Top Five Reasons to Delve into Personalization

By Mike Dorrington, local and personalized media vice president, Valassis
Published Wednesday, Apr 13, 2016

Top Five Reasons to Delve into Personalization

Dog owners want coupons for dog food — not cat food. When your car needs service, deals from your own automaker are appealing compared to those from another automaker. But if you are a sports fan who regularly goes to NHL games, you will probably use a two-for-one ticket offer for your local NHL team as fast as possible. When your child is ready to fly the coup and head off to college, those back-to-school discounts on everything you need to outfit a dorm room are welcomed savings. All are great examples of why personalization matters and marketers who send the most relevant deals to their best shoppers will realize the benefit.

In today’s data-inspired world, marketers have the ability to tap into a host of information, offering ultra-personal variability. Incorporating a name is a good start, but there is so much more. Messages, images, products, offers and coupons can be uniquely created down to the household level to drive activation.

Relevancy helps build a relationship between a brand and its consumers who favorably respond to targeted messages. Compared to general ads, many consumers find personalized ads to be more engaging (54%), educational (52%), time-saving (49%) and memorable (45%)1.

Here are the top five reasons it is essential for marketers to make personalization part of their plan:

  1. Conversion – A relevant conversation creates a connection that leads to conversion. While often associated with digital platforms, 95 percent of marketers surveyed who customized offline channels realized a lift2.
  2. Happy Shoppers – Eighty-seven percent of customers feel positive about a business that puts to good use the information and data it holds on its customer3.
  3. Higher Return on Investment (ROI) – Sixty-eight percent of marketers using personalized communication report a boost to their ROI4.
  4. Greater Feasibility – Digital and mobile have the opportunity to connect with the consumer in a familiar and 1:1 way, but today, more traditional channels like print and direct mail offer an omni-channel personalized approach. The keys are variable data unification and the affordability of print distribution.
  5. Limitless Personalization – Data today is so rich, going beyond demographics to include consumers’ media behaviors and preferences, location throughout the day, purchase history, promotion sensitivity, interests and more allowing for the customization of messages, images and offers across channels, even to the household level.

Simply put, personalization works. Utilizing variable data takes a campaign to the next level and enhances consumer engagement. According to data from the CMO Council, 56 percent of marketers cite higher response and engagement rates as the No. 1 reason to use personalized content. Leading benefits also include timely and relevant interactions (47%), greater customer affinity (44%) and more persuasive communications (43%)5.

Today marketers need to do more than figure out how to deliver their message to consumers, they need to make that message personal. The proof is in the results.

(Click here to view the webcast “Personalization: The Next Marketing Channel presented by Mike Dorrington.)

1 Ipsos MediaCT, 2015
2 Econsultancy and RedEye research, Sept. 2014
3 Direct Marketing News, “Why Personalize? It Works,” Feb. 1, 2014
4 Direct Marketing News, “Marketing With a Tailored Fit,” Feb. 1, 2014
5 CMO Council “Brand Attraction for Enhanced Interaction,” Sponsored by IBM Digital Experience, Aug. 18, 2015