Retail has traditionally been the most service-oriented sector. The smaller the company, the closer the bond between shopkeeper and customer. By taking the time for each individual customer and tailoring the offer to the specific wishes, a mutual understanding is created. One of trust and loyalty. This is the reason that customers are willing to pay more to companies with which they have a good relationship. Money is a form of value exchange. And the retail sector knows how to create value through human interaction.
However, times have changed dramatically. And the retail sector is struggling to keep up with the big e-commerce giants. The e-commerce sector has found a new way to compete with the retail trade on the only point where they could still distinguish themselves until recently: personalization. With the help of smart AI-powered Customer Data Platforms (CDPs), e-commerce companies can understand and serve their customers better than ever before. These insights are used to show consumers exactly what they need, at the time and channel they want.
But all is not lost for the retail trade. Some CDPs have become so accessible that hyper-personalisation is also within reach of small and medium-sized retail businesses. And with that, they can benefit from all the possibilities that personalization has to offer. In this blog, we will tell you everything about hyper-personalisation and its benefits for the retail trade.
Benefits of hyper-personalisation for the retail trade
But why would you start personalizing? Simple, there are too many benefits to ignore. And the longer you ignore them, the greater the chance that you will be overtaken by the competition. Here are some of the key benefits of hyper-personalisation:
1. Higher turnover and conversion rates
By offering your customers what they are looking for and tailoring your content to individual characteristics, you increase the chance that they will buy your product or service. Offering personalized content and messaging results in higher conversion rates and turnover in combination with lower media costs.
2. Improved customer experience
By personalizing every interaction that your (potential) customer has with your company, the brand experience improves. Just like a Disney fan is more likely to visit a Disney World park than another generic theme park, you offer your customer an experience that is tailored to their needs. With the result: improved customer satisfaction and retention.
3. Increase customer loyalty
Fans are the best customers you can have. In some cases, they even become advertisers/ambassadors for the brand. But consumers don’t become fans overnight. Only when a company actually knows how to put its customers first and precisely plays into what they need, does the chance arise to build a loyal fan base. That is precisely the result that hyper-personalisation can produce: the feeling of being truly understood. Improved loyalty is a natural consequence of this.
4. More effective data collection
Customer data is crucial in today’s online world. But collecting, and especially storing and using data effectively, is a time-consuming and complex task. Implementing a CDP simplifies this process and paves the way for hyper-personalisation. It collects and centralizes your customer data from different sources in one platform. And it automatically generates 360-degree profiles and segments that provide cross-channel insights into your different target groups.
Hyper-personalisation helps your retail business to offer each customer a unique shopping experience. The benefits are clear: higher turnover, conversion rates and customer loyalty. And starting is easier than you might think!
Personalisation doesn’t have to be complicated
Hyper-personalisation sounds complicated. But it doesn’t have to be. User-friendly CDPs like Spotler Activate make personalization simple; it does not require programming knowledge and you are independent of IT. Using smart AI, Spotler Activate analyses all your customer data and creates individual profiles. 360-degree profiles that provide cross-channel insights into everything you need to know about your customer. Their behaviour, preferences and interests, demographic characteristics and more. All the information you need to be able to offer a hyper-personalized customer experience.
Even if you as a retailer have no experience with personalized campaigns and journeys, Spotler Activate can offer significant benefits. With an intuitive interface, simple ‘drag & drop’ functionality, and smart AI algorithms that help you determine which content is shown to each individual customer, setting up campaigns or new touchpoints takes just a few minutes.
Start with hyper-personalisation using Spotler
Spotler simplifies hyper-personalisation. Our software offers everything you need to get started with marketing personalization today.
We enable marketers to easily centralise (first-party) data on one platform, automatically generate 360-degree profiles, and easily create hyper-personalised customer journeys. And with an intuitive interface and drag-and-drop functionality, you don’t need any programming knowledge.
Schedule a demo
Curious about the possibilities of our software? Schedule an online demo with our advisors and get all your questions answered.
