what is personalization and why is it important for your company?

Personalization is, today, an unavoidable topic in the business world, and especially in the volatile and competitive territory that is digital commerce. For e-commerce stores, the concern of personalizing the entire customer experience, from the visit to the site to the shipping of orders.

In this article, we will define the concept of personalization and explore some of its main challenges and rewards.

Definition

Personalization is the concept of adapting each customer's experience so as to appeal more to their personal preferences and align better with their personality. This can take many different forms: relevant content, specific recommendations, promotions based on purchase history, etc.

Digital commerce, by placing great emphasis on automated processes, has also created the need to take advantage of opportunities for personal interaction and to treat each person as an individual. On the other hand, technology also offers forms of personalization that were previously impossible: just think, for example, of the amount of information about the customer base that online companies typically have at their disposal.

Examples

Some of the most important forms of personalization are the individualized appearance of a company's website, to suit the visitor's interests, e-mail or SMS messages with reminders about items whose purchase was not completed or with alerts about promotions, or individual interactions on social networks.

But it would be impossible to make an exhaustive list, and many companies find creative ways to connect with customers at a more human level. For example, an idea that we often find, in the logistics sector, is to personalize packaging of an order. A small touch that sometimes does a great deal to build a connection with the customer.

Benefits

Personalization has a positive influence on factors such as:

1. Customer satisfaction

When a customer feels valued and can enjoy a shopping experience tailored to their preferences, just as when a potential customer finds personalized content that is relevant and useful to their interests and habits, this translates into a higher level of satisfaction and a stronger relationship with your company.

2. Good reviews

One of the typical results of a more personalized or personal treatment are good reviews on the internet. All online stores know the central importance of reviews in today's commerce.

At InPost, we have the privilege of receiving excellent reviews from our customers, with, for example, a 4.7 rating on Trustpilot. These reviews reflect our commitment to customer satisfaction and our dedication to treating each person as an individual.

3. Loyalty

Of course, the main corollary of greater customer satisfaction and a better shopping experience is customer loyalty. It is well known that it is much harder to acquire new customers than to seek to consolidate a relationship with existing ones.

4. Conversion rates and larger orders

A more stimulating and personalized experience tends to produce higher conversion rates, just as targeted recommendations and promotions can be an extremely useful and profitable resource.

Challenges

These are some of the difficulties that a company interested in increasing its level of personalization encounters.

1. Transparency

All personalization begins with the collection of information about the consumer. For some people, this can raise questions regarding their privacy. It is important to be transparent about the reasons why information is collected and to respect the customer's wishes.

Another issue is that too many requests for information can become intrusive or annoying; one must seek to find a balance.

2. Keeping data updated

Another important point regarding information is the need for it to be correct and up to date. Incorrect information can have an adverse effect and produce a negative shopping experience.

3. Resources

Like any other aspect of business management, personalization involves resources – in terms of technical skill, time, coordination, attention. Nothing is achieved, as is well known, without effort. The rewards, however, can be truly enormous.

The most personalized way to send orders

Order delivery is one of the most important facets of e-commerce, and the delivery method in which InPost specializes – shipping to a location other than home, through our network of pickup points – is a way of approaching last-mile logistics that stands out for its flexibility.

Not only does the InPost service adapt well to each person's needs, but the opportunity for human contact should not be underestimated and has been a positive point for our customers and has usefully served the stores with which we operate in partnership.

Find out more about InPost on our website.