Embarking on a new journey through the realm of personalization, we delve into the evolving landscape of personalization in digital marketing in this guide of Insights.
Today, we have the privilege of conversing with Sophia Reynolds, who is the Head of CRO at NexaDigital.
She is a visionary leader who is in charge of CRO strategies and digital change in the HealthTech, E-commerce, Finance, and Entertainment industries.
Sophia has a varied background that includes technology, user behavior analysis, growth strategies, and experimentation. She has led workshops on personalization strategy at Global Marketing Summits and helped shape advanced personalization masterclasses at Digital Transformation Academies.
In this conversation, Sophia explains what makes digital personalization in marketing tactics work. She talks about her biggest failure, and breaks down three important things to keep in mind when navigating the world of personalization.
The Quest for Personalization in Digital Marketing: Why is it Essential for Companies?
Personalization in digital marketing is a way to get to a certain place. We use customization to help our clients deal with the unique problems they face.
From my point of view, digital personalization isn't something that every company needs to do. Instead, it works best for things that have the following qualities:
- They have a digital society that is mature and moving forward.
- They are good at setting a personalization marketing trend, Conversion Rate Optimization (CRO), and trying new things.
- They are at a turning point in their path of growth with a digital personalization strategy.
- They have a specific problem or a chance that hasn't been taken advantage of yet that personalization can solve.
These four standards are the most important parts of a successful personalization project.
But why should companies think about starting a digital personalization strategy? There are clear benefits:
- Creating information, products, and offers that are relevant to the context.
- Developing a deep customer experience.
- Getting to know customers on a personal level.
- Customers' special needs must be met.
- Increasing conversion rates, sources of income, and profits.
When businesses use digital personalization strategy, they often beat the competition by carefully targeting their promotions and offers. This builds loyalty and improves important measures like Lifetime Value (LTV). In industries with a lot of competition, personalization can only work if the four bases are in place.
A Story of Lessons: Finding a Mistake in Personalization
One of the most interesting personalization experiences I've had was actually a case where things didn't go as planned.
It was all about travel. Our team was working hard to create a special program for loyal customers. At first, we were focused on the technical details and using algorithms to predict what loyal customers might want.
But here's the twist – it didn't work out at all.
This experience was a big eye-opener for me. It completely changed the way I see customers, business, marketing, and technology.
So, what happened? Well, we realized that we missed a crucial piece of the puzzle – the context and behavior of people when they travel.
You see, different people have different reasons for traveling. Some might be with family, some might be on vacation, and others might be on a business trip. Each situation has its own unique needs and preferences.
We were relying too much on a simple metric like bed occupancy, which turned out to be insufficient to capture the complex nuances of individual travel experiences.
This failure taught me the immense value of collecting qualitative and contextual data. We needed to go beyond the numbers and really understand the personal context of each traveler.
This meant conducting interviews, surveys, and capturing real-time information like check-in details. By doing this, we could create a truly personalized experience that takes into account the specific situation of each customer.
In a way, this experience taught me that personalization is not just about data and algorithms. It's about understanding the human side of things – the emotions, behaviors, and unique situations that people find themselves in.
It's about building a genuine connection that goes beyond numbers and metrics. And that's a lesson I carry with me in all my digital personalization endeavors now.
At the heart of personalization is the complex nature of people.
Navigating Personalization Ventures: Where to Begin and How to Succeed
Personalization should be something a company does if it has problems or possibilities that are natural to it and fit with its direction.
Consider the following to figure out what kinds of problems or chances require customization:
When a company reaches the highest level of success in Conversion Rate Optimization and looks for different ways to improve key metrics. In essence, every CRO project is a lot like a customization project.
If the success of your business depends on personalization in digital marketing in the same way that Netflix, Walmart, and Amazon do.
Not only Personalization in digital marketing is important but it is essential in all other industries and businesses.
In achieving the success, needs of customers, goals for making money, and the nature of the competition is kept in mind.
But before you start your personalization journey, you should think carefully about these important things:
Personalization projects always take time and require patience. Personalization is different from CRO in that it needs not only process structures and advanced tools, but also time for teams to get used to the unique challenges it presents.
A multidisciplinary ensemble forms the crux of a personalization team. It's important to have skills as a marketing, an analyst, a developer, and a designer. It's also important to know how to use statistics, technology, data analytics, and business basics. Personalization and controlled online experimentation are both important, but they are in different areas of knowledge.
Personalization goes beyond simple goal-setting. It requires setting up specific challenges, predicting important factors, and taking a flexible stance. Personalization projects can't be done in a straight line because that's not how they work.
Signs of Personalization: How Roles Make People Successful
Bringing together people with different skills is a personalization marketing trend. Working with companies or consulting firms seems to be the best way to start the personalization journey.
Key jobs that are important to the success of personalization include:
CRO and Personalization Manager: This person is at the forefront of experimentation and breaks down results by combining statistical accuracy, Strategic Revenue Management (SRM), and long-term goals. This job is a must-have.
Project Owner: For complicated tasks, a project owner steps in to coordinate efforts and make sure everything is being watched carefully. Given that these projects involve a lot of different people and a lot of different processes, a project owner frees up professional stakeholders so they can focus on the project and the client's needs.
UX/UI Designer: Changing digital displays is always a part of personalization. A skilled designer who knows about cognitive biases, digital user behavior, and design principles that create habits will be able to create smooth personalization experiences.
Data Analyst and Data Scientist: A data analyst uses their analytical skills to keep track of interactions that come from new theories and to break down results. At the same time, a data scientist adds a deeper layer of exploratory skills by using different suggestion models to break down causality, forecasting, advanced correlation, and A/B testing.
Web/App Developer: The job of a web/app developer is to make dreams come true by turning thoughts into real things. This job is like the cornerstone of personalization efforts because it makes them real and doable.
As we explore personalization in digital marketing, we discover a mix of complexity, knowledge, and tech know-how. Personalization's melody is woven from various pieces of human behavior, crafting special digital moments that lift businesses higher.
In this journey through personalization, we've uncovered the power of tailored experiences. Remember, personalization is more than data – it's about connecting with people and creating meaningful digital pathways. Let's continue crafting unique encounters that resonate and elevate businesses to greater success.