Top 5 Benefits Of Personalization In Digital Marketing

personalization in digital marketing

Personalization in digital marketing is about making the customer feel like their needs are being met. There are two types of personalisation – one where you can customize things for your customers and another where you use data to make predictions about what they want. Both have benefits but it’s critical to be ethical when using data. The article will tell you all about those benefits and what you can do to make them happen.

1.Increased Conversions

Personalized experiences boost conversions because they are tailored to your potential customers’ needs. If you know exactly what a customer wants, then you will be able to meet their shopping expectations and convert more visitors into active buyers. Also, the more you know about your customers, the better you can target their interests and pinpoint what they’re looking for.

For example, if a person is going through a rough patch in their life, then they might be looking for a new house or apartment to rent. This means that if you target them with ads about rentals then they will be more likely to buy from you.

2.Increased Brand Loyalty

Personalized experiences increase brand loyalty because they allow you to hone in on your ideal customer. By finding out who your perfect clients are, then you won’t have to compete against other companies that offer similar things. Also, your business can become the only place that these clients think of when they need something in particular.

3.Higher Revenue

The increase in conversions and brand loyalty lead to higher revenue because you are getting more customers interested in your products/services. Plus, the fact that it takes fewer people to make your company profitable means lower operating costs and higher profit.

4. Lower Operating Costs

The cost of labor is often the most expensive part of running a business so if your work involves having lots of employees, then personalized marketing campaigns can lower these costs. You can do this by using data to make predictions about what your customers want instead of creating products that you think they need.

5. Improving Customer Satisfaction

The more you can give your customers what they want and need, the happier they will be. This means that they’ll spend more money on your products/services (after all, when people are happy with what you offer, they’re bound to come back for more) and recommend them to their friends.

Types Of Personalization To Know About

There are three types of personalization – one where you can customize things for your customers and another where you use data to make predictions about what they want.

a) Customizations

Personalizing a shopping experience is an example of customization. This means that when a customer has different options available to them, they are able to make choices based on what they want. For example, your website might have an option where they can choose the colour of their purchase or what size the item is supposed to be. It’s important that you don’t limit yourself to just one customization because that won’t help you meet different customers’ needs.

b) Predictions

Personalization by prediction is when you look at a customer’s data and make predictions about what they might want to buy. This involves using tools like Google Analytics, Salesforce, Looker, Amazon Redshift and other business intelligence software to find common trends in the consumer behavior of your customers. You should have a company email address so that salespeople can stay in contact with customers who are spending more time on your website.

The Drawbacks Of Personalization

Using data to personalize customer experiences has some drawbacks that you need to be aware of.

1) First, there’s an ethical concern because it’s important to know how much information you can get without invading someone’s privacy. For example, you wouldn’t want to customize your ads based on someone’s race or religion because that could alienate potential customers.

2) Also, there’s a risk that you start making assumptions about people based on the data that you find. For example, if someone lives in a city with a high employment rate, then they might get targeted with ads for jobs even though they’re not currently looking for work. If your company can’t live up to your customers’ expectations then that will affect their perception of you.

3) Lastly, not all data is equal so you need to be careful about the benchmarks that you use to make predictions. Don’t base your models on incomplete or unreliable data because your predictions will go beyond the point of being reasonable.


Personalization in digital marketing has numerous benefits including higher conversions, improved brand loyalty and increased revenue. The reason for these benefits is that you’re meeting your customers’ needs by giving them personalized experiences. The only drawbacks are that you need to use data ethically and be aware of the risk that it might not always be reliable.

Remember, personalization is a powerful tool for marketing and one that should be considered by any company looking to make an impact. It’s not too difficult to set up, but it does require some time and effort on your part. We can help you take the guesswork out of personalizing online marketing with our expertise, so contact us today!