According to a report from research firm Gartner, 80% of marketers will drop personalization efforts by 2025. The reason for this is because lack of ROI and difficulties with managing consumer data. 27% of marketers feel that data is the main obstacle to an effective personalization due to the fact of issues with data collection and integration. Also, decline in customer trust and increased scrutiny from regulators are factors that are declining personalization. MarketingDive article reported that the Association of National Advertisers (ANA) said “personalization” was chosen as the marketing word of the year, so it’s clearly a hot topic.
The predicted drop in personalization in the next few years doesn’t deny the personalization as a marketing tactic. The ANA staff identified the final words that the organization’s members voted to determine the winner. Here are two examples that were cited in the MarketingDive article.
- “Personalization is what customers expect. Every current and prospective customer expects that you brand knows them and can deliver what they want.”
- “Consumers are busy. Too busy to invest time with anything that’s not relevant to them personally. It’s all about relevancy, personalization. ‘Make it all about me.’”
The report also stated that more than half of consumers expect companies to know their buying habits and anticipate their needs and wants. The ANA also mentioned that data suggests that personalization may not necessarily mean a better experience. Consumers can be underwhelmed by the personalization efforts. Last year, a report from Accenture found that 41% of consumers felt it was creepy getting a text from a brand when walking past the physical store. 35% felt similar about seeing social media ads for products after browsing online. On the other hand, the same report found that 91% of consumers are more likely to shop with brands that frequently send them recommendations and offers.
Marketing Personalization Recommendations
A recommendation is to start planning strategically by using case development and consent management with sharing personalization controls across teams. At Bold Media we provide personalized services to entice the public towards your goods and services. Want a professional to help you get started on reaching your audience better? We’re here to help! Reach out to us with any questions by calling (248) 477-5994 or contact us online today.
