What is 1:1 personalization?
1:1 personalization is an approach to marketing in which relevant messages or experiences are tailored specifically to each customer on a individual level.
By leveraging data such as demographic information, historical purchase behavior, and online activity, companies can create custom content that resonates with customers, increases engagement, and drives conversions. This type of personalization can take the form of targeted emails, specialized product recommendations, personalized website navigation experiences, and more.
How does 1:1 personalization work?
1:1 personalization is based on data collected from customer interactions, including:
- Website visits
- Average order value
- Product preferences
This data is then leveraged to create digital experiences that are unique to each customer and tailored to their individual needs and interests.
Brands using a personalization engine can leverage the power of machine learning and predictive analytics to more effectively automate, personalize, and deliver 1:1 interactions at scale. However, whether automated or manual, there are three key components to creating 1:1 personalized customer experiences: segmentation, targeting and optimization.
Segmentation involves grouping customers into categories based on shared characteristics or behaviors.
Targeting involves selecting the right message and channel for each individual within the segment at the moment that is most meaningful..
Finally, optimization involves using analytics to measure the effectiveness of campaigns and adjust them accordingly.
What is an example of 1:1 personalization in e-commerce?
With customers increasingly demanding more relevant, engaging experiences from brands, the need for 1:1 personalization is more important than ever.
Let’s take a look at a theoretical example of 1:1 personalization:
James clicks on an Instagram ad from a new clothing company, which takes him to their website. He shops around, views a few products, but doesn’t complete his order.
The next day, James is met by another ad, this time featuring the specific products he viewed. He clicks through again, but this time completes a purchase.
A few days later, James receives some automated post-purchase emails from the brand. Each email contains copy personalized using data points like his name and location, as well as relevant product recommendations based on the items he bought. Plus, send time optimization helps the brand deliver the email at the most optimal time to increase engagement. This is 1:1 personalization in action.
Based on the chinos James purchased, the clothing brand has suggested a belt. Plus, to go along with the shoes he bought, they’ve suggested some suede cleaner and balm via a web pop-up next time he visits the website — a potential cross-sell opportunity.
The clothing brand is using a personalization engine to power their online and offline customer experience. So when James clicks through from the email, he’s greeted by a consistent, personalized on-page experience which is consistent with the recommendations he received in the email. The result is a seamless personalized experience as James moves across channels.
Benefits of 1:1 personalization
Some of the key benefits of 1:1 personalization include:
Increased Customer Engagement
By delivering personalized content tailored to each customer’s needs and interests, businesses are able to create an engaging experience that customers will respond to and remember. This helps build loyalty and trust with customers, as they feel like their needs are being met.
Improved Conversion Rates
By providing customers with personalized content and experiences, businesses can increase the likelihood that customers will complete a purchase or take other desired actions. This can lead to higher sales and more revenue for businesses.
Enhanced Brand Image
Customers appreciate when businesses take the time to understand their needs and provide them with relevant content and experiences. This helps create a positive impression of the brand in the minds of customers, which can lead to increased loyalty and long-term success for businesses.
Improved customer loyalty
1:1 personalization can also help to improve customer loyalty. When customers receive personalized content and experiences, they tend to feel more connected to the brand, which leads to a greater sense of loyalty. This can lead to increased retention and customer lifetime value, as loyal customers are more likely to come back for repeat purchases and even recommend the brand to their friends and family.
What content can be personalized?
1:1 personalization has more applications than you might think. Beyond product recommendations, other forms of content you can personalize include:
- Product pricing
- Web or App Pop-ups
- In-app content
- In-store sales experiences
- Customer service
1:1 Personalization with Emarsys
Emarsys helps leading brands like Pizza Hut, Babbel, and Happy Socks to understand their customer wants and needs, and deliver sophisticated, 1:1 personalized engagements in real-time.