Navigating the Personalization Minefield: Improving Customer Experience and Loyalty in Business

Businesses are racing to personalize their customer experiences, using data to provide tailored interactions that increase sales and customer loyalty. However, according to a recent Twilio survey of 5,000 B2C leaders and 6,000 customers, although 91% of brands claim to personalize engagement, only 56% of consumers agree. The gap may be due to companies relying on third-party data that inaccurately fills gaps in customer profiles rather than acquiring zero- and first-party data directly from clients. To build strong profiles, companies should use MDM and bring every piece of relevant customer data onto a single customer data platform. They can then use marketing tools to deliver personalized messaging and increase lifetime value. However, it is important to understand that personalization may not be needed everywhere and leaders should be clear on their goals and reason before investing in personalization strategies.