The Power of Personalization in Marketing: How to Create a One-to-One Customer Experience

Think about the last time you interacted with a company. Chances are, the experience was pretty generic. You probably received an automated email, or a message that didn’t address you by name.

This is not what customers want anymore.

In today’s world, customers expect a personalized experience when they interact with brands. They want to feel like the company understands them and cares about their needs.

To deliver that,  marketers need to create a one-to-one customer experience. Today, you’ll find out how to leverage personalization in your marketing.

What is personalization in marketing?

Personalization in marketing is the process of tailoring your marketing messages to fit the needs of each individual customer. It’s about creating a unique, customized experience for each person who interacts with your brand.

With personalization, you can address each customer by name, recommend products they might be interested in, and give them relevant information about their purchase history.

Benefits of personalization in marketing

Woah… there are many.

Personalization makes customers feel special and appreciated

Who doesn’t like it?  According to a study by Hiver, 51% of respondents feel that companies care about them and go the extra mile to keep them happy. That being said, customers feel like the company cares about them when they receive personalized messages.

Even a single message that’s tailored to their needs, like a personalized appointment reminder, can make them feel valued

It helps businesses stand out from the competition

Not each and every brand  is doing it (yet), which gives those who do a significant competitive advantage. Start slowly and build up your personalization strategy as you go.

It could even be as simple as creating a QR code which when scanned, would mark an event on their personal calendar. 

Personalized marketing messages are more likely to be remembered and acted upon

Recall rates for personalized messages are up to three times higher than generic messages, according to a study by Accenture. What does it mean in practice?

Customers are more likely to become loyal supporters

If you have great experience with a company, you are more likely to continue using its products or services and recommend them to others. This applies to both BtoC and BtoB companies.

Personalization can lead to increased sales and revenue for businesses

It’s not just a feel-good tactic – personalization can actually help you boost your bottom line. Studies have shown that personalization can increase conversion rates, and get you more repeat customers.

Challenges of personalization in marketing

#1 Change of company mindset

The biggest challenge when it comes to personalization is getting the company on board. In most cases, that’s shiftingcompany mindset about marketing.. They need to think about their customers as individuals, not just a mass audience.

This can be a difficult shift for many companies, but it’s necessary if they want to stay competitive.

#2 Managing customer data

Another challenge of personalization is managing customer data. To create a one-to-one customer experience, you need to have a complete picture of each customer. This includes everything from their purchase history to their interactions with your brand.

It’s not impossible, though, as long as you have the right tools and business processes in place.

Creative management platforms can drastically reduce the burden on your marketing and design teams, automating every creative aspect of the production process.

#3 Putting a strategy in place

The third challenge is putting a personalization strategy in place. This includes understanding your customer data, creating personalized messages, and testing and optimizing your campaigns.

It’s a lot of work, but it’s worth it if you want to create a one-to-one customer experience, especially in times of crisis.

Personalization in marketing: best practices

Segment your customer base

To personalize your messages, you need to know who you address them to. Segmenting your customer base is the easiest way to do this.

There are many different ways you can segment your customers, but some common criteria include:

– Age

– Gender

– Location

– Purchase history

– Interactions with your brand

It’s okay if you don’t have all of this information yet. You can start with what you have and build up your segments over time. And you can use creative types of content (like quizzes or polls) to easily capture this information while providing value for your users.

Have personalized messages ready for A/B testing

This might not be the case here, but in general, you should have a few different messages ready for A/B testing. This way, you can see what works best for your customers.

In your messages, you should focus on passing along value to the customer. This could be in the form of a coupon, a free sample, shipping offer, or something else that’s relevant to them.

Don’t forget to test different subject lines, too! This is often what decides whether or not someone opens your email.

Build email marketing sequences for the best results

If you’re not already doing this, you should build email marketing sequences for your personalization campaigns. This means creating a series of messages that are sent out over a period of time, based on customer behavior. You can also refer an email marketing guides to create your first personalized Campaign.

For example, you could have a welcome sequence for new customers, or a reactivation campaign for customers who haven’t interacted with your brand in a while. And then, once you have insights to use from your A/B tests, you can create more targeted sequences for different segments of your customer base.

Test a few channels to verify which one works best

There are many different channels you can use for personalization, but not all of them will work for every business.  The best way to find out is to test a few and see which ones perform the best, but we recommend starting to write a blog slowly for the best results.

You may want to pick just one or two marketing channels first and apply personalization there. Once you’ve seen success, you can start expanding to other channels.

Re-engage your audience when applicable

It’s not enough to just personalize your messages; you also need to make sure they’re timely and relevant. This means re-engaging your audience when necessary, such as when a sale is happening or there’s new content to share.

You can do this manually or set up automated rules in your marketing platform. Either way, make sure you’re regularly checking in on your personalization campaigns to see if they need to be updated. Usually, a few simple changes can make a big difference in performance.

Monitor your results and adjust as needed

How do you know your personalization tactics actually work if you’re not monitoring your results?

Make sure you’re tracking things like open rates, click-through rates, and conversion rates. This will give you a good idea of how well your campaigns are performing. If you see a dip in performance, it’s time to modify your personalization methods.

Keep an eye on competitors

Are your competitors doing anything towards personalizing their marketing? If they are, it’s time to step up your game.

Of course, you don’t want to copy what they’re doing exactly. But you can use their tactics as inspiration for your own campaigns. See what works well for them and try to improve upon it.

You can follow them on social media to see  what they’re doing, or sign up for their email list to see how they’re personalizing their messages.

Be natural with your personalization

It cannot be forced.  The best way to succeed with personalization is by being natural with it.

Your customers will be able to tell if you’re just overusing power words because of their perceived psychological effect on them, or throwing in their name for the sake of it, or if you actually care about them. So take the time to segment your audience and create messages that are truly personalized. It’ll make a world of difference in your results.

Time to turn theory into practice

As time goes on, personalization will become more and more important in marketing. Whether you want to make content on social media, like images and videos, you should personalize your way to grab the audience’s attention.

On a strategy, such as TikTok marketing, you should know what your audience wants to see from your page. That way, more people will tune in your page to learn more about your business.

You need to start implementing it now if you want to stay ahead of the curve. No other choice here, and surprisingly enough,  it’s not that difficult to do.

It doesn’t mean that automation is bad, though! Automation can help you streamline your processes and free up time to focus on other areas of your business, but it shouldn’t replace the human element in your marketing campaigns.

So, what are you waiting for?