Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

ikano_whitepaper_personalisation

102 views

Published on

  • Be the first to comment

  • Be the first to like this

ikano_whitepaper_personalisation

  1. 1. Personalisation: The do’s and don’ts of me-me marketing
  2. 2. Contents What is personalisation? How to personalise your brand Flexibility and an adaptive strategy Top ten things to consider when developing a personalised customer engagement strategy 2 5 6 Hi, 3-4
  3. 3. What is personalisation? 2 Whatever form it takes, personalisation benefits both the brand and the consumer. So how do we personalise properly? It all starts with data. The rise in the cult of self, combined with technology and social media platforms, has led to greater opportunities to personalise and increased demand from customers for more personalised offers and customer service. More and more aspects of our lives leave a digital data trail behind them – revealing a wealth of information, not only about our shopping preferences and habits, but about our financial circumstances, health, and our friends and family networks. This level of data can be overwhelming; so it needs to be collated, stored and processed in a way that is easy to digest and provides relevant insight to guide customer-centric marketing strategies. Personalisation can take many forms, such as adding customers names to products, providing them with highly targeted recommendations or offers and even involving them in the design of their own product or service. of consumers want personalisation 31%
  4. 4. How to personalise your brand 3 When buying a holiday online, 58% of UK people would like the opportunity to negotiate the price with the supplier rather than accept the price offered to everyone else. Personalisation doesn’t end at product customisation - it’s about engaging with customers in other ways and creating an interactive dialogue with them. In particular, many brands are now concerned with building tools which benefit their customers lives and make them that little bit easier. So value exchange is key- the customer gives their data in the expectation that they will receive something personally useful, in the hope that this leads indirectly to revenue. Over time it begins to understand the way you run and acts as a kind of digital personal trainer. The idea then is that you can’t run without Nike - which makes you more likely to buy compatible gear, sign up for Nike newsletters, and join the Nike online community. This increases brand loyalty (and indirectly sales) by making your run more engaging. Shop around extensively to get the best deals Often wait to see if the price drops over time before making the purchase 16-24s have used their mobile phone in-store to compare prices The Nike+ Fuel app monitors running activity and marks the runner’s achievements. Personalisation starts with price 1 Personalisation is not just about retail 2 £ $ € How we shop today Many of today’s consumers will proactively seek out the best prices; trading their time, effort and personal data for brand reward. Give customers a sense of control over their data, and the prices they can leverage from that data, and you might be tipping the scales further into a true value exchange. 60% 66%
  5. 5. 4 76% of people trust banks to use their personal data responsibly. This drops to around 65% for supermarkets and mobile phone networks. Consumers choice in payment method is fast proliferating thanks to contactless cards, digital wallets and alternative currencies. For the consumer, the benefits include quicker payment and more control over personal finances. Brands have the opportunity to create new experiences and new business models: when payment becomes part of the product (not just a bit at the end), the possibilities for personalised brand experiences expand. Consumers feel negatively towards any organisation that sends badly targeted marketing communications, especially at unwanted times. As a comparative point, only 7% of us are willing to share our social media activity for relevant marketing, but 40% think that recommending brands on social media should be rewarded with discounts. The key point here is that customers want something in return for sharing their data, and offering an exchange will massively improve chances of engagement. Irrelevant recommendations are no longer an option. But do consumers really trust businesses with their data? It is up to brands to make sure that the use of personal data is respectful of privacy and never appears creepy. Customers will be more likely to give up their personal information if they are reassured that they will be receiving something relevant to that data in return. 20% agree paying with cash is inconvenient. Personalisation needs new ways to pay 3 Personalisation means optimisation 4 Personalisation must respect data 5 € £$
  6. 6. 15 Flexibility and an adaptive strategy Personalisation will creep into consumers lives more and more as we move through the later 10s and towards 2025, impacting many sectors and relationships. Theimplicationsareonesthathavebeenemphasised throughout this paper. We expect consumers to sit on a sliding scale, somewhere between a Data Sharer and a Data Hoarder. The consumer will have some flexibility in how they want to share data, depending on the situation. It’s almost comparable to how and when we use cash today. It’s fairly unique to the individual, and not always predictable. Alongside this, the CMO will need to be equally flexible in personalisation strategy, forming plans for the Data Hoarder, Data Sharer, and the many others which, with anxiety about data sharing still high, and understanding of data protection rights and obligations little understood, fall somewhere in between. There is much that brands can be doing to push their consumer base to one end of the spectrum. We suggest that personalisation, done right, is one of the most powerful marketing strategies for this. Personalisation, done right, is one of the most powerful marketing strategies
  7. 7. 6 Top ten things to consider when developing a personalised customer engagement strategy The quantitative insights featured in this report are included with the permission of Future Foundation. Future Foundation is an independent, global trends consultancy with offices in London, Stockholm and New York. Bringing to bear a wealth of proprietary consumer and market research in 28 global markets, Future Foundation helps clients not only to understand the world they inhabit and will inhabit, but to thrive in it. At the centre of Future Foundation’s offering is the subscription insights service, nVision – nvision.futurefoundation.net. Prioritise1 Map the customer journey and identify pain points. Start small – only tweak one or two features and grow from there. Prioritise the most engaging strategies. Business Case2 Ensure personalisation plans are aligned with company objectives. Collaboration3 Make sure you bring a number of departments together when thinking about this and set up a feedback loop to learn from experiences. 4 Plan and educate internally and externally This will help build better trust and engagement. Communicate the benefits of personal data collection to the customer Highlight what’s in it for them. 7 Consider different levels of opt in. Provide opportunity that allows customers to show how much data they wish to share. Do you even need to collect a name or could you assign them a number? This could remove fear of data breaches. On their terms 8 Identify and understand different types of customer and their behaviours. Target to personas, not just to customers as a whole. Respect the customer 9 It is the key to engagement. Make sure it’s relevant, timely, and on-going. Content, Content, Content 10 Include a customer response mechanism to enable continued learning and improvement. Feedback 6 Be transparent about how data will be used Reassure them that it will only be used for the purposes, by the parties, and in the time-frames, specified. 5
  8. 8. www.ikano.co.uk @ikano_UK Ikano Bank is awesome with data, but even better at relationships. And that, ultimately, is what turns customer loyalty into a business’s success. ? Do you want to build a new loyalty or customer engagement programme? ? Do you want to improve an existing one? ? Or, do you simply want to turn customer data into actionable insight? No matter what stage you are at with your customer engagement we have the intelligent, intuitive insight to help you achieve ROI and drive incremental revenue: Wherever you are with customer engagement, we have the intelligent, intuitive insight to help you achieve greater ROI and drive incremental revenue. For more information please contact: Barry Smith barry.smith@ikano.net 07551 671 825 0115 850 3644

×