By Jackie Sciaudone | Feb. 20, 2019
Today, progressively more amounts of data are readily available to businesses and consumers now have more choices than ever, which means the competition for loyalty is fierce. This means that businesses are charging forward to compete on the basis of customer experience, using personalization like never before. Even though technology has made huge advances in the past several years, companies have only just begun to crack the surface of their personalization capabilities. Here’s why increasing personalization with customers is vital to your business and its future.
- Increased Revenue
Personalization is causing a shift in the landscape of consumer brands, and we are just seeing the beginning of it. Having more personalized customer experiences grants you more than just satisfied consumers. Brands that have put time and effort into creating those sought-after personalized experiences are reporting a revenue increase between six and 10 percent, and they’re using technology and data to do it. This reported growth is nearly three times more than with brands that lack personalization with their consumers. With increased personalization, your business can satisfy the wants of consumers, while also growing your bottom line.
- Fostered Loyalty
In recent years, customer loyalty programs have increased; yet the average customer is only loyal in about 50 percent of the loyalty programs they involved in. The cause of this is that many businesses see customer experiences as ‘one size fits all’ — which leads to decreased engagement from lack of personalization. Consumers today are seeking out businesses that are personalized to their individual needs. In fact, 44 percent of consumers say they will likely return to a business after a personalized shopping experience. Creating more tailored customer experiences allows for your business to foster brand loyalty.
- Better Experiences Strengthen Brand Equity
It’s not new knowledge that customers want personalized experiences with their chosen brands. About 79 percent of customers will only consider brands that show they understand and care. So, rather than generalizing communications, use the customer’s name and know their specific preferences — this is essential. For example, if Suzy likes to communicate via an online chat rather than through a call, that should be noted, and your business should provide that for her. Altering simple business strategies so that they are more custom-made will create better customer experiences, and ultimately a better brand.
If your business isn’t currently delivering personalized experiences, then it’s time to do so. Having your customers know that you care about their wants and needs will help foster long-term relationships, while also increasing your company’s revenue. Don’t let the lack of personalization drive customers to the arms of your competitors; see how our team can help!