The Risk of Advanced Personalization: Beware of the Right to Privacy
Posted: Mon Jan 06, 2025 6:59 am
Segmentation attempts to group potential customers into aggregate categories based on similar characteristics.
Personalization is the end goal of a process of deep reflection on the target audience that, using in- depth information and insights, is continuously redesigned based on individual needs and desires.
Personalization in its less performing forms has existed for decades. The advanced version we have today (and which in this sense represents an evolution of segmentation) is made possible by digital technologies and enhanced analytical capabilities, thanks to which brands can continue with renewed conviction to pursue the frontier of perfectly individual marketing ( but is this frontier really still so far away? ).
So yes, there is indeed a significant difference between segmentation and personalization, and it will be good to keep that in mind in 2023 as well.
Profiling techniques allow us to obtain increasingly granular results, and to get closer step by step to what we might call “understanding the real customer”. The possibility of accessing a wealth of knowledge that before the advent of the Internet was almost unattainable, increases the quality of interactions with customers, but also produces a situation of potential risk for the confidentiality of personal information .
And this is one of the most pressing issues that companies will have to face iran whatsapp resource in the immediate future (or that, at best, they are already facing) and which concerns what in a recent article we defined as the delicate balance between personalization and trust . Crucial in any business initiative, this balance can only be achieved through careful and respectful management of customer data . While many of the personalization techniques used today are based (still) on the exploitation of cookies and involve (increasingly) third-party data, concerns about privacy have skyrocketed to an all-time high.
Whatever personalization strategy a company decides to develop, in order not to erode the credit of trust earned, it will have to activate a trust strategy that includes procedures and tools to protect customer data (potential or acquired) . So far we have presented some of the fundamental premises that must be internalized before setting up a personalization strategy. Now we can try to explain which are the most effective operations to put into practice to implement it.
How to implement a personalization strategy?
In its personalization strategy for 2023, a company will have to organize in a structured flow all the actions, communications and interactions aimed at creating tailor-made experiences for its “ideal customers” . This is a rough definition, rather intuitive, but which, as we will see, has a more “rational” dimension and is based on some precise steps.
Personalization is the end goal of a process of deep reflection on the target audience that, using in- depth information and insights, is continuously redesigned based on individual needs and desires.
Personalization in its less performing forms has existed for decades. The advanced version we have today (and which in this sense represents an evolution of segmentation) is made possible by digital technologies and enhanced analytical capabilities, thanks to which brands can continue with renewed conviction to pursue the frontier of perfectly individual marketing ( but is this frontier really still so far away? ).
So yes, there is indeed a significant difference between segmentation and personalization, and it will be good to keep that in mind in 2023 as well.
Profiling techniques allow us to obtain increasingly granular results, and to get closer step by step to what we might call “understanding the real customer”. The possibility of accessing a wealth of knowledge that before the advent of the Internet was almost unattainable, increases the quality of interactions with customers, but also produces a situation of potential risk for the confidentiality of personal information .
And this is one of the most pressing issues that companies will have to face iran whatsapp resource in the immediate future (or that, at best, they are already facing) and which concerns what in a recent article we defined as the delicate balance between personalization and trust . Crucial in any business initiative, this balance can only be achieved through careful and respectful management of customer data . While many of the personalization techniques used today are based (still) on the exploitation of cookies and involve (increasingly) third-party data, concerns about privacy have skyrocketed to an all-time high.
Whatever personalization strategy a company decides to develop, in order not to erode the credit of trust earned, it will have to activate a trust strategy that includes procedures and tools to protect customer data (potential or acquired) . So far we have presented some of the fundamental premises that must be internalized before setting up a personalization strategy. Now we can try to explain which are the most effective operations to put into practice to implement it.
How to implement a personalization strategy?
In its personalization strategy for 2023, a company will have to organize in a structured flow all the actions, communications and interactions aimed at creating tailor-made experiences for its “ideal customers” . This is a rough definition, rather intuitive, but which, as we will see, has a more “rational” dimension and is based on some precise steps.