At Evergage, we talk a lot about how personalization can help marketers drive conversions, boost engagement, and improve loyalty. We’re not alone in talking about the benefits to marketers — analysts continue to share findings of success and trends for the future. For example, Gartner found that by 2020, smart personalization engines used to recognize customer intent will enable digital businesses to increase their profits by up to 15%.
But personalization is about more than driving KPIs for the marketer – it’s about providing a better experience for the customer. Consumers recognize that personalization gives them more enjoyable and relevant experiences that help them accomplish their goals. They are now demanding these personalized experiences from the businesses they interact with. The stats we compiled in this post highlight how consumers feel about personalization.
Consumers want to be known
According to a recent report from Accenture, 75% of consumers are more likely to buy from a retailer that recognizes them by name, recommends options based on past purchases, OR knows their purchase history (see graph below). Consumers are willing to shop more with retailers that show that they recognize each individual and can provide appropriate recommendations based on their unique needs.
Personalization impacts how consumers view a brand
Relationships with brands can often be driven by emotions. Feelings derived from a good or bad experience can make their way into a person’s feelings about the brand itself. These days, consumers are feeling frustrated by non-personalized and irrelevant experiences.
- 74% of customers feel frustrated when website content is not personalized [Infosys]
- 63% of respondents are highly annoyed by the way brands continue to rely on the old-fashioned strategy of blasting generic ad messages repeatedly [Marketo]
- 63% of consumers said they’d think more positively of a brand if it gave them content that was more valuable, interesting or relevant [Rapt Media]
Personalization impacts how consumers shop
When consumers think more positively about a brand, they are more likely to shop, buy, or even recommend that brand to others. Personalization can lead to positive experiences that, in turn, lead to more engagement and purchases.
- 59% of customers say that personalization influences their shopping decision [Infosys]
- 77% of consumers have chosen, recommended, or paid more for a brand that provides a personalized service or experience [Forrester]
- Over 78% of consumers will only engage offers if they have been personalized to their previous engagements with the brand [Marketo]
Consumers are willing to share data to get personalized experiences
Consumers understand that in order to have personalized shopping experiences, marketers need to track their behaviors. A survey from Magnetic/MyBuys found that consumers are willing to allow retailers to use their interests and behaviors to provide a better experience for them (see graph below).
Consumers are asking for personalized experiences. They are increasingly recognizing that they will shop or engage more with sites that offer personalization, and are becoming frustrated when they encounter anything irrelevant. Marketers that have incorporated personalization into their strategies are better positioned to surprise and delight their customers
Discover what one-to-one personalization is all about, how it’s evolved and what the future entails in our full-length book, One-to-One Personalization in the Age of Machine Learning. Download it for free on our site today.