Consumers are one of the most important pillars of any business or brand; how they perceive a brand, whether they buy products or services or not, is entirely dependent on how a company interacts with its customers. Those who offer a critical hyper-personalisation experience will attract a larger share of customers than those who do not.
With service being the most important differentiator, providing efficient or even tailored service is no longer sufficient. Customers today expect a higher level of personalisation and will choose brands that can meet their specific needs.
Brands that meet customers in their preferred channel and put them in control of their journey have a distinct advantage in providing a highly personalised customer experience. The evidence is in the revenue.
What is hyper personalisation?
While personalised service frequently entails greeting customers by name and remembering their preferences, hyper-personalization takes it to a whole new level. The concept of hyper-personalisation is the collection of real-time behavioural data from customers in order to tailor products, services, and experiences to their wants and needs. To do so, brands must have a thorough understanding of their products and customers, as well as combine data and technology to create tailored strategies.
With the rise of big data, creating a hyper-personalised customer experience has become simple. Using behavioral data, organisations have been able to identify specific customer needs and requirements, as well as interpret individual characteristics using emerging technologies. As a result, the marketing paradigm has shifted away from product-centric marketing and toward more personalised customer-focused marketing and customer service.
Personalisation Vs. Hyper-Personalisation
Traditional personalisation focuses on personal and transactional information such as name, organisation, previous purchases, and so on. The most common example is using a customer’s first name in an email subject line. This method simply makes assumptions about the customer based on their characteristics. This is simply personalising the experience with the help of the customers’ basic information.
In contrast, hyper-personalisation is a more complex and evolved technique that interprets their intent based on behavioural and real-time data such as browsing behaviour, in-app activities, and engagement data. As a result, communication becomes more contextualised, and conversion increases. Hyper-personalised communication includes actions such as removing uninteresting sections of a website or sending push notifications when the customer is most active.
Personalisation had a significant impact on the customer experience. It changed the way businesses perceived customer-centricity. Hyper-personalisation expands on these insights to help businesses connect with customers in micro-moments.
Personalisation could aim to deliver more relevant content to a customer via their preferred communication channel, for example. Through all channels, hyper-personalisation aims to engage each customer in a one-on-one conversation.
Personalisation and hyper-personalisation differ in several ways:
Data Use – Personalisation relies on basic demographic information such as name, gender, and location to segment customers into groups. Hyper-personalisation, on the other hand, assesses individuals’ behaviour in order to improve CX proactively.
Complexity – Traditionally, companies have configured bulk personalisation rules across entire segments. Hyper-personalisation rules are more complex because they target a single cohort. Businesses instead establish thresholds, and deviation from those determines CX delivery.
Customer effort – Hyper-personalisation frequently reduces effort by tailoring journeys to the needs of the individual. Many strategies, for example, anticipate and meet the needs of customers. The customer is effectively removed from the equation.
The importance of context in hyper-personalisation
One of the most important aspects of hyper-personalisation is context. Real-time data and factors aid in providing an exceptional customer service experience. Analysing data in the appropriate context allows you to create a hyper-personalised experience.
Data, analytics, AI, and automation are used to create personalised and targeted experiences.
Hyper-personalisation allows businesses to send highly contextualised communications to specific customers at the right place, right time, and right channel.
As digital marketing becomes more competitive, hyper-personalised marketing enables businesses to meaningfully engage customers, deepen existing relationships, establish new ones, and improve the customer experience.
Using this strategy increases not only customer satisfaction but also brand loyalty, willingness to spend, and overall marketing effectiveness.
Benefits of hyper-personalisation
A personalised customer service experience can be a game changer for your company and provide numerous benefits.
- Increased revenue
When your customers receive extra special treatment from you, they are more likely to remain loyal to your brand. Customers who are loyal to your company tend to bring in more customers by spreading positive word of mouth to potential customers. Two brands with the same product and quality may have different revenue because of the type of post-sales customer service they provide.
A brand that provides more personalised customer service makes their customers believe that the brand cares about them.
- Better customer service
The less time and effort your customers have to expend sifting through irrelevant information and products, the more relevant your offerings and content are. This also demonstrates to customers that you appreciate them as individuals, which can aid in customer retention and word-of-mouth marketing.
Businesses can use data and artificial intelligence to deliver personalised content to individual users at scale, such as personalised email and recommendations. While hyper-personalisation was traditionally used for targeted advertising, it is now being used to strengthen customer relationships and drive conversions.
- Increased Customer Satisfaction
The number one priority of any business is to reduce customer churn. After all, acquiring a new customer is far more expensive than retaining an existing one. Keeping customers, on the other hand, can be difficult, especially as competition grows and customers have more options. One method of reducing customer churn is hyper-personalisation. This entails collecting data on customer behaviour and using it to tailor the customer experience.
- Make customer journeys easier
Customers are more likely to interact with the content and develop a stronger relationship with the brand. Furthermore, hyper-personalisation can assist businesses in better understanding and anticipating the needs of their customers. Businesses that shift their focus from static segments to dynamic individuals can stay ahead of the curve and maintain strong customer relationships.
- Improving data quality
Effective hyper-personalisation requires clean, high-quality data. If you focus on making the necessary data unified, organised, and easily accessible for your personalisation strategies, you will achieve better data integrity and connection among your data sources.
Hyper-personalisation framework
To build a favourable framework, an analytics-driven strategy to recognise data can be used instead of traditional methods that rely on tactics to data.
Creating a framework that consistently provides noteworthy customer experiences entails four steps.
Data collection
Identifying the audience is the first and most important step in creating a hyper-personalised experience. This is determined by how well a company understands its primary customers and how well each customer is understood.
Identifying the correct audience entails having access to relevant data; this is beneficial for businesses that serve a diverse audience because it reduces the requirements of each group.
Segmentation of data
The second step is to proceed to the customer segmentation process, which is how a company uses data and expertise to scale the personalisation process.
A large group of people is divided into smaller subgroups based on demographics, spending, location, fulfilment, and previous interactions. A brand can now express relevant communication prepared for each group to improve customer engagement and brand adherence.
Targeted exploration and measurement
The target exploration, i.e. the framework’s communication facets, can begin after segmenting the customers and identifying their corresponding requirements.
Timing and medium are important considerations when engaging with an audience. Taking control of both will increase the likelihood of customer conversion significantly.
Analysis
The final phase of a company’s major campaign is calculating and analyzing the campaign’s success. Determine which campaign array customers respond to well and how this relates to the revenue of the business. Long-term results are obtained by analysing these exquisite details and simulating them in future campaigns.
Build a hyper-personalised customer service environment with Gikko
Hyper-personalisation has significantly advanced traditional personalisation. As customers’ expectations rise with digital competence and means, personalisation is expanding to create the right experience for each customer.
In the coming years, all brands will adopt the technology, approaches, and planning that will enable them to create personalised experience blueprints, achieving long-term cutthroat dominance over competitors.
With Gikko, you can achieve hyper-personalisation easily.
