more likely to be opened
Fewer generic ads: Due to the rise of personalization, consumers are becoming less and less forgiving of generic ads: impersonal shopping experiences frustrate nearly three-quarters of consumers . Additionally, more than 70% of buyers respond to marketing only when it is personalized to their interests.
Personalized product recommendations : 75% of consumers are more likely to purchase after receiving personalized recommendations.
The benefits of personalized marketing
When designed well, it benefits both businesses and customers. Some of the main benefits of personalized marketing include:
1. A more satisfying customer experience
The more we feel like our needs are understood, the more likely we are to trust and confide our problems.
When you provide a personalized experience to a customer, it tells them that you understand their pain points . This makes their journey as a customer much easier and transforms the purchasing process into a real relationship, rather than just a transaction.
As this relationship evolves , the customer will learn to trust your recommendations and will be more likely to turn to you when they have a need that you can meet.
2. Increase in customer loyalty
You know how important customer satisfaction is. After all, 65% of a company’s business is generated by loyal customers.
Personalization can also contribute to their loyalty. More than 40% of consumers say they will enjoy becoming a loyal customer of a company that offers a personalized shopping experience, and 80% of people who identify as frequent shoppers only buy from brands that opt for personalization.
3. A better return on your marketing investment
Personalized marketing is a more cost-effective strategy than traditional advertising. When you run a general ad, a certain percentage of the audience won’t need your product at all . Your return on investment (ROI) is limited.
However, personalized recommendations can encourage customers to spend more. Nearly half of the shoppers surveyed had made purchases based on the brand’s recommendations, and 85% of these people were satisfied with their purchase.
According to McKinsey & Company, one of the world’s leading marketing data firms, personalized marketing can increase sales by 10% (or more) and generate up to 8x higher ROI on your marketing expenses.
Source: Mail Chimp