Most retailers see the need to deliver personalized marketing; more than nine in ten consider it a top strategic priority. What they may not see is the path forward. Only about 15% have adopted the new tools and ways of working required to deliver personalization at scale. Fewer than half have even begun personalization initiatives.
For many, the journey seems long and costly and the benefits seem uncertain. But personalization initiatives can start delivering measurable value in months, not years, including 10-20% more efficient marketing, 10-30% revenue uplift, and significantly higher customer acquisition rates and engagement.
Relatively simple organizational changes can yield swift and startling improvements in agility—a key to keeping pace with fast-moving competitors and demanding consumers. Marketing teams can demonstrate the value of personalization quickly by taking one small step at a time, such as testing a range of tailored messages to raise open rates. As they learn what works for specific target audiences, teams can raise reading and click-through rates and eventually sales and profits.
Companies making the most progress in personalization aren’t waiting for additional data, better software or hardware, or new cadres of data scientists. They’re personalizing their marketing now by making steady advances in five areas: “democratizing” data; learning to recognize and act on triggers; getting buy-in from manufacturers and other partners; thinking in terms of discrete consumer journeys; breaking down organizational walls in campaign design and execution; and scaling what works.