The Impact of Personalization in Customer Communications
At one time, the act of customer personalization simply involved incorporating the recipient’s name in various parts of a communication. Thanks to ongoing innovations in customer segmentation and data mining, today’s enterprises now have access to more information about their customers than ever before. Armed with a wealth of personal information, enterprises have the ability to create trusted one-on-one relationships with each of their customers. In parallel, consumers’ expectations are also shifting—people understand that their providers have access to a great deal of their personal information, and they now expect any communications to reflect this level of knowledge.
Consumers Notice Personalization!
InfoTrends’ research has consistently shown that consumers notice personalization, and it often plays a key role on how they interact with transactional and marketing communications. Earlier this year, InfoTrends conducted a survey of 4,000 consumer respondents in North America and Western Europe. Personalization was a key factor for improving transactional communications that were sent via direct mail. Over a third of respondents stated that transactional communications sent via direct mail could be improved by making them more relevant, and personalization is a critical component of relevance.
According to InfoTrends’ most recent marketing communications research, about half of total respondents spent much more time reviewing direct mail and direct marketing campaigns when they were personalized and relevant. It should also be noted that younger generations were more likely to pay attention to messaging when it was personalized. This was true for direct mail as well as digital communications.
Enterprises are Capitalizing on the Opportunity
Personalization clearly attracts consumers’ attention and increases their engagement. InfoTrends’ business research confirms that savvy enterprises are using the power of personalization to their advantage.
Of the 600 enterprises that participated in InfoTrends’ most recent Transactional Communications research, nearly 32% considered improving the customer experience as the most important business objective in their transactional communications strategy. Of these respondents, over half (56%) planned to improve the customer experience by delivering more personalized and targeted communications. In addition, nearly 43% intended to improve the customer experience by creating a more personalized and targeted cross-channel experience.
The Bottom Line
Today’s consumers understand that their providers have access to a great deal of their personal information, and they expect business communications to reflect this level of knowledge. Savvy businesses are learning how to leverage this knowledge to create truly personalized communications that reflect consumers’ preferences, needs, and behaviors. To deliver the best possible experience and foster loyalty, business marketers must stay informed about their customers’ changing behaviors and preferences. By incorporating an increased level of personalization, businesses can improve the customer experience by delivering more relevant and valuable campaigns. The message is clear—personalization gets noticed, increases customer engagement, and drives action!
Provided by Canon Solutions America
Eve Padula, Senior Editor/Writer for Keypoint intelligence – InfoTrends’ Business Development Strategies, Customer Communications, and Wide Format Consulting Services