Personalization Tools pave the way to individualization that helps marketers create unique experiences for customers.
When it comes to user experience, personalization has currently become a strategic imperative. Online personalization of content has transformed into a competitive advantage owing to the explosion of social media and digital platforms since the early 2000s. The latest report from Gartner reveals that organizations investing in personalization tools that offer an individualized experience will outperform those who are not using them, by over 30%.
Personalization tools that are developed by using deep artificial intelligence (AI) learning stacks and advanced machine learning (ML) algorithms help build brand loyalty and hold the attention of the customer for a longer duration. A recent Deloitte research stated that 36% of the customers are interested in personalized products and services, and nearly 50% are willing to wait if required.
Today, digital marketers are considering personalization tools as a significant disruptor as they have made customer behaviors predictable. Big data plays a crucial role in developing personalization tools. The amount of customer data that is used to create a personalized experience is enormous. According to IBM, 2.5 quintillion bytes of data are created every day, while 90% of the data was created in just the last two years. More access to data enables offers more insights for developers to develop personalization tools.
Earlier, brands knew only a structured set of data, including name, gender, and location of their customers. However, today unstructured data points can be collected from sources, including social media posts, purchasing patterns, photos, and videos, among others. These data points help create a persona for each customer in a way that enables a balance between technological and human aspects.
The data is becoming more reliable owing to sophistication on AI algorithms and improving deep machine learning stacks. Brands can derive accurate insights, and marketers can plan their marketing strategy with this data. Marketers will see a “flight to quality” in personalization efforts, where there is an emphasis on personalization investment that has tangible results.
Personalization can be a game-changer as it adds value to the customer by showing them only relevant information. It also adds value to the marketer with the best return on investment (ROI), and finally adds value to the brand with increased brand loyalty. Tech entrepreneurs need to focus on personalization tools and how to develop them for the successful implementation of marketing strategies.