In today’s digital world, where everything is so fast-paced, the only way to keep up is by collecting, analysing, and managing customer data well. These days, marketers are more concerned with sustainably gathering relevant consumer data and using it to boost sales by giving clients individualised experiences. In addition to increasing sales for brands, this tactic helps shoppers convert their browsing into worthwhile purchases.
Providing customers with tailored experiences has always been a difficult task for agents, requiring significant time and effort investment in addition to several constraints. As it was hard to go beyond static journeys to engage with customers, the manual effort to personalise also restricted customer segmentation.
And thus, the need to introduce AI to personalise customer experience has come into the picture.
This is a revolution on its own, as it enables companies with a customer base of any size to deliver a hyper-personalised experience to their customers in the most practical way.
How Is AI Empowering the Hyper-Personalisation Workflow?
Hyper-personalisation is a modern technology used by organisations to deliver highly personalised customer experiences to each member of a large customer base with a highly customised customer experience.
It uses the following techniques to deliver hyper-personalised experiences:
AI-Powered Assistants: Using AI and virtual assistance to communicate with customers and also to keep track of past interactions to deliver a personalised customer experience. This helps customers to get context-aware, human-like assistance and support at all times.
Machine Learning: This helps to study the customer behaviour and learn from it to forecast future customer action and provide guidance to plan strategies accordingly.
Real-Time Data Processing: AI helps to analyse real-time customer actions such as current activities on the site, past browsing history, purchase history, and any other activities or interactions to frame the content, product recommendations, and offers instantly to customers when he/she is active on the shopping site.
Customer Feedback: This helps to continuously optimise the campaign strategy and product quality by taking count of the customer feedback to serve them best.
Unified Customer Profiles: For each customer, all the information is collected and integrated as a single data set to help brands provide their customers with individualised experiences.
What are the benefits of Hyper-Personalisation?
There are numerous advantages to hyper-personalization for both consumers and brands:
- It offers one-to-one personalisation by sending personalised recommendations, offers, and messages to customers, which in turn strengthens the relationship between the brand and customers.
- Helps to deliver highly relevant contextual recommendations to the customers, which in turn boosts conversion.
- Continuous optimisation helps to serve customers with a highly refined, seamless, improved experience across all channels.
- It improves customer loyalty by handling and managing customer data with utmost precaution. This ensures customer data protection that strengthens their trust in the brand.
- Customer effort to search and find reduces when they are already served with what they want. This makes the customer experience highly satisfying, thus retaining customers for long.
- By working on improving campaign techniques and cutting down on time, money, and physical labour, it increases the operation's efficiency and scalability.
- It is proven data that hyper-personalisation has boosted ROI by about 70% and has reduced the cost of acquisition by up to 50%.
How to Implement AI to Deliver Hyper-Personalised Customer Experience?
Hyper-personalisation comes with the integration of AI and machine learning to serve a large volume of customer base, with each customer being treated with utmost attention and authenticity to meet customer expectations.
Here are the guiding steps to implement AI to achieve a hyper-personalised customer experience.
Human-AI Collaboration
When using AI or virtual assistants to interact with consumers, be sure that they handle customer concerns carefully and save previous conversations so that they may be easily transferred to higher-level escalations in the event of complex difficulties.
Set Defined Objectives
Establish a clear objective by understanding consumer needs and pain points based on prior communication experiences. Monitor the quantifiable objectives established to bring in the improvement and resolution with precision and effectiveness.
Assess Infrastructure Readiness
Verify access to high-quality consumer data in real-time to ensure smooth data flow across channels, and integrate AI with supply chain management to automate inventory updates and provide real-time product and stock information to customers.
Optimisation and Regulations
Monitor and track the performance to keep a check on the personalisation accuracy and time taken to solve the problem. These checks help to optimise and enhance the ROI strategies better.
Facilitate Ongoing Development
In this fast-changing digital world, AI and machine learning enable not only adjusting to changes but also optimising system strategies to continually rebuild the personalisation model based on the most recent interactions.
What is the future of AI personalisation?
As AI technology continues to progress, hyper-personalisation will become increasingly sophisticated. In the future, with a fast-paced lifestyle, what we currently consider an add-on will soon become essential. Like the commercial for an air conditioner, which pre-sets the temperature before a person enters the house to make their home comfortable.
Consumers will certainly have high expectations from the brand in terms of receiving the highest level of attention and highly customised experiences. Adopting AI-driven personalisation is now essential for organisations to stay relevant and customer-focused in an increasingly digital world.
We at 3Mads advise businesses to carefully use this power of ad campaigning while striking a balance between innovation, ethics, and privacy. For more such guidance, feel free to connect with us.