Targeting Customer-Specific Data
A marketer’s job gets more complex each year, and 2014 promises to be no exception. With the widespread adoption of mobile, social, and online media solutions that enable consumers and users to be connected at all times, marketers have new channels that must be considered.
Consumers also have higher expectations of overall relevance of messaging seeing that they are more comfortable than ever with the technology. They expect more personalized shopping experiences and are willing to share details about themselves to educate their favorite brands about how, when, and where to approach them.
Direct marketers are redirecting their marketing communication efforts from product features and benefits to focusing on the customer. All customers are not alike; they have different demographic profiles, income levels, business requirements, and lifestyle choices. All of these factors drive purchasing behaviors. Marketers cannot ignore these differences, and they are creating customer-specific communications that cater to and are driven by individual preferences and characteristics.
Big Data … so what is it and where do I get it?
Variable data capability is at the core of creating personalized experiences for end consumers. In today’s market, a simple mail merge is not enough—the ability to make content relevant is critical. Big Data includes obtaining data from many different sources. Here’s just a few:
• Aggregating data from both offline and online sources
• Permission-based collection of personal data from relevant offers
• Customer profiles of recent purchases, seasonal purchases, gift registries, and personal shopper files
• Responses from QR codes/PURLs
• Consumers engaging with their favorite brands using digital channels
• Past customer experiences with name brands and private label products
With Consumer Expectation for Personalization, also comes the issue for Control
While personalization has clear benefits for consumers, there is also a desire for more control over the use and collection of personal information. A recent Info Trends study found that just 10% of consumer respondents reported feeling that they had “complete control” over personal information collected about them by online services they use. About 66% of respondents expect businesses to collect and use personal information to tailor products, services, and promotions to their needs and interests—a desire for personalization.
There are some slight generational differences in attitudes toward personalization and control. The expectation of personalization is always met with an equal or greater expectation of control over the collection and use of personal information. The most notable disparity is among consumers aged 55 and above. Compared to other age groups, the “Boomers and Beyond” segment was more averse to personalization.
Even though younger generations have greater expectations for personalization, they want control over associated data and practices just as much as older age groups. It is critical that marketers, advertisers, agencies, technology providers, and other solutions firms take these attitudes into consideration when developing the next generation of personalization applications.
With well-implemented controls, users can tailor the experience to their needs and interests, creating more value for customers and the business. For more information on collecting big data for your marketing campaigns, contact Jennifer Ashley, Vice President, A&H Digital on Demand at 708-345-1196 or email firstname.lastname@example.org
Source: InfoTrends, 2013