Large-scale personalization: Secrets of successful companies

Have you ever wondered how large companies manage to deliver personalized experiences to their customers, even when there are millions of them? A few years ago this might have seemed impossible, and even today many people still don't know or don't fully understand the secret of these large companies. However, at Imagineer Customer Experience, we have discovered how they do it and we want to share it with you to help you grow your business, pay close attention and do not neglect any detail to achieve the success you want.

>>Learn more about customer experience and how to improve it here.<<

In this article, we will address the following subtopics related to the topic at hand:

• History of Customer Experience over time.
• Comprehensive approach to Personalized Customer Experience
• Importance and impact of the personalized customer experience on company sales
• Comparison between companies that focus on personalized experience and those that do not.
• Conclusion

History of customer experience over time

From the smallest markets you can imagine, to the largest shopping malls and even global powerhouses, all have in common that the customer experience has evolved tremendously over the years. Personal interactions gave way to the digital revolution, where data collection became an invaluable resource for personalization. Today's technology, such as machine learning and artificial intelligence, has taken personalization to levels unimaginable in the past. Let's take a look at the major moments of personalized experience throughout history:

20th Century - 1920s to 1950s:

Small local stores used to know their customers by name and had a close relationship with them. Those who served were able to recommend products based on customers' known preferences and needs, providing a personalized experience with each visit.

90's - Arrival of the Internet:

With the rise of the Internet, companies began collecting customer information through online forms and tracking cookies. This enabled the personalization of online advertising and the tailoring of recommendations based on browsing behavior.

Years 2010 - 2020 Arrival of Artificial Intelligence (AI):

Through this great enhancer, it was possible to process large amounts of information and at the same time, the possibility of receiving deeper details of each customer. Here it is important to mention Amazon as a case of success in the use of algorithms to predict the tastes of users and thus show them more accurate information.

From 2020 and into the future - Hyperpersonalized Experiences:

Currently, large companies use cutting-edge technology to improve interaction with each of their users without the need for a human to attend to what they want. For this, artificial intelligence is the main protagonist, since it processes natural language so that, for example, personalized chatbots can answer queries and make recommendations in real time, without the user feeling that it is not a human. This ensures a personalized experience, without limits and agile.

Comprehensive approach to personalized customer experience

It is essential to understand what we at Imagineer hhave come to understand. Personalization goes beyond simply addressing customers by name. It involves analyzing data to understand their preferences, behaviors and needs. In fact, the largest and most successful companies use Customer Relationship Management (CRM) systems to track past interactions and anticipate future ones, enabling them to provide accurate and timely recommendations. In addition, personalization extends across multiple channels, from website and social media to in-store experiences.

At this point we are already understanding some aspects that are the secret of large companies and it is important to note that in most cases there is a consulting firm that is responsible for managing the overall strategy through CRM to ensure compliance with the objectives, which is just what Imagineer Customer Experience does.

Importance and impact of personalized customer experience on company sales.

To learn about the role that personalized experience plays in increasing sales for any company and why they have invested so much in this topic, we must first review the statistics and data, which we will look at below:

Customer Loyalty: Personalization strategies strengthen loyalty, encouraging customers to return to purchase and maintain an ongoing relationship with the brand. Although it seems incredible, 91% of consumers prefer to buy products from brands that have offers and recommendations that are personalized to their tastes and meet their needs. 

Increased conversions: According to Epsilon data, when a product or service offers personalized experiences, 4 out of 5 consumers prefer it even if they have more alternatives.
.

Reduction of abandoned carts: When companies focus their efforts on following up with consumers with specific offers or reminders to complete their purchase process, they achieve a recovery rate of 26%, which represents revenue, loyalty and much more for the company.

Improved customer lifetime value:  Customer lifetime value increases by 5-15% when they receive a personalized experience, providing the company with a sustainable increase in revenue from those customers.

Additional purchases: It is proven that up to 86% of consumers make the decision to purchase something additional when they receive an exceptional, personalized experience. This is where companies take advantage of data and automations to offer extra products and with this achieve a greater amount of sales.

Recommendation Generation and Cross-Selling: Three-quarters of consumers are more likely to buy when offered personalized recommendations. Personalization not only drives direct sales, but also facilitates cross-selling and up-selling.

<<Learn how to be successful in Customer Experience design by clicking here<<

Comparison between companies that focus on personalized experiences and those that do not.

Currently, companies that consider the personalization of experiences are the ones that are surviving and growing steadily. Let's look at a couple of cases of companies that have focused their efforts on providing personalized experiences:

1. Amazon

Amazon is the benchmark in this area, thanks to its recommendation algorithm that is based on data analysis, with which it predicts what customers want and provides them with products strategically. This has allowed it to increase overall sales, repetitive sales and customer loyalty. Just as this great company does it, you can also do it with your company, you just have to contact Imagineer Customer Experience and we will explain and take care of making it happen.

2. Spotify

Based on artificial intelligence, this company analyzes the habits of its listeners and thus creates playlists tailored to their tastes, which completely satisfies each of them, which certainly are millions. This approach has proven successful in keeping subscribers engaged and satisfied with a unique music experience, resulting in higher retention and positive recommendations to others, thus gaining users and increasing Spotify's profits.

On the other hand, there are the companies that reject or do not consider personalization. Here are the consequences they face as a result:

• Limited revenue and customer retention.
• Loss of major cross-selling opportunities
• Risk of being replaced by their current users who opt for personalized experiences
• Inability to innovate

Conclusion

The secret of great companies lies in CRM personalization, which is the bridge that connects companies with their customers in a meaningful way. The evolution of the customer experience, the positive impact on sales and the outstanding examples of success demonstrate that investing in this strategy is essential for growth and survival in a competitive market. Imagineer stands as a trusted partner in this transformation, using its expertise in Customer Experience consulting to guide your company into the domain of personalization. By adopting a personalized vision, your company can forge stronger and longer lasting relationships with your customers, thus driving sustainable success in the future. Don't hesitate any longer and take the step towards success with Imagineer.

<<Learn about what a loyalty plan is about<<