This post is sponsored by Epsilon.
On average, the typical lifespan of a CMO is only 18 months – as industry experts they may have innovative marketing ideas that will make an impact, but for the bottom line it is equally important to retain and grow the existing base. So for a CMO keen to make a quick and lasting impression on their company, combining loyalty and personalisation makes sense.
Epsilon recently undertook research into the appeal for personalisation and found consumers not only want it, but they expect it. In the past where customers used to shy away from personalisation, consumers now expect brands to use big data. It found that while impact can vary across different industries, customers are receptive to providing personal information:
- 68% of customers think it’s worthwhile to share personal details in exchange for personalised discounts and recommendations.
- 75% of customers like receiving personalised offers and communications.
- 80% of customers are more likely to do business with a company that offers personalisation.
- 90% of customers with personalisation are 10 times more likely to become valuable customers providing over 15 transactions a year.
Existing customers are familiar with your brand and products, so you already possess a lot of the data needed for personalisation. Your database on customers can offer in-depth insights, including demographic, geolocation, device targeting, online behaviour, and the purchase history of your customer.
For example, through a combination of geolocation and previous purchases, customers can receive a text message of special offers only available at specific shops nearby. The benefits of personalisation allows you, the CMO, to know exactly what to say and when to say it!
The flip side of personalisation is privacy. This is often raised as a concern and to ensure that customers feel safe in providing their personal information to your company, it is vital to educate them on how and what the data will be used for. As an example, if you are asking customers to share their geolocation with you, you may want to let them know that it is to offer a better shopping experience and how they will notice the difference.
The research showed that more than half of customers noticed personalisation and what they liked most about it was:
- 31% loved coupons and discounts based on past purchases.
- 22% enjoyed personalised recommendations.
- 20% enjoyed a personal customer service experience.
- 19% enjoyed the function to record their shopping habits and preferences.
Epsilon believes implementing personalisation is crucial to customer retention and loyalty. After analysing the data about your customers, we can work together to decide on the best and most effective ways of communication. These may include email, mobile push, display media, or SMS, and we will also decide on the ideal send time, and on what devices.
Overall, personalisation is an effective and smart method for engaging your customer base – and that makes sense for a CMO aiming to make their mark.
To learn more about what consumers think about personalised experiences, how various industries stack up and how to identify consumers who are receptive to personalisation – download our study ‘Power of Me’. To learn more about how Epsilon can help get the most out of your email campaigns, contact Jeff on email@example.com or contact Epsilon on firstname.lastname@example.org.
The writer is Jeffrey Evans, vice president, technology and digital experience, APAC at Epsilon.