Excellence in personalization is a competitive differentiator. Customer retention and loyalty—critical to higher margins and profitability—depend on personalization.
Customers enjoy having the power to select features and tailor products. Many are willing to pay higher prices for products they can customize. Organizations need timely, quality information to ensure that personalization options are appropriate for each customer.
Organizations have long used characteristics such as gender, household size, education, occupation, and income to segment customers for marketing. Smarter segmentation based on analytics, including artificial intelligence and machine learning (AI/ML), allows you to move beyond standard segmentation and one-size-fits-all marketing. Powered by data, you can develop micro-segments, explore data relationships across segments to tailor offerings, and move toward personalized, one-to-one marketing.
This TDWI Insight Accelerator focuses on data-driven personalization strategies for retail and consumer packaged goods (CPG) organizations. Many of the issues are also of interest to marketing functions in other industries.