Customers are more savvy and better informed than ever before, and they no longer want cookie-cutter products or services. They expect brands to convey just the right message every time without crossing the lines of their online privacy. When a marketer communicates the same message to a broad customer segment, it creates little or no customer attention for the brand.
Customers are Expecting Hyper-Personalization!
What really matters for customers today is a personalized customer experience. According to a survey conducted by CEI, 86% of customers are ready to pay more for a better customer experience. Organizations need to focus on delivering personalized experiences for customers to stand out from the competition, or hper-personalization.
What exactly is hyper-personalization? As defined by Business2Community, hyper-personalization is "The use of data to provide more personalized and targeted products, services, and content."
Hyper-personalization helps organizations leverage omni-channel data to drive personalized customer experiences in real-time. Modern-day customers use not less than 2-3 digital devices, such as mobile phones, laptops or any other wearable tech devices. These devices help businesses gather loads of information about customer lifestyle and online behavior. Harnessing this data to drive personalized customer experiences across the buyer journey stands pivotal for achieving hyper-personalization.
Marketers must focus on driving one-to-one communications with customers because every customer is an individual and has specific needs and expectations for products and services they choose to buy. Hyper-personalization will ensure personalized communication and more meaningful interactions with customers, leading to customer loyalty.
Take for instance, Starbucks, the brand focuses on creating personalized customer interaction programs. They target each customer individually to establish an emotional connection with the brand which helps Starbucks create more loyal customers than their competitors. Starbucks stands third in the Fortune's most admired companies list for 2017. This is possible because Starbucks cultivates a strong customer-first philosophy across its customer engagement campaigns.
Creating Hyper-Personal Customer Experiences with Customer Data Platforms (CDPs)
Customer data platforms (CDPs) can help marketers build a 360-degree view of their customers to drive personalized customer experiences. It's a powerful tool in the growing marketing-technology space that is enabling businesses to combine data from various systems, build valuable micro-segments, and act on each segment individually. The CDPs bring together the strengths of artificial intelligence (AI), machine learning, and advanced data analytics to embrace personalization.
Some of the ways CDPs are enabling hyper-personalization include:
Real-time customer data. Marketers typically relied on IT teams to manage customer data, so marketers had little or no control over how quickly they could act upon the data intelligence. A CDP, on the other hand, is owned and managed by the marketing teams who have complete control over customer data in real-time. This enables marketers to slice-and-dice the data in real-time and take relevant marketing action.
Unifying data sets to achieve a 360-degree customer view. The data within various enterprise systems are locked in different silos and, by themselves, don't provide a lot of value to marketing teams. But once this data is connected, they can unlock brilliant insights into customer behavior. A CDP enables you to do just that. Customer data platforms act as a connecting engine between different data sources to help marketers achieve a unified view of their customers. This stitching of data from multiple sources in real-time in-turn provides marketers the ability to create a high level of personalization to their customers.
Proactive customer engagement. Customer data platforms enable you to not only create sophisticated segments by dissecting the data, but they also communicate with platforms such as email marketing systems, advertising platforms, notification systems, etc.. This allows marketers to immediately engage with a customer when a certain action occurs. By proactively responding to customer behavior online and targeting them with the right products and offers, marketers can engage with customer in a personalized way.