Personalized marketing or personalized marketing activities is a strategy to reach and care for potential customers through the application of digital technology to listen and understand the concerns of the target audience. Facing increasing demands in post-pandemic customer experience, this is also an inevitable trend of businesses operating in a digital environment!
Personalized marketing is not a new concept
Personalization of marketing is an idea that originates in the past, especially before the rise of e-commerce sites. A series of algorithms have been developed to ‘track’ and ‘track’ the shopping history of consumers, thereby filtering out useful information about personal preferences, attitudes, and even measuring capabilities. their purchase.
Taking the giants like Amazon for example, owning a huge ‘fortune’ of user data, this e-commerce site can completely find common patterns and predict who will be potential customers for those Similar products or incentives will be the ‘bait’ to attract customers. Some of the most visible personalization activities are:
- Suggest products that customers are interested in / or similar products when they visit the website
- Remarketing campaigns with advertising products are automatically selected based on customer search history and trends (most visible is Tiki)
- Further, those are messages customized every time a customer returns to the website and views the same item. For example: “you seem to be interested in product A, can we provide consultation right now?”
Analyze data, verify shopping dynamics – not limited to personal info, purchase history, age, gender but also other factors like ‘elasticity’ in expenses like price levels frequency – to calculate an object’s purchasing power that is inherently demanding on internal resources. However, with the development of digital-based tools like CRM, personalization is no longer the playground for the giants!
And during the period when customer experience is increasingly appreciated, the lack of personalization in the approach strategy will make businesses lose their competitive advantage under increasing pressure from brands that are making good use of the coin. like this!
2 tips to help personalize marketing activities and improve business efficiency
To personalized marketing needs two things to start: data and content. These are also two fundamental factors that Digit Matter often mentioned in Inbound marketing – a method of personalizing the customer experience in the digital environment. If you are a marketer, learning more about inbound marketing will give you an overview of how to deliver personalized marketing like 1: 1 interaction but with hundreds or thousands of people.
From a management perspective, there are 3 steps for businesses to turn data into a fulcrum for growth:
Step 1 – Rely on internal data sources: For mid-range or B2B businesses, the first thing businesses should do is focus on storing, selecting, and analyzing from available data sources such as customer information, information about their behavior, interaction history to predict their spending bias.
Step 2 – Use data analysis techniques to find useful insights such as applying data mining, machine learning to measure metrics like customer lifetime value, upsell ability, or appropriate timing to reach.
Step 3 – Use an external data source to perfect a customer portrait if conditions permit – a solar-powered business may be interested in demographic information or housing type, for example. target audience to determine who should send the offer to.
And this process will be repeated endlessly to keep up with the changes of the times and constantly perfect the depiction of the target audience.
Here are 2 tips to help businesses evaluate and reorientate their personalized marketing strategy!
1. Start from ‘correct data’ instead of collecting as much data as possible
Research topics all start from a hypothesis and we go to find data to prove it. Similarly in business, where is the data that should be focused on looking for?
Not all data is equivalent. Determining what are essential data right before starting to collect will help businesses avoid ineffective ‘cycles’ in the long run. So when will data be assessed as useful? It depends on the original proposal: what the business wants to answer or prove – high or low discount vouchers will stimulate customers to spend more!
Identifying the right data to look for will be the cornerstone of personalization strategies but at the same time poses many challenges such as “how to connect data from many different sources”. This is especially difficult as customer behavior and touchpoints are increasingly complex in the digital age!
How to eliminate the lack of ‘sync’ data and fill gaps in information to find insights to help bring highly personalized marketing is one of the common concerns of enterprise. According to the survey, 67% of businesses often have problems finding tools and systems capable of connecting data from online platforms to create an overall picture of the target audience.
Along with the development of software and algorithms, sometimes the problem is difficult to be solved through modern CRM systems with advice from specialized units. Most systems integrate formulas and algorithms with the support of machine learning to optimize information processing and avoid falling into ‘innocuous’ data.
Of course, the freedom of businesses to customize the algorithm is also quite high. With the support from specialized agencies, you can fine-tune the system for optimum efficiency.
But sometimes businesses can consider whether they are carrying too much data or not? To find valuable information, it is not necessary to gather as much information as possible. Instead of trying to have a comprehensive view of someone from basic information to where to house, what car to ride …, trying to understand the deepest of a few angles is sometimes enough to change the game.
2. Determine what the ‘activation’ factor is.
Having the right approach for each customer at the most appropriate moment is the key to success in triggering transactions. To do so, businesses need to identify and slowly experiment to find out what is the best time to ‘appear in the eyes’ of customers – for example – through the display of a consultation form: when they first enter the website, looking for information on Google, go to FAQs or while viewing a product …
In fact, customers leave quite a lot of ‘footprints’ on digital platforms, but if they have the intention as well as fully set up the tracking system, businesses can consider them as suggestions for Personalized marketing activities or words. Offer. The best way to start is to follow their customer journey, considering their respective touchpoints and motivation to personalize the approach for each category of the target audience. pepper.