Would you like to be part of a firm that goes above and beyond to manage your wants? Or, make you feel distinctive by addressing your requirements in an amiable and user-friendly manner? Well, that’s personalized marketing for you! Imagine enjoying a well-stitched and comfortable suit, with every seam and stitch fashioned to your measurements. Customized marketing works in a similar manner.
According to research from McKinsey and Company, “Generation Z is not only eager for more personalized products but also willing to pay a premium for products that highlight their individuality.” With personalized marketing, a firm can broaden its customer base, improve customer retention, and increase conversion rates.
Did you know? 62% of customers believe that a brand will lose its loyalty if a non-personalized experience is delivered to them! In all likelihood, they would opt for the change because of bland advertisements and boring content. A person, on average, views 1700 advertisements each month. To rouse up their expectations, a strikingly different ad is needed!
Benefits of Personalized Marketing Campaigns
Companies need to align their campaigns with memorable customer experiences to create a distinctive edge over the competition. Moreover, they must address the client’s pain points by offering pertinent solutions.
The following are some benefits of personalized marketing campaigns:
1. More Conversions
By using customer-specific information, firms can create tailored experiences that are likely to propel conversions. It’s all about hitting the right notes at the right time! Once managed, the target audience will take prompt action. To convert from effort to revenue, different kinds of personalized marketing options can be adopted: Personalized emails, display ads, location-specific promotions, and more.
Lastly, each marketing channel, whether it’s social media or email provides unique opportunities for companies to tailor messages and drive conversions.
2. Competitive Advantage
In a saturated market, businesses need to adapt to new technology or marketing methods for growth and productivity. Personalized marketing is one such example. When customers enjoy optimistic experiences from a brand or business, they become positive word-of-mouth volunteers who share their stories with others. This action leads to higher returns and more clients. Overall, the strategy helps to create a distinctive edge over the market.
3. High Customer Lifetime Value
Customer Lifetime Value (CLV) is the total profit that a business makes from one single client. Using personalized marketing as a strategic tool can boost CLV to new heights. Using data analytics, customer relationship management, social media, and other tools helps to comprehend customer preferences and behavior to create more appealing products or services.
Besides personalized marketing, customer lifetime value can also be enhanced by upselling and cross-selling, loyalty programs, referrals, and more.
How to Create Personalized Marketing Campaigns?
For starters, you will need to analyze the market in which you will be working. For example, you can segment your target audience based on interests, demographics, and purchasing behavior to tailor offers to specific groups or individuals. Collect data through different sources, such as customer relationship management systems, AI, and more, for a comprehensive customer experience.
Thereafter, you will need to analyze data to identify trends and insights that can help comprehend customers’ preferences and behavior. Refine your strategy and create personalized campaigns that would drive engagements and conversions.
The following aspects are also crucial for creating a personalized experience:
- Optimize multi-channel experiences
- Implement A/B testing
- Measure campaign performance
Ahlsell Store, the famous store chain from Sweden, created a video that showed personalized marketing at a glance. They highlighted the moniker, “Jacob” who was a high-end customer for them. From floors to commodities, everything was cleaned like a whistle. Moreover, a cake was also arranged with Jacob’s name on top of it.
* The video received a CTR of 53%. , those who followed the link, 78% of them watched the complete clip.
So, what are your thoughts on making tailored marketing campaigns for customers? In short, personalized marketing!
