The new wave of digital customers decides everything in a matter of seconds- whether they like your product, want your service or even like your marketing message. If he receives something relevant, you have just created a loyalist, miss the mark and they are gone forever.
The concern of relevance in this era is particularly pronounced as most consumers are bombarded with messages, most of which are off target. Gone are the days of “one-size-fits-all” mentality, with consumers demanding a more sensitized approach towards their needs. Personalized messages that offer individuals based on their past and actual behavior, promises to address this issue.
Era of mass marketing
In the not-too-distant past, mass marketing across traditional channels was the way to go. It had a success rate of 3 to 5%. Today, marketers are well aware that they have to go beyond the heterogeneous groups like based on geographical location, gender or even age. Even if this macro-segmentation ensured relevant communications to be sent across, these lacked the essence of the personalized content. Additionally, mass marketing tactics were based on assumptions of the marketers and the changes in the most variables in the market environment were not factored in. The result – very low response rate and no brand loyalty.
Era of the triggered messages
The new age customers have unlimited choices and easy access to unlimited brands. With most marketers operating in the batch and blast mode to heterogeneous audiences limited the response rate further. These messages did not take into account information like what the user was doing with the brand or how has his previous interactions been.
Era of micro-segmentation
In this centralized yet de-sensitized environment, personalization ushered a change in the functioning of traditional market segmentation wherein micro-segmentation have allowed the companies to convert visitors into long-term, high-value customers at very high rates. Look at Netflix, Amazon or even Pandora – all these three websites have one thing in common, all three are world-class ‘segmenters.’
Era of 1:1 marketing
With technology, organizations began their hunt to hone in on key targets for customer acquisition and retention. These tools armed marketers with incredible filtering and associative power of cognitive assembling that it brings to the table, amassing volumes of data that can be channelized to engage on an individualized level. What the “Segment of one” enabled was allow marketers to take a step closer to their customers, letting them focus on each individual and their preferences.
‘Segment of one’ helped deliver of an offer to customers that became hard to refuse. It was relevant, timely, and appropriate, and with brands achieving this level of granularity, it had a much higher response rates. The results were – 40% increased conversion rates and 81% increased customer engagement!
The shift from “marketing” to “engaging” customers
Nearly three-fourths (74%) of online consumers get frustrated with Web sites when content (e.g., offers, ads, promotions) appears that has nothing to do with their interests.
Today’s customer has a big appetite for personalized offerings. However, it is not limited to up-selling or cross-selling, or even having the right product placed at the right time. The goal has shifted to deliver offerings that allow the hyper-connected consumers of today, to find and consume what they want, how and when they want it. Therefore, marketers need to work with platforms that ensure deliver engaging experiences and communicate in a way that differentiates them.
And, if you are looking for a tool and a team that helps you with the above, call us now!