1:1 Marketing Personalization Stats Every Marketer Needs to Know
Digital advertising has become increasingly competitive. Brands are all using similar channels such as social media, search, display, publisher websites, and mobile apps to reach customers where they already are. It’s difficult to stand out from other businesses when trying to grab attention on these channels.
Consumers are also more demanding than ever. They want close relationships with brands they love. Seamless shopping. Personalized experiences and product recommendations.
Businesses need to stand out from competitors if they wish to drive more conversions, generate high order value sales, and build long-term relationships with customers. One to one, or 1:1, marketing personalization offers marketers the ability to cut through the noise, exceed revenue goals, and provide experiences that people love. In fact, 86% of consumers will pay for a better shopping experience.
Better shopping experiences are built on personalization and relevance. Right from the very first touchpoint.
However, marketers struggle with implementing marketing personalization. Collecting first party data they can leverage to engage their target audience. Even getting the most out of their existing customer data. Creating experiences that people will remember and rave about is built on good data that enables ad personalization. Yet, 50% of marketers currently do not invest in any kind of ad personalization.
This often leads to ad fatigue, banner blindness, and mediocre advertising performance. One-to-many messages and offers that are geared towards everyone in an audience. Not the specific wants, needs, and desires of each individual customer.
This article summarizes findings from Postclick’s 2021 State of Ad Personalization report and how conversational marketing can help marketers deliver 1:1 marketing personalization to overcome these challenges.
1. 44% of businesses find personalization important to meeting business objectives
Ad personalization is becoming critical for digital advertising success. 54% of marketers find personalization important to reaching business objectives. 44% say it’s very important.
Personalizing ads and online experiences helps you get the most out of advertising spend. It increases purchase intent by providing the most relevant messaging, offers, and products. Boosts sales with guided shopping experiences. Creates long-lasting customer relationships with engagements they can’t forget.
Seven out of ten marketers carry personalization over from ads to landing pages. While post-click personalization can have a big impact on performance, Spectrm’s conversational marketing platform helps with maximizing personalization before someone even visits a website.
Let’s call it pre-website personalization.
Consumers online spend far more time off your website than on it. That’s why finding ways to personalize your marketing before your audience even reaches your website is where you can fill the biggest performance gaps in your funnel. Grab attention with highly relevant offers and seamless experiences.
The pre-website experience is everything that happens before a prospect reaches your website. How they engage with your business on the sites and apps where they spend their time. Whether that’s social media, messaging apps or even in display ads. These are the crucial interactions they have with you that can most influence the volume of people who want to purchase from you. The customer experience, messages, and offers they receive. These influence whether or not people take action and convert.
Offer personalized product recommendations based on each person’s wants, needs, and preferences. Speak in their language and use messaging that deeply resonates with them. Be one of the leading brands that personalize the pre-website experience and drives more growth.
2. Only 15% of businesses use advanced 1:1 personalization
Despite marketing personalization offering incredible benefits for digital advertisers, only 15% have adopted it. 85% of brands are not delivering personalized experiences, content, and answers to customers. They are missing out on building loyalty, recognition, and a clear competitive advantage.
Why is this? 84% of marketers are concerned about the challenge of implementing ad personalization. Google Chrome will phase out third-party cookie support by 2022. iOS 14 has created obstacles for collecting and using user data for advertising. Brands mistake personalization for being expensive and complex.
Conversational marketing chatbots offer a powerful solution that is much easier to implement than post-click landing page personalization. Businesses can scale 1:1 personalization with customer centric-chatbots that connect with customers on platforms they use every day. Create instant and effortless conversation funnels that customize peoples’ experience from the moment they find your brand to converting.
3. 95% of marketers meet or exceed revenue goals after implementing personalization
1:1 marketing personalization offers a clear return on investment. 95% of marketers that have implemented advanced personalization report meeting or exceeding revenue goals.
Deeply personalized advertisements cut through the static. Brands that stand out from competitors and deliver experiences customers won’t forget are ones who are reaping rewards in terms of marketing ROI. Great digital experiences also fuel free, word of mouth, advertising from people. When they have great experiences, they are much more likely to tell friends and family about it.
This is achieved through personalized product suggestions that are based on people’s individual wants and needs. Conversational experiences that show customers you can listen and respond to their needs. Retargeting and re-engagement campaigns that continue conversations with customers on messaging apps and promote action.
The more data you collect. The more you can improve each experience. A well optimised conversational marketing approach can see increasing returns on ad spend as your conversational AI improves and your understanding of customer preferences grows over time. Brands drive more conversions and sales while using less budget, making the most out of their ad dollars.
4. Trailblazers pursuing 1:1 personalization earn an average ROI of 47%
Being an early adopter of marketing trends amplifies its benefits. 1:1 personalization is no different. The greater a company’s focus is on personalization, the more growth they report. For example, brands that dedicate at least 10% of their marketing budget to personalized experiences have an average return on investment of 47%.
You don’t need giant budgets,, internal developer resources, or 7+ months of lead time to implement advanced marketing personalization. Conversational marketing platforms like Spectrm can help your brand launch chatbots that deliver 1:1 experiences in as little as 4 weeks.
There’s no need to reinvent the wheel either. Our platform helps businesses launch chatbots their customers by following our tried and tested approach to onboarding new customers and training them on our platform. . Enterprise-ready bots that can lower acquisition costs by 9x and increase return on ad spend by 4x.
5. 50% of businesses pursue 1:1 personalization for improved marketing-spend efficiency
A brand’s motivation for implementing 1:1 personalization changes the outcome of its success and campaigns. For example, 50% of businesses that pursued advanced personalization to improve the efficiency of marketing spend built stronger customer relationships.
Businesses motivated by purchase intent and sales did not. Postclick’s report hints that being motivated by happier customers is what generates growth for brands. Doing so can also lead to loyalty and recognition. Consumers that talk about your products on social media. Continue to come back for more purchases later.
6. Psychographic data used to personalize ad campaigns generate 40% higher ROI
What is the most important data to collect for personalizing ad campaigns? Postclick’s 2021 State of Ad Personalization report found that geographic, demographic, and behavioral data are the most widely used by advertisers.
However, 32% of marketers surveyed collect data on customer’s values, attitudes, and interests. These pioneers recognize that 1:1 personalization and great performing campaign go beyond traditional demographics. Brands need to understand consumers’ beliefs, feelings, and desires. Who they are purchasing for. The intent behind their actions. The emotional messaging they’ll resonate with the most.
The problem with demographic data is that it often leads to assumptions about customers. Guesses. Hunches. It’s simple information that doesn’t give you the whole story.
Declared data, information volunteered directly by customers, explicitly tells you their wants, needs, and desires. You can be more confident in your marketing initiatives. Tailor experiences precisely to what they demand. Brands can collect declared data with conversational chatbots and leverage it for increasing growth and conversions.
Take the data customers voluntarily give you and use it to improve marketing and advertising campaigns. Align sales copy and offers with what consumers resonate with. Continually improve your chatbot’s templates to drive more return on investment.
How conversational marketing helps marketers scale 1:1 personalization
While there are obstacles to implementing 1:1 personalization, there is an opportunity to reimagine what personalization means. To remember what it’s used for. Pursue it in a way that gives customers the experiences they’re craving and the growth your brand is aiming for.
Conversational marketing is a lucrative channel to reap the benefits of advanced personalization and stay ahead of market trends. Brands can create conversational chatbots with Spectrm that offer personalized product recommendations. Connect 1:1 with your target audience. Deliver information and answers in their times of need.
Marketing chatbots built with Spectrm integrate with channels that your potential customers use every day. It’s about engaging future customers where they are. This includes Facebook, Instagram, WhatsApp, Google Business Messages, or AdLingo and Google DV360. They can engage conversationally on their own time. When it’s convenient for them.
The mattress retailer Purple wanted to find new ways to prospect online in a highly competitive market and break through the noise. Purple used Spectrm’s conversational marketing platform to build a “Mattress Finder” that reached 90% of internet users across desktop, mobile web, and mobile apps using Google’s network of audiences.
The chatbot helped customers find the best mattress based on their sleep preferences in a single ad. It educated customers about special features. What makes purple different. This helped Purple achieve a return on ad spend 30–40% higher than its original goal. Read the full case study here.
Want to see how conversational marketing chatbots can help your brand achieve 1:1 personalization at scale? Get in touch with one of our conversational marketing experts today.
Originally published at https://spectrm.io on April 12, 2021