And, while most brands believe they are offering that one-to-one personalization (73%), the researchers with Formation say marketers continue to miss with their personalization targeting. This, according to the report, is because while more than half (58%) of shoppers say they are ‘more loyal’ to brands now than in the past most (63%) belong to between 1 and 3 loyalty programs, a sign that loyalty programs are not delivering what brands think they are. The researchers also found that more than three-quarters (77%) of shoppers say brands ‘could do more’ to earn their loyalty.
“Garnering loyalty is increasingly difficult, especially with the economic uncertainty brought on by COVID-19. The need for brands to deliver real value has become more dire as shoppers evaluate purchasing decisions against personal safety and tighter household budgets,” said Christian Seichau-Hansen, CEO & Co-Founder, Formation. “Consumer expectations for individualized experiences are rising, and the pandemic is accelerating that. If brands want to foster loyalty from today’s consumer, they must deliver experiences and communications so tailored they feel as if they’ve been crafted for just that one person.”
In fact, researchers found that 79% of shoppers say the more personalization options uses the more loyal they are. Other interesting findings include:
▪ 73% of shoppers ‘are more likely’ to engage with brands offering loyalty programs
▪ 81% of shoppers ‘will share basic data’ with brands for more relevant/personalized experiences
▪ 75% of shoppers recognize macro and micro segmentation tactics used in email
More Formation data can be accessed here.
Tags: advertising, Formation, loyalty marketing, loyalty marketing tips, personalized advertising