Report: Personalization Programs Increase Revenue up to 10 percent
Retailers who are looking to jolt a little life back into their bottom lines should consider creating some sort of personalization program. According to new research from The Boston Consulting Group (BCG), brands that create personalized experiences that incorporate “digital technologies and proprietary data” have seen revenue increase by 6 to 10 percent. That’s between two and three times faster than brands that don’t have a personalization program in place.
Further, BCG said that in three sectors in particular—retail, health care, and financial services—personalization programs would push a revenue shift of around $800 billion to the 15 percent of companies that get it right.
“In many consumer categories, high-value customers drive 70 percent or more of the value for companies,” Mark Abraham, a BCG partner, said in a statement. “Brand individualization unlocks the ability to enhance loyalty with these and other customers by tailoring the brand experience to each contextual user journey.”