As consumer-business relationships are constantly transforming, the concept of hyper-personalized messaging moves from being an option to becoming a powerful standard. Beyond the mere exchange of basic data points, customers are increasingly willing to provide specific details related to themselves in exchange for truly tailored experiences.
This shift signifies a departure from the loyalty-driven approaches of the old to ones centered around relevance and reliability. However, in the course of this evolution, brands must take heed of concerns surrounding privacy and data integrity.
Yet, when done right, hyper-personalization holds the promise of better customer engagement, higher conversion rates, and enduring brand loyalty.
Customer relations redefined: A new look at hyper-personalized messaging
It may not be super obvious at first, but consumers are trying to meet businesses half-way. 83% of them said they’re willing to share their data for a more personalized experience. In other words, they’ll be happy to “pay” you in the currency you’re trying to acquire anyway if you can invest it wisely.
Personalized messaging started with two basic data points: user’s name and date of birth, but looking back, this seems more like familiarity and not actual personalization. Building a direct relation with the customer used to be all about loyalty but that’s no longer sufficient.
💡 Now relevance and reliability reign. These qualities can be achieved by leveraging information such as purchase history, browsing behavior, demographic information, preferences, seasonal trends, location, shopping cart data, loyalty program participation, and other data specific to a given context.
It’s important to not make hyper-personalization hyper awkward, though, as there are certain concerns related to privacy and data accuracy, among other things, that can spoil the experience for the customer. These include:
- the extent of personal data being used
- data breach risks
- customer comfort and feeling of intrusion
- opt-out preferences
- regulatory compliance
Sweet ride over sweet deal: Data-driven customer journey to conversion
The modern-day hyper-personalization aims to make the message super specific. It achieves this by drawing on a variety of data points known explicitly (provided by the customer) and implicitly (inferred from their behavior) to reveal valuable insights. This indeed is what leads to the coveted conversion.
When applying personalization, brands are given the opportunity to capture customer attention and generate engagement via two-way communication addressing specific preferences, also in real-time, using chatbots and AI.
💡 Personalization at various stages, both before and after a purchase, becomes a part of a wider, ongoing customer journey.
Hone in on hyper-personalization
We’ve now reached a point where brands have the means to understand their customers really well on a personal level and communicate with them efficiently via a number of channels, making the entire sales process hyper-personalized. The effort pays off, as on average, there’s a 10-15% increase in revenue due to personalization.
This directness and understanding stemming from extensive data sets promises an increased engagement, more conversions, lower churn, and an improved customer service.
Wait, there’s more – grab the good stuff now
The ever-changing business environment requires companies to adapt new strategies accordingly. Now, with hyper-personalization, you have a new frontier to explore. Go even further to learn more about other crucial themes as well and let our ebook be your guide.
It’s packed with tips, insights, and strategies to boost your customer engagement and sales. Click the link to dive into Business Communication Trends 2024 today!
