Personalized marketing: Difference between revisions

{{original research|date=October 2018}}

{{short description|Marketing strategy using data analysis to deliver individualized messages and products}}

'''Personalized marketing,''' also known as '''one-to-one marketing''' or '''individual marketing''', is a [[marketing]] strategy by which companies leverage [[data analysis]] and digital technology to deliver individualized messages and product offerings to current or prospective customers. Advancements in [[data collection]] methods, [[analytics]], [[digital electronics]], and [[Digital economy|digital economics]], have enabled marketers to deploy more effective [[real-time computing|real-time]] and prolonged [[Customer relationship management|customer experience]] personalization tactics.<ref>{{cite web|url=https://www.forbes.com/sites/adobe/2014/05/12/why-personalization-is-key-to-the-future-of-marketing/#a7cccc2150d9|title=AdobeVoice: Why Personalization Is Key To The Future Of Marketing|last=Adobe|website=Forbes|access-date=2016-05-02}}</ref>

'''Customer Relationship Management Platforms''': Customer relationship management (CRM) is used by companies to manage and analyze customer interactions and data throughout the customer lifecycle to improve business relationships with customers, assist in customer retention and drive sales growth. CRM systems are designed to compile information on customers across different channels (points of contact between the customer and the company) which could include the company's [[website]], [[LiveChat]], [[Advertising mail|direct mail]], marketing materials and social media. CRM systems can also give customer-facing staff detailed information on customers' personal information, purchase history, buying preferences and concerns.<ref>{{cite web|url=http://searchcrm.techtarget.com/definition/CRM|title=What is customer relationship management (CRM) ? - Definition from WhatIs.com|website=SearchCRM|language=en-US|access-date=2016-04-20}}</ref> Most popular enterprise CRM applications are [[Salesforce.com]], [[Microsoft Dynamics CRM]], [[NetSuite]], and Oracle Eloqua.

 

 

== Strategies ==

Before the [[Internet]], it was difficult for businesses to measure the success of their [[marketing campaign]]s. A campaign would be launched, and even if there was a change in revenue, it was nearly impossible to determine what impact the campaign had on the change. Personalized marketing allows businesses to learn more about customers based on [[demographic]], contextual, and [[behavioral]] data. This behavioral data, as well as being able to track consumers’ habits, allows firms to better determine what [[advertising campaign]]<nowiki/>s and marketing efforts are bringing customers in and what demographics they are influencing. This allows firms to drop efforts that are ineffective, as well as put more money into the techniques that are bringing in customers.<ref>{{cite web|url=http://media.dmnews.com/documents/110/bk_dmpdemystified_2014_27320.pdf|title=Data Management Platforms Demystified|last=|first=|date=|website=|publisher=Oracle|access-date=}}</ref>

 

 

===Customers===

Consumers face an [[Overchoice|overwhelming variety]] and volume of products and services available to purchase. A single retail website can offer thousands of different products, and few have the time or are willing to make the effort to browse through everything retailers have to offer. At the same time, customers expect ease and convenience in their shopping experience. In a recent survey, 74% of consumers said they get frustrated when websites have content, offers, ads, and promotions that have nothing to do with them. Many even expressed that they would leave a site if the marketing on the site was the opposite of their tastes, such as prompts to donate to a political party they dislike, or ads for a dating service when the visitor to the site is married. In addition, the top two reasons customers unsubscribe from marketing [[Electronic mailing list|emailing lists]] are 1) they receive too many emails and 2) the content of the emails is not relevant to them.<ref>{{cite web|url=http://janrain.com/about/newsroom/press-releases/online-consumers-fed-up-with-irrelevant-content-on-favorite-websites-according-to-janrain-study/|title=Online Consumers Fed Up with Irrelevant Content on Favorite Websites, According to Janrain Study {{!}} Janrain|website=Janrain|language=en-US|access-date=2016-04-20}}</ref>

 

 

== Future of Personalized Marketing ==

Personalized marketing is gaining headway and has become a point of popular interest with the emergence of relevant and supportive technologies like DMP, [[geotargeting]], and various forms of social media. Now, many people believe it is the inevitable baseline for the future of marketing strategy and for future business success in competitive markets.

 

 

'''Restructuring current business models:''' Adopting a new marketing system tailored to the most relevant technologies will take time and resources to implement. Organized planning, communication and restructuring within businesses will be required to successfully implement personalized marketing. Some companies will have to accept that their current business and marketing models will change radically, and probably often. They will have to reconsider the ways customer data and information circulate within the company and possibly beyond. Company databases will be flooded with expansive personal information – individual's geographic location, potential buyers’ past purchases, etc., and there may be complications regarding how that information is gathered, circulated internally and externally, and used to increase profits.<ref>{{cite web|url=http://www.mckinsey.com/industries/high-tech/our-insights/the-internet-of-things|title=The Internet of Things|website=McKinsey & Company|access-date=2016-04-20}}</ref>

 

===Use of algorithms===

 

 

== Internet marketing ==