You might be deliberating whether or not implementing personalization to your business is right for you? Every prospective business owner in your position has similar questions:
- What are the benefits of personalization?
- Will the usage of customer’s personal data discourage them from making a purchase?
- Will personalization be effective for my industry?
We’ve taken a look at some key personalization statistics in order to answer these questions.
1. What are the benefits of personalization?
The first of the studies we looked out was by marketing software company Marketo. In a survey of 2200 participants they found that 79% of consumers reported they were only likely to engage with an offer if it had been personalized to reflect previous interactions the consumer has had with the brand (source).
As you can imagine, these results were not unique to this study. Marketing Insider Group found that 78% of internet users interviewed said that personally relevant content from brands increases their intent to purchase a product.
Reduction of costs through personalization
The personalization statistics show us that it’s not just customer engagement and overall purchases that increases with personalization.
Management consultancy firm McKinsey & Company found that it reduced the costs of acquisition by as much as 50%, and in some cases lifted revenue by 5-15% (McKinsey & Company).
2. Will the usage of customer’s personal data discourage them from making a purchase?
This may be a very real concern for some businesses. Would the implementation of personalized messages risk having an adverse effect on potential customers, or even push away current clients?
Interestingly, the results from multiple interviews, questionnaires and surveys show us that this is not the case.
A desire for personalization among customers
A Personalized Marketing survey of 7,000 consumers found that 57% of consumers gave personal data in exchange for personalized offers. They also found that 52% would share personal data in exchange for product recommendations, and 53% would do the same for personalized shopping experiences throughout their customer journey (Salesforce).
Meanwhile, a Deloitte study found that people aren’t just after personalized communication, but products and services which are also tailored to them and their individual interests and needs. Personalization statistics show 36% of consumers are interested in tailored products, while 48% wait longer to receive it.
The personalization statistics from Segment’s 2017 State of Personalisation Report research found that 44% of consumers say that they will likely become repeat buyers after a personalized shopping experience with a particular company.
Furthermore, 49% of those interviewed purchased a product that they did not intend to buy after receiving a personalized recommendation. What’s more, 40% also say they purchased something costlier than they originally planned because the experience was personalized.
3. Will personalization be effective in your industry?
The answer here is that personalization works effectively for any industry – when implemented correctly.
The first step is reaching out to us, we’ll be happy to sit down an organize a face-to-face meeting to chat.
We’ll listen to your painpoints and outline how you can implement personalizaiton along the key touchpoints of the customer journey.
Get in touch with Fliva to get started and hear what our tailored solutions can do for you.