It pays, literally, to get personal in the e-retail world. Contextualization is the new king of customer lifetime value and personalization – its loyal prince. Finding the right customers is not even half the battle won anymore. You have to get to know them personally and figure out how to keep them!
Companies such as Broadvision and Amazon adopted it years ago but it was a major marketing investment. Savvy website gimmicks only affordable by super-heavyweight enterprises. Now, it has become more accessible than before.
It is no longer a marketing luxury. Thanks to the strides made in legacy technology innovation, personalized marketing is accessible to even small-time digital retailers.
Shoppers want those personal touches. Both statistics and user psychology can testify to that. Given the growth of mCommerce, people are becoming more contextual about their shopping needs. With the sheer number of players in the market and the decreasing attention span of users, more and more brands are grasping its core principles. Understanding shoppers and uniquely catering to them doesn’t just help with conversion, it creates customer lifetime value. Long-lasting relationships that keep them coming back for more.
Real-time promotional strategies that use geo-targeting to push products relevant to the user locations. Automated personalization across omni-channels. Social shares of customer testimonials that can boost sales. Or live-chat features that translate the brick-and-mortar experience. These are just some of the ways in which you can engage a shopper and make a loyal customer out of him/her.
Conversely, there are several roadblocks. It’s a tricky situation considering that it is still an evolving concept. Legacy technology has only had a recent spurt which has seen measurable results. But overall it is still in its nascent phase.
From an eCommerce merchant’s perspective, all the data they gather from behavioral targeting might not be worth the investment unless they act on it. Through the customer’s eyes, such marketing tactics even may be observed to be obtrusive and annoying. As with any strategy, a good deal of testing is required. Before getting busy with targeted marketing, it is useful to spend some amount of time on AB testing; to gauge the responsiveness of customers to different campaigns. But then again, you have to ask yourself if you want go the DIY route or hire a solutions provider to sort out the messy bits for you.
So may questions out there about personalization and how much you can rely on, and how exactly you can go about doing that. Nobody has all the answers right now. But that’s a testament to just how much untapped potential is out there on this front.