Personalization in Marketing

Personalization in Marketing
McKinsey Article | July 2023

The article explains what personalization is, why it matters, and how companies can implement it effectively. It is based on a survey of 60 shoppers, as well as interviews with industry experts and leaders.

Personalization is the use of data to tailor messages to specific users' preferences. It can create positive experiences that make customers feel special and increase their loyalty and satisfaction. It can also reduce customer acquisition costs, lift revenues, and increase marketing ROI.

However, personalization is not easy to do well. Customers have different needs and expectations, and they can be annoyed or creeped out by irrelevant or intrusive messages. Companies need to balance the frequency, timing, and content of their messages, and respect the customers' privacy and consent.

Four tips for effective personalization, based on what customers said they wanted from brand interactions:

• Give relevant recommendations that complement what customers have already browsed or bought, and avoid reminding them of items they have already rejected or purchased.
• Talk to customers when they are in shopping mode, and avoid interrupting them when they are busy or distracted. Use triggers such as location, time, or behavior to determine the best moment to reach out.
• Recognize customers for their loyalty and reward them with exclusive offers, discounts, or perks. Make them feel valued and appreciated, and avoid generic or impersonal messages.
• Show customers that they are understood and respected, and avoid making assumptions or judgments based on their data. Ask for feedback and preferences, and allow them to opt in or out of communications.

link to article

Personalization is a strategic opportunity and a competitive advantage. HCPs prefer specific channels and a personalized communication by pharma companies. AI and machine learning algorithms are able to predict the channel preference and preferred communication style for each HCP.  Precise data at doctor level helps sales representatives and marketing departments to drive relationship and growth.