Personalization: Anything for You, Consumer

Me, me, me.

What can you do for me?

Consumers are only ever concerned about one thing and one thing only: themselves.

As marketers, it is our job to communicate what our brand can do to address their unique needs and desires, and this can be done through personalization.

The French luxury goods conglomerate, LVMH has partnered with Google Cloud to empower LVMH’s Maisons, including Louis Vuitton. With the use of the platform’s machine learning technology, they are able to develop a smarter personalized marketing strategy.

With the help of Google Cloud, Louis Vuitton is able to recommend matching products based on a customer’s past purchases. With this technology, they are also able to create a more personalized in-store experience. This is all aligned with the brand’s focus on clienteling and being able to provide an entire experience that’s tailored to their consumers.

Louis Vuitton has been at the forefront of luxury for decades, carrying a strong brand identity that has transcended generations. Its innovative and effective personalized marketing strategies intrigue me, as they have clearly mastered the art of connecting with customers and creating a loyal following.

LV’s success in the luxury industry can be attributed to its adoption of personalized marketing, which has helped the brand reach its goals of engaging with customers on a deeper level and creating a more personalized shopping experience.

Looking at the bigger picture and going beyond luxury marketing, personalization is not just a trend that is here to stay but is a practice that should definitely be applied across all marketing strategies.

Personalization and Why It Matters

All data presented below are taken from Exploding Topics.

1. Enhanced customer experience

Personalizing your messages to tailor-fit your consumers’ needs and preferences allows them to have a more relevant experience with your brand, thus giving them more incentive to engage.

• 74% of customers feel frustrated when website content is not personalized.
• 63% of consumers are highly annoyed with generic advertising blasts.
• 80% of consumers are more likely to make a purchase when brands offer personalized experiences.

2. Increased customer loyalty

Personalized and targeted marketing is a great way to build relationships with your consumers. When they feel that a brand understands their needs and preferences, they are more likely to stay loyal to that brand.

• 44% of consumers say they will likely become repeat buyers after a personalized shopping experience.
• 52% of consumers say they would switch to a different brand or company if it offered more personalized experiences.
• 57% of consumers are willing to share personal data in exchange for personalized offers or discounts.

3. Improved marketing efficiency

Through personalized marketing, you are also able to be more efficient and effective when it comes to your marketing efforts, as it can help you optimize your spending by targeting the right consumer with the right message.

• Personalized emails have an open rate of 29%, compared to 17% for non-personalized emails.
• Personalized emails have been shown to generate six times higher transaction rates than non-personalized emails.
• Marketers who use segmented campaigns note as much as a 760% increase in revenue.

4. Competitive advantage

Brands that can provide a more personalized experience for their consumers can differentiate themselves better from their competitors. This helps them stand out and catch the attention better of their audience thus adding to their competitive advantage.

• Companies that personalize their web experiences see an average 19% increase in sales.
• 56% of consumers are more likely to shop at a retailer in-store or online that recognizes them by name.
• 48% of consumers say they would be more likely to buy from a company that offers personalized experiences.

Personalization is an insanely powerful tool and can greatly affect a brand’s financial performance. Brands like Louis Vuitton have increased consumer loyalty and retention, raised revenue, and gained a competitive advantage in the market by offering consumers a personalized experience.

As consumer expectations for personalization continue to rise, it is critical for brands to take part in this practice.

What brand has made you feel special lately? I would love to hear about your personalization experience below!

Thank you for reading this week’s blog!