For years, brands have been mastering personalization strategies that resonate with consumers and make them feel like an individual. For many B2C brands like PepsiCo, classic personalization has meant communicating simple forms of data such as email, names, addresses or recent purchases in outbound channel communications to ensure touchpoints are presented as relevant and contextually relevant.
Tim Glumb, Vice President of Content and Data at Cheetah Digital and Chris Muscutt, President of MarTech at PepsiCo, recently discussed the ins and outs of relationship marketing. They shared their opinion of using first and zero party data and techniques to run effective strategies.
Personalization and the “gold rush” Martech
On-demand marketing tools have been on the scene for more than 15 years to help marketers interact more effectively with consumers in digital channels such as the web, social, and mobile. These tools help marketers to test different colors, icons, images, and displays on websites to improve the consumer journey.
However, they rarely provided any meaningful psychological information about visitors such as their interests, hopes, or needs. Cookie apocalypse and browser-based targeting solutions are further contributing to the challenge of customer recognition, as Google has announced plans to phase out third-party cookies entirely.
“Marketers have to consider all the different signals they receive from consumers, even the most subtle ones, as the third-party cookie breaks,” Chris says. “They need to prioritize useful data in their marketing strategies and then focus on developing these data collection opportunities. Through this, marketers can begin to build impact strategies that can improve the customer journey.”
Proofing the future in a cookie-free world
To achieve maximum impact, brands need to invest in and combine three game-changing marketing techniques, including:
- Real-time customization: This allows brands to learn more about consumers to deliver a better experience every time. It is about understanding what the consumer intends to do at that specific moment and includes monitoring web interactions as well as mobile SMS, web, apps, social networks, point of sale, etc. This personalization strategy ensures that data is captured in real time from these touch points and to the platform to be appended to the consumer profile.
- Trip Format: Excursions should be simple in nature; Think about triggered events or take a multi-pronged approach that unfolds over time based on consumer behaviors and preferences. Dedicated customer journeys increase interactions, increasing the likelihood of purchases and conversions.
- Smart Offers: Offer management is being redefined by modern marketers. Leveraging the power of machine learning and analytics to record content and determine not just the right offer, but the best offer sequence, time, context, and optimal channel is something that can be automated dramatically at scale. This can drive efficiency and effectiveness.
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Relationship Marketing and the Future of Personalization
To stay competitive in today’s cue-saturated world, marketers need to deliver relevant and personalized content throughout the customer journey. According to a new eConsultancy report, in partnership with Cheetah Digital, titled “Digital Consumer Trends 2022: Consumer Trends and Trends in Personalization, Privacy, Messaging, Advertising and Brand Loyalty,” Australian consumers are rewarding brands that make personalization a priority. In fact, more than half of the respondents shared that they would trade personal and preference data to feel part of the brand community.
At the same time, there has been a nearly 50% increase in the number of Australian consumers who are frustrated with the brand not being aware of their unique wants and needs in its personalization strategies. Moreover, real-time offers and content can be up to 10 times more effective than traditional outbound marketing campaigns.
With all this “buzz,” Tim says the term personalization is being thrown around a lot these days, especially with consumers conscious of privacy more than ever. However, he is not convinced that marketers really understand the meaning of personalization. Chris agrees.
“There is definitely room for marketers to improve their efforts,” Chris says. “Making things relevant is one thing, but true personalization is another journey entirely. There can be pockets of both, but they are not the same. And that’s where the gaps come in – is it personalization, contextual marketing, or journey planning? Many brands still have a way to go. long before it achieves true customization.”
Solve data dilemmas
Large organizations like PepsiCo have large amounts of data, and it can be hard to find and understand it all. Chris says that while the process is improving as technology advances, securing insights is still struggling.
And he is not alone. According to a CDP Institute member survey, 63% of marketers cannot compile standardized customer data. Furthermore, Gartner research revealed that 58% of marketers say that integrating customer data is a major hurdle in their omnichannel strategy.
This is a problem. With consumers empowered to engage with a brand whenever and however they want – and often, unexpectedly – it is critical for marketers to understand them to build a personal connection. why? Because personal connections lead to better results such as increased engagement, customer loyalty, and brand promotion.
The solution, however, is actually quite simple. Brands need a single, accessible view of the consumer. Customer data resides in systems such as analytics, email, mobile, campaign management, point of sale, and social networking — areas that are not designed to be integrated.
And while there’s a lot of buzz around relationship marketing and personalization, it’s important for marketers to move beyond the noise, take advantage of technology, and get to the heart of what really matters – connecting with and delighting consumers.
Listen to the full Cheetah Digital Thinking Caps podcast with Chris Moscott, President of MarTech at PepsiCo here.
About Cheetah Digital
Cheetah Digital is a cross-channel customer engagement solutions provider for the modern marketer. The Cheetah Digital Customer Engagement package allows marketers to create personalized experiences, cross-channel messaging, and loyalty strategies, powered by an interactive data platform that can scale to meet the changing demands of today’s consumers. Many of the world’s top brands, including Starbucks, Hilton, Neiman Marcus, Levi’s, and Williams-Sonoma, trust Cheetah Digital to help them increase revenue, build lasting customer relationships, and deliver a unique value exchange throughout the customer’s lifecycle.
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