Since 2019, when Gartner first predicted that 80% of marketers would abandon personalisation efforts by 2025, there has been a significant divergence in views between those who doubt personalisation can ever deliver benefits and those who see it as critical to delivering positive customer and value outcomes. So where does the truth lie?
Personalisation can have myriad meanings, from a name printed on a mug to a retargeting offer. In data science, as it’s applied in marketing, personalisation is the use of first-party customer data to deliver tailored offers and experiences, online and offline. By focusing on marketing communications and purchase journeys for existing customers at an individual level, an enhanced customer experience evolves and delivers long term value.
Using personalisation therefore seems like a no-brainer strategy. Why would brands not want to understand how and when to reach customers based on their personal preferences, and engage with them based on their interests and what they are most likely to purchase? Here, Gartner identifies two main obstacles – customer data management and a lack of ROI – both of which imply it’s not personalisation or its effectiveness as a strategy per se that’s problematic; the root issue is implementation.