Customer Data
In today’s business world, companies are facing an overwhelming amount of customer data. To make sense of this information and turn it into actionable insights, brands are turning to AI and data tools that unify customer data in real-time. With limited budgets and pressure to drive revenue, using data to create personalized customer experiences has become existential.
I recently sat down with Joyce Kim, chief marketing officer at Twilio, the customer engagement platform that powers personalized experiences for over 290,000 brands – amassing more than 1 trillion interactions each year between businesses and their customers. Joyce and I discussed the key takeaways from Twilio Segment’s annual State of Personalization Report, looking at how AI-powered personalization, backed by accurate data, will improve customer experiences and drive loyalty.
Gary Drenik: Why has customer engagement become so important for brands in this economic environment?
Joyce Kim: Globally, we are all facing a challenging economic landscape right now. The macro environment, particularly inflation, is weighing on consumers and forcing them to be more selective about which brands they purchase from.
According to a recent Prosper Insights & Analytics survey, price increases have led 29.8% of consumers to do more comparative shopping online and 23% to do more online shopping. Now, more than ever, it’s critical that brands offer exceptional digital customer experiences.
Prosper – Doing any of the Following Due to Price Increases
Brands looking to offer this level of customer experience are facing a complex landscape where they have to meet consumers’ increasing demands, alongside growing headwinds and shrinking budgets. This is why customer engagement has become so crucial for brands.
Leaders are investing deeper into customer engagement to drive growth and differentiate themselves from the competition. Businesses are utilizing customer data across every stage of their journey so they can use those insights to interact with customers in a personalized way. Investment in digital customer engagement increased brands’ revenue by 90% on average, up from 70% last year.
Drenik: How is Twilio different from its competitors like Adobe and Salesforce?
Kim: Twilio’s customer engagement platform combines Twilio’s communications APIs and Segment’s customer data platform (CDP) that gives brands key insights into their customers so they can provide personalized experiences. I like to think of the CDP as the brain behind the platform – the CDP collects and organizes customer data, which informs the communications brands have with customers. As the #1 ranked CDP per market share as determined by IDC, Segment gives brands an unparalleled view of customers.
We recently launched Segment Unify which helps brands build unique customer profiles – we call them golden profiles – so they can truly understand their customers’ needs in real-time.
CrossFit, for example, uses Segment to develop real-time profiles of their athletes, coaches, and affiliate owners so they can support each group’s individual needs. Activating on this data allowed CrossFit to create more personalized experiences like virtual competition programs and local gym recommendations, ultimately boosting customer satisfaction.
Drenik: How does a CEP improve the traditional customer journey and build customer loyalty?
Kim: The real-time data capabilities of a CEP create differentiated, next-level experiences for customers built upon the most up-to-date customer data. We’ve all had a frustrating customer experience when you buy a product from a brand, yet then they keep advertising that same product to you over and over. As a consumer, that would make me less inclined to buy from that brand again.
Real-time analytics eliminate this scenario because the platform is up to date with every customer interaction. This level of personalization builds loyalty: 86% of consumers say that personalized experiences increase their loyalty to brands, and consumers spend on average 21% more on brands that personalize.
Drenik: What do those findings signal to you? What’s top of mind for you as a leader?
Kim: Every business leader, across marketing, CX, and sales, should prioritize customer data management as much as they prioritize AI. Twilio’s report shows that businesses are all in on AI, but AI requires accurate, real-time data to power personalization. Without quality data, you cannot deliver engaging customer experiences that generate lasting value.
Drenik: How do you see AI reshaping customer engagement in the future?
Kim: There’s no shortage of future applications and use cases for AI in customer experience. How I’m looking at it, and my advice for other CMOs, would be to prioritize both AI and data strategies. Businesses need real-time data capabilities to employ AI work impactfully. Otherwise, consumers will wind up with disjointed experiences that aren’t unique to their needs.
Drenik: Thanks, Joyce, for your insights on why real-time personalization is so important for businesses right now.
Credit: Source link
