What is Hyper-Personalization and Why it’s the Future?
Are you frustrated with receiving irrelevant marketing messages, emails, and notifications? Well, we also find it annoying. According to HubSpot, 75% of the online shoppers feel the same, and they’re annoyed with the irrelevant advertisement. Companies and websites that send irrelevant ads do not attract customers; instead, they’re pushing their customers away.
In today’s modern and digitized world, customers expect a personalized experience. They want to see the offers, ads, messages, and notifications relevant to them and what they’re looking for. This is where hyper-personalization marketing comes in, which is a brilliant strategy. Let’s talk about what is hyper-personalization and what is a hyper-personalization definition?
What is Hyper-Personalization?
Many people are unaware of the hyper-personalization definition because it is a new form of marketing. Hyper-personalization is defined as “one-to-one marketing,” it leverages real-time data and artificial intelligence or known as hyper-personalization AI to deliver relevant products, services, and content to the user or customer.
The primary goal of hyper-personalization is to handle every visitor coming to the website as a unique individual; instead of displaying irrelevant content to the visitor, the content is tailored for each visitor to enhance their experience.
Personalization Vs. Hyper-Personalization
There is a lot of difference between traditional personalization or personalization and hyper-personalization. The primary focus of conventional personalization is transactional and personal data of the customer, such as first name, last name, purchase history, and organization. Moreover, it is only used in emails where the user’s first name is used in the subject line of an email.
Hyper-personalization AI uses machine-learning and IoT service to interpret the intention of the customer. The data gathered by algorithms or AI allows companies to deliver relevant advertisements and suggestions to the customer. Push notification is a great example; companies can only send a push notification with relevant offers and messages only when a customer is using their application. Furthermore, the ads can be customized based on the customer’s time, date, location, purchase, and payment method.
Due to the COVID-19 pandemic, many retailers have adopted the strategy of hyper-personalization.
Brands That Use Hyper-Personalization
Big brands such as Spotify, Starbucks, Netflix, and Amazon are capitalizing on the power of hyper-personalization AI. These brands use hyper-personalization to enhance their customer experience, although they have a vast audience.
1. Spotify
Spotify is one of the world’s most prominent online music streaming applications, and it uses hyper-personalization to deliver a personalized experience to their users. When a user plays a song or creates a playlist, the Spotify hyper-personalization AI algorithm creates a playlist for the user, which is highly personalized. Moreover, the streaming application sends emails to the user notifying them about the live concerts of their favorite singer or artist with an option to purchase the concert tickets online.
2. Amazon
Talk about perfecting the art of suggestions, and the first brand you’ll see is Amazon because, according to “Martech Advisor,” the 35% of the conversions of Amazon come from the recommendation hyper-personalization engine. The use of hyper-personalization is not just limited to a recommendation engine, but it goes beyond the search engine. For example, if a user on the amazon website searches for some gadgets, amazon will send the user an email suggesting different gadgets related to the user’s search.
3. Starbucks
Many companies ignore the benefits of push notifications while Starbucks has taken push notifications to another level. It uses a machine-learning algorithm to collect real-time data and send relevant offers to their customers via push notifications. Moreover, Starbucks’ smartphone applications deliver a personalized interface for each user.
Advantages of Hyper-Personalization
There are various advantages of using hyper-personalization tools and data for your benefits. We have highlighted some of the benefits of hyper-personalization below:
- The first benefit is obvious, which we have discussed above; Hyper-personalization delivers a personalized experience to the user.
- It removes the sales funnel complications and makes user’s experience more friendly; it means that users can get whatever they want with less effort.
- Hyper-personalization delivers customized products and services to the user; it means that the user won’t get overwhelmed with a large selection.
- It enhances user experience, which means that a brand using hyper-personalization is likely to attract more customers as compared to the brands that don’t use hyper-personalization.
If you integrate hyper-personalization in your digital marketing and social media marketing strategy, you’ll likely have less competition.
Why Hyper-Personalization is the Future?
Hyper-personalization is the Future of digital marketing because it delivers a customized experience to the customers. According to Accenture, finding 75% of the user will make a purchase from a brand or company that is offering a personalized experience. The internet is loaded with the content every day, every hour, minute, and a second hundred and thousands of posts are being uploaded on the internet. Due to overwhelming content, user engagement has gone down to 60 percent. In order to engage a user, hyper-personalization is the best solution.
The Bottom Line!
The competition is increasing every day, and brands are fighting hard to get the user’s attention. You need to step up your game and use hyper-personalization to send relevant content to the user and increase your engagement and conversion rate. Invest in future technology, i.e., hyper-personalization, and upsell your business.
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