Everything You Need to Know About Marketing Personalization

Everything you need to know about marketing personalization

Marketing personalization is the practice of tailoring marketing messages to the customer. This could be in the form of personalized emails or other messages or even product recommendations. Done right, it can greatly increase your conversion rate and boost your customer’s opinion of your brand.

What Is Marketing Personalization?

Marketing personalization involves using data to provide a better customer experience. Businesses can collect data about their current and potential customers and use that data as part of their marketing strategies to nurture leads throughout the customer journey.

One common example of this practice is personalized emails. Instead of running generic email campaigns where every potential customer gets the same message, a company could send out emails with product recommendations or vouchers based on the interests of the customer.

Marketing personalization helps build goodwill and makes it more likely that a lead will interact with your marketing content. Consumers are more likely to engage with your marketing if it feels like a personal message rather than some automated spam.

The Benefits of Marketing Personalization

Personalization helps you build a stronger relationship with your customers. It demonstrates that your company is aware of the customer’s needs and pain points, giving you a chance to build trust and earn a conversion.

Prospective customers aren’t the only demographic you can target with your personalized content. Existing customers are prime options for personalized marketing too. Customer retention is essential for building a sustainable business. It’s usually much less costly to retain an existing customer than it is to go through the sales funnel with a new customer. Personalizing the messages you send your existing customers helps inspire them to become repeat customers.

A well-run personalized marketing campaign can save you money because you’re able to focus your marketing efforts more accurately. Instead of wasting money on ad impressions that will never be clicked on or clicks that are poorly targeted and won’t convert, you reach the right people at the right time.

The Challenges of Personalizing Your Marketing

An effective personalized marketing campaign requires careful planning and thought. You’ll need high-quality data about your prospects so you can craft those personalized messages. If you don’t already have an analytics system in place, you’ll need to set one up, and to do that, you’ll need someone familiar with your CMS — and with any marketing tools you use as part of your tech stack.

Data collection can be a minefield. Depending on where you’re based and where your customers are from, you may have to comply with strict privacy laws relating to what data you collect and how it’s stored and processed.

Before you embark on any personalized marketing campaigns, it’s a good idea to familiarize yourself with those regulations. It’s also wise to consider the customer:

If you can’t honestly say that what you’re doing is useful for your customers, don’t do it.

Using Personalization in Your Marketing

Personalization is something that companies across all industries can benefit from. Customized product recommendations are a good starting point, but many other strategies can be used to add a personal touch to your marketing.

Building Your Personalized Campaigns

Once you’ve got some ideas for how to personalize your marketing, the next step is to turn those ideas into action. To do that, you’ll need data. That data could come from your analytics software, mailing lists or customer surveys.

Respect Your Customer’s Privacy

However you decide to collect the data, you must respect your customer’s privacy. Make sure your customers have opted into data collection and consented to have their data used for internal marketing purposes.

Trust is essential here. Your customers will be more likely to take a positive view of your brand if you’re honest and transparent about what you’re doing. Provide your customers with a clear explanation about how you’ll use their personal information, how they’ll benefit from allowing you to use it and how they can opt out of having their data used.

By respecting your customer’s privacy, you’ll make it easier for them to trust you with their business.

Tailor Your Marketing Messages

Once you have the data you need, the next challenge is to put it to use. A good starting point is to use that data to break your audience down into segments based on their buying patterns, interests and demographic data.

Breaking your audience into segments can help you send better-targeted messages. For example, if you’re a consumer goods retailer, you can extrapolate from a person’s buying habits. There’s no sense in advertising Xbox video games to someone who owns a PlayStation, but it would make sense to advertise the latest graphics card to someone who recently purchased a high-end CPU and power supply for their PC.

In addition to marketing to groups of customers based on their interests, you can also send out individualized messages. If you plan to do this, do so sparingly. Your messages will be more impactful if they’re carefully timed and targeted.

Marketing Personalization Is a Superpower

In the increasingly competitive world of business, marketing personalization can help you nurture your leads, convert prospective customers and better retain the customers you already have.

Personalized marketing makes your brand stand out against faceless corporations, helping your customers feel valued. But as with other superpowers, it’s important to use it responsibly. Treat your customers and their data with respect, and you’ll foster a lifelong relationship with them.