Personalization is becoming a very hot topic amongst marketers as the technology begins to catch up with the desires of advanced marketing departments. This convergence is creating new opportunities for marketers to improve their conversion metrics and creating a desire to implement personalization campaigns across multiple channels.
But the desire of having personalization is not enough, you need to prepare for personalization campaigns in two ways. On the technical side, you need to be able to integrate the appropriate existing technology, collect and use meaningful data, and finally you need to have the tools to leverage that data effectively for personalization. While on the content side you need to prepare by identifying the personas you will personalize against, develop implicit and explicit markers for behavior, and develop the appropriate content to deliver via personalized actions.
In a series of articles over the next few weeks I am going to be breaking down those individual components to look at how we can effectively execute against a personalization initiative.
Before we figure out how to prepare and develop a personalization strategy, we need to make sure we’re all clear on why as a marketer we would want to do this. Personalization is about improving the overall customer experience so that you begin to eliminate the friction of doing business with a company. Eliminating the friction at various conversion points will have an impact on how customers engage and convert with your company. While there are plenty of marketers who believe that personalization is important, there are concrete reasons to do it as well. For example, personalized email generates 6x higher transaction rates even though many marketers still don’t take full advantage of it. If that isn’t enough, a study by @sitecore recently showed that companies that invested in personalization and improved customer experience have realized a 19% increase in revenue.
Unfortunately, you can’t just want a personalization strategy, it will take some work. Hopefully over the next few posts, I can lay out some things to think about that will help you begin the journey to more effective customer experiences through personalization. Given that almost 66% percent of marketers are struggling to get internal resource to develop personalization strategies, it will be important to understand how to break this down into manageable chunks before reaching out for help.