Personalized Marketing

Consumers are more connected across more devices than ever before, thanks to the booming growth of the Internet of Things (IoT). At the same time, consumers increasingly value being treated as individuals and personalized marketing is one-to-one marketing in its truest sense.

Personalization that reflects previous interaction with the brand is more impactful than basic personalization. According to Capgemini, more than 60% of shoppers appreciate when an online store speeds up the check-out process because it remembers their personal and payment information. That being said, there needs to be a balance between providing information relevant to a customer’s needs and appearing creepy, for lack of a better term.


When individualized content is delivered to recipients through data collection, analysis and use of automation technology.

A strategy that focuses on targeting marketing initiatives and messaging to an individual consumer utilizing data analysis and digital technology.

A marketing strategy by which companies leverage data analysis and digital technology to deliver personalized messages and product offerings to current or prospective customers.

Understanding what interests a customer and using that information to reach him with relevant content.

A marketing strategy where businesses use audience analysis and data to deliver more relevant messages to their target audiences.

Also called one-to-one marketing.

In general, the focus of personalized marketing is on giving specific content to the people who will find it most relevant with the goal of engaging consumers by communicating with each person as an individual. When customers provide personal information, they expect to be treated as individuals, to receive tailored communications. 75% of consumers are more likely to purchase when they are recognized by name, have options recommended based on previous purchases, or a business shows knowledge of their purchasing history. But personalization goes beyond segmentation and brand awareness.

Data is analyzed and the results are used to provide targeted offers and recommendations based on past consumer behavior and interests. There are four generally agreed upon steps:

Identify and gather data (gender, age, location, online behaviors, etc.);

Segment or differentiate (analysis of data);

Reach out and interact through the preferred medium;

Customize (to deliver information, services or products).

The benefits of personalized marketing are numerous. It generates more leads and increases the odds of engagement and increases conversions. It also makes conversions easier when preferences and information are “remembered” and the purchasing process is streamlined to a minimal number of steps.

Personalized marketing drives revenue and especially increases the ROI when a business can identify a consumer’s preferred channel for communication. Monetate found in 2017 that 79% of companies that exceeded their revenue goals have a personalization strategy in place. It allows for a shorter sales cycle while providing a greater ROI. And not only are sales increased, so too, is the user experience.

Improved user experience becomes a pivotal factor as customers are more comfortable providing personal information to a trusted business. This individualized marketing approach strengthens relationships with customers, making a stronger connection with personalized content.

Personalization lowers customer frustrations. Instead of having to wade through hundreds of items on a website, they are automatically shown what is calculated to be the most relevant to them based on behavioral and contextual data. It bridges the gap between what is available and what is needed or wanted.

It also strengthens customer loyalty and increases brand loyalty. It improves customer retention and encourages repeat business. Epsilon found that 80% of customers are more likely to do business with a company that offers personalization.

There are some challenges presented by personalized marketing as even with recent technological advances, it can still be difficult to expend the time and personnel resources to do it well. This approach requires a certain amount of sophistication so that a person who just bought a high-end briefcase doesn’t receive a recommendation to buy another, comparable briefcase but, instead, is shown a matching travel bag, portfolio, or briefcase organizer. And, of course, privacy issues are always a concern and businesses must be vigilant in protecting customer information.

Consumers are more willing to share their personal information when they know it will be used for their benefit (and used responsibly). You can request the information you need to craft personalized messaging through contests, surveys, discount offers, or polls. Collect information regarding demographics, social media likes, interests and activities, and followed influencers. Understand if they are interacting most with links, articles, videos, or images.

Create personas with the patterns of preferences and behaviors that are found then create a content library for those specific “people”. Organize your content by sales cycle so the timing of communication matches where the consumer is in the buyer’s funnel. As you map out personas, map out content based on interests and needs and map those to a buyer’s cycle.

It is important to know your target audience – don’t try to sell weekend getaways to teenagers. And know that using a first name isn’t enough. The content needs to be useful for a specific customer. Understand which platforms and mediums your target audience uses and for what purpose they use each.

Use personalized marketing in retargeting campaigns – Facebook and Instagram both have the capability to do this. Think of the Facebook videos showing highlights from your previous year or month.

Personalized emails have higher open and click-through rates than non-personalized communications. You can personalize not only emails but also your website, mobile app, discounts, and recommendations.

You can send custom video messages or product recommendations based on previous online behaviors. Don’t forget to utilize your social media platforms as well. Capitalize on people’s fear of missing out (FOMO). Show them how many other people are looking at the same thing they are or have recently made a purchase.

Throughout these campaigns, be sure to listen carefully to customer feedback. Are they taking advantage of or responding to communications or unsubscribing as a result of receiving them? Analytics are an essential part of personalized marketing.

Automating data collection tasks and utilizing personalization technology will leave your staff time to convert instead of engaging in initial communications. Deep learning technology provides more personal and accurate data points by utilizing insights on behaviors that inform when is the right time and what are the right format and channel for the communication.

Data management platforms collect and manage large data sets. Customer relationship management platforms manage and analyze customer interactions and data throughout a relationship and across different channels. These technologies can provide personal information, purchasing history, and buying preferences.

Infosys found that 74% of customers feel frustrated when website content is not personalized to them. Through tracking and analyzing on-site behavior, a customer management system can establish which website content to show each visitor.

Personalized marketing presents engaging, one-on-one interactions with consumers and allows businesses to better understand the impact and ROI of their marketing efforts. However, the personalization has to be authentic so customers feel valued and appreciated. This marketing approach works best when it is relevant and useful because that is when it prompts engagement.

Personalization is an ongoing process and requires constant analysis and tweaking of your marketing efforts. Contact the experts at Strategy Driven Marketing to learn more about how you can make personalized marketing work for your organization.