"No one is harder on a talented person than the person themselves" - Linda Wilkinson ; "Trust your guts and don't follow the herd" ; "Validate direction not destination" ;

March 16, 2023

How can personalization go wrong

There are many reasons why personalization doesn't happen or goes wrong:

  • wrong technology stack
  • lack of human and financial resources
  • complexity of data
  • handling personalization as a one-shot game instead of treating it as a process

major consequences of wrong personalization:

  • loss of customer trust because of a breach of privacy
  • frustration due to facing irrelevant content and messaging

Ref link

The value of getting personalization right—or wrong—is multiplying

  • Thoughtful touchpoints such as checking in post-purchase, sending a how-to video or asking consumers to write a review generate positive brand perceptions.
  • When asked to define personalization, consumers associate it with positive experiences of being made to feel special. 
  • They respond positively when brands demonstrate their investment in the relationship, not just the transaction

Ref - Link

  • 64% of organizations are either not collecting data or are storing it in siloed systems, resulting in disjointed experiences for customers.

Multiple-variable customer segments

multiple-variable customer segments group customers by sets of traits or behaviors they have in common, rather than only one. An example might be a customer who:

  • Is from Japan
  • Has never transacted before
  • Has an interest in the headphones product category
  • Is female, age 25-30

it’s more realistic to start with small, incremental improvements. Little wins add up, and they also provide insights you can use to fine-tune your strategy and content.

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