Why The Future Of Marketing Is Hyper-targeting & Personalization, Not Broadcast
According to a study by IBM, 56% of consumers feel the communication coming from brands is irrelevant or unimportant to them. In an age and time where information is present in abundance, it has become all the more important for brands to take this into cognizance while interacting with their target customers.
And this has implications for what customer segments are being targeted, what is the relevant message and the medium they choose to communicate on, among various things. This does sound like a basic marketing philosophy, but many brands today are yet to execute this as a part of their marketing plans.
The internet, for instance, has not just changed how we consume information but also has changed from where and from whom we receive it. This is where the broadcasting approach becomes less relevant as the content is not personalized or tailored to suit the consumer’s requirements.
Take a step back and analyze the content that’s broadcasted to you. How much of it does actually influence your opinions or purchase decisions ?
The fact is that the digital world has changed the way one discovers information, compares brand options and finalises the brand to purchase. Don’t just broadcast information in the name of marketing.
Today, the world of devices and content-delivery platforms has multiplied manifold, well beyond the traditional TV screen. Tablets, smartphones, Smart boxes, Video-on-demand services etc. are just some of the gadgets & content-delivery platforms that are growing fast and used in significant numbers by consumers.
As an example, the smartphone penetration in the market is fast paced and hence mobile videos have become an extremely important medium of communication.
A study by Accenture states that 87% of consumers use more than one device at a time to consume content. There is significant potential for brands to leverage these new options in a way that is not only more relevant to the consumer but also more efficient from a delivery and cost-outlay perspective .
Consider this example : A brand that is on air, on television, with a 30 second edit; if it uses a combination of TV and Mobile video targeting, can it reach more consumers (say 1.3X), engage with consumers better (with different content pieces built around the 30 sec TVC edit) and possibly with lesser or same resources?
The core of marketing should move towards hyper-targeting & personalization. An Infosys study “Rethinking Retail” reveals that around 86% of customers say that personalization has an impact on what they purchase!
They are willing to share additional information about themselves so that marketers can make use of that info to create marketing messages that appeal to them — and in this competitive age, marketers should stay a step ahead of the customers.
Brands should move towards being device/ content-delivery-platform agnostic and formulate creative content plans that revolve around consumer-segments (personas) specifically.
Four reasons why the future of marketing is personalization
1) Helps build better relationships
We are bombarded with ads wherever we go. Better targeting & Personalization filters out unnecessary information and handles control over to the consumers. This means they consume only content that is relevant to them. This also builds better engagement with consumers. There’s nothing better than an organic buyer-seller relationship!
2) Helps increase customer knowledge
Personalization won’t be possible if you don’t reach out to consumers and ask them what they are looking for. Every marketing strategy today thrives on data & insights. The more customer insights you collect and leverage, the easier it becomes for you to run a high converting campaign.
Track their movement on your website or analyze their social media interaction — there’s a lot of information out there. You just need to search the right places, filter the collected data and apply information properly to create effective marketing strategies.
3) Helps increase acquisition and repeat-sales too
This one’s obvious! If you are able to target the right customer segment and build on relationships with relevant and timely communication and content, your brand recall value will boost phenomenally. And because of this, your customer acquisition & retention will improve.
The main aim of hyper-segmentation and personalized marketing strategy is to build a business on solid foundation! If you simply bombard your target market with messages, chances are you would not get the desired response.
Over to you
Always remember — consumers want to be treated special. They don’t want to know if they belong to a group of 1L people having similar tastes and preferences. If you really want to market your brand successful, personalization is the key.
Don’t simply broadcast information. Choose the right segment, platform, content and time for a solid impact!