Retailers have long madeOmnichannel an integral part of their development strategy. The challenge is to offer customers seamless, coherent experiences across all channels, which have multiplied dramatically in recent years.
In this context, personalization plays a major role, making it possible to offer a tailored, individualized customer experience across all touchpoints. By integrating personalization into a Omnichannel approach, retailers can meet the specific expectations of each customer, while guaranteeing continuity and consistency across all channels used.
Consumer expectations in terms of personalization
Consumers are increasingly demanding and expect a personalized experience when interacting with a brand. According to FEVAD's March 2023 study, News Innovation du Lab Fevad :
- 85% of consumers expect a personalized experience, but only 10% of companies are thinking of offering one.
- 80% of customers say that the experience provided by the company is as important as its products and services.
- The impact of creating a unique experience is major: according to a Google study, 40% of consumers spend more when the path proposed by the brand or retailer is personalized.
Today's customers expect increasingly personalized experiences that respond specifically to their needs, preferences and behaviors.
The benefits of personalization for the customer experience
Consumer expectations in terms of personalization have reached a high level. The key to success lies in relevant, privacy-friendly personalization, where every interaction strengthens the relationship with the customer. Consumers want to feel understood and valued by brands and retailers.
Enhanced customer experience and loyalty
A customer who feels better understood by receiving offers that meet their needs and expectations. A coherent, personalized customer experience strengthens brand loyalty and encourages customers to return, particularly through a sense of recognition.
Increased purchases
Personalized recommendations and offers are much more likely to convert, as they respond directly to consumers' interests.
Optimizing the customer journey
By personalizing interaction across all channels, the customer journey becomes smoother, more relevant, and therefore more efficient.
The challenges of customization
But how do you meet the expectations of increasingly demanding customers?
Personalization is not a new challenge for retailers, but its implementation is not keeping pace with customer expectations. Faced with this major challenge, retailers have to reconcile the ever more demanding expectations of consumers with the challenges of a sector that has been in turmoil for several years.
Personalization Omnichannel thanks to customer data
The heart of a personalization strategy is customer data. This data enables us to better understand consumer behavior, preferences and expectations, in order to create individualized experiences. Collecting, analyzing and exploiting this data enables companies to tailor their offers, messages and services to each individual customer, optimizing interaction across all channels.
In this context, respect for personal data is paramount. Efficient data management also means paying particular attention to the protection of personal data. In Europe, for example, the GDPR (General Data Protection Regulation) imposes strict rules on the collection and use of personal data.
Technologies for customization
Effective data collection and management is the foundation of personalization, and requires investment in technology. Tools such as CRM (Customer Relationship Management) and data analytics are essential for collecting, analyzing and exploiting customer data. These tools enable us to better understand customer behavior and preferences, and build up a 360° understanding of our customers. In this way, consumer expectations are known and anticipated, to create individualized experiences.
AI, an ally in personalizing the customer journey
Artificial intelligence (AI) and personalization form a powerful duo for creating tailor-made experiences in retail. AI enables the collection and analysis of customer data. Using machine learning algorithms, it identifies trends and anticipates the specific needs of each individual. On the digital journey, these analyses make it possible not only to personalize displays, but also to target campaigns ever more precisely.
Personalizing the customer journey is a powerful but complex strategy, requiring the implementation of a data-centric strategy and the deployment of data collection and analysis tools. Once the data has been collected, sorted and unified, CRM (Customer Relationship Management) tools take over to optimize its use. The implementation of a personalization strategy is both necessary and compulsory in order to offer a personalized customer experience and maximize its effectiveness.
By Emeline Helion and Inès Montesinos
