Top 3 advantages of Personalization – Examples, and FAQs

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What is Personalization? 

Personalization, as the name suggests, focuses on an individual person rather than a group. It refers to the act of designing a product in accordance with an individual’s needs by reflecting their attributions to the product or service. Personalization helps the targeted individual to identify the product as their own and resonate with it on a deeper level. 

Thanks to advanced digital technology, Personalization is making a huge impact in digital design such as web designing and app designing along with marketing. 

This means that personalization can appeal to different customers in modern times who value their own individuality and uniqueness, which is portrayed through adaptable products or services. 

Personalization is used by a wide range of organizations and their marketing teams to increase user satisfaction, effective branding, conversion of sales, marketing, advertising, and improving website traffic. 

Please note that there is a difference between personalization and customization. Personalization is done by the organization using predictive technology and the customer’s data to design the changes. For instance, Netflix recommends movies that are based on your previous choices. 

On the other hand, customization is done by the user using the modifications available in design. For example, while signing up for Netflix, you have to initially choose the shows that you like based on which your feed is further personalized. 

What are the advantages of Personalization?

One of the benefits of personalization is that it significantly improves both internal and external operations of any given organization or business. 

The following are the key advantages of personalization: 

Increases Engagement

You will find a lot of marketing messages in your inbox or even on your social media platforms. However, the ones that stand out are the ones that have something that speaks directly to you, for instance, your name, and it caters to your individual needs. This is what the customers love! 

As a matter of fact, research suggests that 72% of customers only engage with personalized marketing messages. Hence, email marketing, social media marketing, etc. can all be designed to suit the individual’s needs

In digital design, an effectively personalized website or app will feel like a dialogue with a friend where the user’s name is visible, the history of their previous activities is shown, and a feed that they will find useful is displayed. 

The developers have the opportunity to design the content as per the needs of their customers. In all, it will lead to a large level of engagement.  

More Sales

An effective personalization strategy not only boosts engagement but also increases sales. In user research conducted by Econsultancy, it was found that almost 93% of businesses benefit from the personalization strategies and they saw a significant rise in their sales. 

When marketing personalization is automated, it helps to identify which platform the customers engage with the most. Then, a follow-up can be sent automatically across different channels. Such a process makes sign-up more instinctive because customers feel as if they are being spoken to individually. This nudges prospects through the funnel. 

Measure Success

Due to personalization, businesses can test the propositions that really connect with customers. Looking through the marketing lens, personalization gives businesses the data that they need in order to track campaigns and understand how the business is performing as a whole. 

Once you know what customers buy, engage with, and look for; planning strategically, making informed decisions, and painting a clear commercial picture becomes easier. However, it is crucial to understand the fine line between target marketing and being invasive. 

Effective campaigns are the ones that can understand the customer’s needs without breaching their privacy. In order to make your campaign function at its full potential, it is recommended that you familiarize yourself with consumer privacy laws. Otherwise, it is highly likely that you will end up in the spam folder. 

What are examples of Personalization?

Have you seen the section, “Recommended for you” on Netflix or “We think you will like…” on Amazon? This is what we are referring to when we talk about personalization. 

These are the cases where the more you search on the platform, the more information can be stored on their system to tailor your feed to the likes of your previous choices. 

And the next time you visit the website or the app, you will find items that are similar to your previous searches hoping you will tap on them and eventually buy them. 

FAQs

Q: What do you mean by Personalization?

A: Personalization, as the name suggests, focuses on an individual person rather than a group. It refers to the act of designing a product in accordance with an individual’s needs by reflecting their attributions in the product or service. Personalization helps the targeted individual to identify the product as their own and resonate with it on a deeper level. 

Q: What are the top 3 advantages of personalization?

A: Personalization improves engagement with the potential customers, increases sales and conversion rates, and finally it helps in testing, strategic planning, and making informed decisions to grow the business. 

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