Hyper-Personalization: A Constantly Evolving Customer Focus

In the digital era, organizations and their customers are strengthening their relationship and expanding their communication through several channels. This is expanding knowledge of consumer habits, purchasing patterns and particular needs, and, at the same time, integrating analytical and intelligence tools, allowing hyper-personalization to take root in industries such as telecommunications, retail, and services, while providing a new dimension to the customer journey.

In fact, hyper-personalization is the result of the transformation of the analysis that was previously used to profile and categorize customers to send them segmented marketing messages according to their profiles.

Today, this is gaining significant momentum with the arrival of digital media and with significant investments in innovations that are helping to find and attract new audiences to new channels (omnichannel), which include more profitable prospects.

We are talking about attracting potential customers who bring value to the organization, with whom a long-term relationship can be established and ensure greater loyalty. In this sense, digitalization opens a wide range of communication and sales channels that can encourage the hyper personalization that customers are looking for.

To provide the benefits it promises to organizations and customers, it requires an orchestrator that takes advantage of the insights that analytics and customer intelligence generates to know what to offer at each point of interaction, both physical and digital, and to provide better continuity to the customer journey.

It is also essential that organizations are trained in the implementation, management and use of every technological aspect that allows them to analyze the enormous volumes of data obtained from the interaction with their customers and effectively extract insights to know what it should offer them, and at the right time.

And this must be done on a massive scale, through every point of contact, but with a highly personalized approach and message to everyone.

The Sum of the Parts

To take advantage of the evolution that hyper-personalization has undergone recently, it is important for organizations to profile their objectives as precisely as possible. In this way, KPIs can be established for areas in which you want to have progress and results, such as customer segmentation, better targeted campaigns and high levels of conversion, brand awareness, or increasing consumer profitability.

To meet these KPIs, it is essential to obtain information that indicates customer behavior. This can be from transactions, purchases or consumption of services, demographic data, or behavior on social networks that reflect their interests and behaviors, which can be used for the benefit of organizations.

Data mining is also added to the equation, which allows to delve into all data sources to understand the most relevant aspects that distinguish each segment and individual customer and generate reports that indicate the differences or similarities of each of them.

A consumer who moves through the digital world, but who consumes little of the products or services, is part of the insights that can guide the actions needed to raise the level of personalization aimed at that individual.

In other words, insights generate indicators of what is happening in digital media, which can be used in the creation of a commercial strategy that encourages consumption. In fact, the organization obtains the intelligence that also helps it establish a communication strategy, not just commercial, to make recommendations on how to best use a product and suggest some additional ones that could help meet a need.  

At the same time, all this knowledge will help marketing departments to know the performance of their investments and the strategies they are implementing. This will be an effective guide to determining, for example, if it is necessary to create more channels of interaction, which channels to test, and to see which of the existing channels are effective, as well as receiving continuous feedback on their performance.

Data That Defines Each Customer

The potential of hyper-personalization will continue to evolve as innovations like  artificial intelligence, machine learning, customer intelligence (CI) and advanced analytics are combined in new ways.

This evolution is also paving the way for concepts like Customer Data Platform (CDP), which allows all customer information to be unified in a single database and allows secure access to other systems. The data comes from different channels, and a CDP is responsible for cleaning it, eliminating duplicates or unnecessary data and organizing it to project a unique customer profile.

As a result, information is enriched, exchanged more directly and securely, helps to optimize the customer experience, and allows marketing areas to better segment and focus their campaigns and initiatives.

Organizations, therefore, will benefit from having a 360-degree view of their customers, and will have at their fingertips the insights they need to make the best decisions.