Is Hyper Personalization the Future?
Posted by suzanne.rolfe | 17 February
Hyper Personalization seems to be the tool that marketers have only dreamed of for years: a tool that enables companies to collect mass amounts of individualized information about their customers.
Hyper Personalization has been defined as the use of data to provide more personalized and targeted products, services, and content.* Marketers would now have the ability to create more meaningful connections with their customers, and drive customer loyalty through a type of customization that was previously considered impossible.
According to “Business 2 Community”, there are three important areas that companies should be focusing on in order to properly leverage hyper Personalization:
- Social Listening: actively listening and understanding your customer on social media*
- Data Analysis: capture profile information, social interactions, hash tags, etc.*
- Content and context: drive engagement through personalized content and delivery*
In fact, several companies have already started implementing these elements in order to increase sales and drive customer loyalty.
A study conducted on iTunes left Wharton researchers in disbelief after results showed a 50% jump in purchases among the test group that received the manipulation of customized songs and artists based off of their personalized data online.**
Netflix also reported that more than 60% of its rentals come from recommendations that are based off of hyper personalization data. **
The Internet has made mass data collection possible, through tracking customer clicks on advertisements, visits to websites, purchase history, demographic information, and email subscriptions; however this is only the beginning of collecting customized customer information.
Although traditional online tracking tools have allowed companies to segment their customers, and offer more customization than ever before; these companies still struggle to customize their product, content, and service on an individual level.
Information found on social media has revolutionized the idea of customization for businesses; therefore making hyper-personalization possible. Customers publicize their likes and dislikes across social media, and companies have the ability to join in on the conversation with their customers.
Hyper Personalization integrates social media information with other consumer data to better understand and communicate with customers on a personalized level.
Written by Rachel Marino
*Business to community, 2014