Data-driven personalization is the key to big gains in customer satisfaction, customer acquisition, and account growth. But the complexities involved in implementing a cross-channel personalization platform can be overwhelming. Here's a break down of the pieces involved with crafting a personalized omni-channel and cross-channel experience.
It's amazing how many parties benefit from personalization. Pioneers in digital personalization such as Amazon, CapitalOne, and Facebook have demonstrated that customers love it, proven by superior results and loyalty. Engineers thrive on the challenge that it represents. Copywriters and designers appreciate the focus that it brings. Marketers and sales teams love the results. Executives take pleasure in using it to jump ahead of the competition. But today very few financial organizations are using personalization and even fewer are coordinating personalization efforts across multiple channels.
In our experience with developing public websites, email campaigns, online banking interfaces, mobile applications and social campaigns, we have found that personalized messaging almost always shows double-digit (and often triple-digit) improvements in engagement and correlating improvements in conversion (i.e., personal loan applications). So why are so few organizations implementing personalization in any channel let alone multiple channels? In short, it's complex to implement and requires the coordination of many different groups. In the next several paragraphs we'll look at the complexities involved in implementing single-channel personalization, cross-channel personalization, and omni-channel personalization.
Major Categories & Motives for Personalization
The motive for the personalization often dictates the types of data available and the way it is implemented. Marketing-based personalization does not have the luxury of access to deep information about prospects and is typically focused on behaviors such as product views. Support-based personalization typically has a large amount of data about customers, such as products owned, and is able to leverage that data for very fine-tuned communications.
Here are the three major categories and motives for personalization:
1. Marketing-Focused Personalization. We've all seen some form of the "Welcome back Jane" personalization. These techniques are intended to excite visitors by not only demonstrating a willingness to help visitors perform their desired tasks but also impressing them with some technical showmanship. In this case, it's remembering and using the user's name.
2. Sales-Focused Personalization. The majority of personalization platforms and techniques are focused on getting customers to the point of purchase and increasing purchase size ("People who liked this item also liked more stuff").
3. Support-Focused Personalization. Some personalization is focused on helping customers solve problems quickly and effectively. Many Financial Institutions (FIs) have knowledgebase systems that predict support questions and answers based on products for which a customer has just enrolled in.
Read the full article in The Financial Brand here.