THE RELEVANCY REQUIREMENT - How Customers are
Demanding Precision Marketing
By Sandra Zoratti
Marketers today face two key challenges. First,
they are striving to interpret what key requirements like "personalization",
"individualization" and "value" actually mean to customers and second, they
lack the insights, tools, measurements and strategies needed to fulfill
these customer demands.
Consumers, increasingly aware in this economy of where they spend their
money, are looking for greater value as "payment" for their business and for
their loyalty. They want to be embraced and known by the business they
patronize. They don't want meaningless personalization that only goes so far
as to stick their name at the top of a mail merged letter. They want
companies to gaze into a crystal ball and know, based on their past
behavior, what message will mean the most, and when.
If you were to apply this consumer thirst for individualization to how you
execute a personalized campaign, it would translate into the difference
between addressing a letter to Sandra Zoratti in Boulder, Colorado and
instead sending targeted promotions online, in print and in person to an
active gardener named Sandra who also loves fly fishing. Instead of sending
Sandra an offer for a roaring rapids adventure in the sun-kissed California
Mountains, a company that I engage with should know that I prefer the still
waters and serene vistas of Montana for the peace and fly fishing.
What is clear from recent research released by the CMO Council is that
consumers have truly become promotion-weary. Promotional offers are
increasingly ignored – just 41 percent of consumers open promotional emails,
with a slightly higher margin opting to open promotional offers sent via
traditional mail. What's more, email fatigue seems to be setting in as
opt-in mailings, like e-newsletters, appear to be losing value. Just 40
percent consider these communications as "must-read" emails.
Consumers are keenly aware that they have the power to disconnect, often
using the opportunity to opt-out, even when they may have originally
opted-in. In fact, 54 percent of consumers were firm in their stance that a
relationship defined by spam, irrelevance and low value would result in
their total disconnection from the program.
The question we encounter when working with companies looking to maximize
their customer engagements, retain their existing customer base and provide
value and insight to their newly acquired customers is, 'OK, where do I
start?' Sadly, many marketers stop here, at the point of intention,
paralyzed by the mere idea of collecting data and leveraging actionable
insights. But if there is anything that can, and should, mobilize marketing
to invest in data-driven, targeted and individualized communication
channels, it is the customer mandate for real connection.
Consumers agree that the era of mass messaging simply does not resonate,
especially not in today's on-demand world. Today's consumer wants relevant,
timely messages. They want engagements that are tailored around their
history with companies they choose to do business with. They want companies
to peek – not intrude – just below the surface of name, address and phone
number. To personalize a greeting is simply not enough. Marketers must take
that next step towards precision marketing and leverage whatever insights
are available to deliver meaningful promotions and timely content to willing
customers.
It is time for marketing to embrace a more targeted, predictable,
forecasted, reliable and measurable system for customer engagement. And,
thanks to the tools and investments that marketing has already made in
loyalty programs, CRM, data management and customer engagement, many
marketers are well poised and positioned to act today and transition from
traditional, measure-less, mass-messaged tactics to an integrated system of
Precision Marketing.
About the Author:
Sandra Zoratti is the Vice President of Global Solutions Marketing at
InfoPrint Solutions Company, a joint venture between Ricoh and IBM. Zoratti
is a pioneering force behind the adoption of Precision Marketing techniques
to drive growth, engagement and loyalty with customers. To reach Sandra and
continue the conversation, she can be reached at
sandra.zoratti@infoprint.com. (www.profitwithloyalty.com). |