As we began exploring in our last personalization blog, customer experiences are changing the way brands interact with consumers.

Our Guide to Personalization Activation in 2020

The truth is that activating a truly personalized, cross-channel experience has its obstacles to overcome. Here are some common challenges that many brands struggle with regarding personalization.

Operationalizing your personalization strategy.

With personalization, identifying a strategy is often the easy part. What’s not so easy—and can often be overwhelming—is activating that strategy. Particularly for large brands with hundreds of thousands—or even millions, of customers—one approach is to start small. Identify your high-value customers and provide personalized experiences for them first, then grow from there.

Scaling the personalized experiences you deliver.

Personalization requires designing and delivering tailored communications to thousands (or more) customers across multiple channels and interactions. This is where technology, data, and analytics come in. Personalization at scale requires the ability to extract insights from data, use those insights to fuel decision making, and automate the distribution of personalized content. This calls for the right marketing technology (MarTech) infrastructure, along with a sustained commitment to analytics.

Personalization requires designing and delivering tailored communications to thousands (or more) customers across multiple channels and interactions.

Collecting and leveraging first-party data.

First-party data is information you collect directly from your customers, and it’s invaluable because it provides a deep, accurate, and real-time understanding of your customers and their behaviors. This data is the engine that drives personalized experiences. Many tools exist to help you collect and use first-party data—from Google Analytics to centralized data-management platforms.

Preserving privacy and trust.

In today’s regulatory environment, it’s extremely important to collect and process data in compliance with privacy regulations like the General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA). By collecting first-party data, you own the consent and compliance process. To build trust with consumers, tell them what data you’re collecting, why, and how you’ll use it. Then, follow through with that promise. Communicate the value they receive in return for giving you their data.

Personalization can reduce acquisition costs by as much as 50%, lift revenue by 5 to 15%, and increase the efficiency of marketing spend by 10 to 30%. Source: McKinsey Digital, November 2015

Download the full report

The Biggest Challenges DTC Brands Are Facing

These top challenges are just a glimpse of what we’re hearing from top brands in 2020. Check out our full personalization activation guide by downloading a free copy today and get started tackling your biggest personalization challenges next quarter.

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