The Future of Personalisation Is Here

Personalisation is the art of customising brand interactions and marketing campaigns to meet the unique needs of individual customers. When done effectively, it fosters loyalty, strengthens connections, and drives higher sales with larger order values.

Why Personalisation is Non-Negotiable

In today’s fast paced e-commerce world, personalisation has become a baseline expectation. By creating tailored experiences, brands can make their customers feel valued and understood.

The 2024 Forbes, State of Customer Service and CX Survey highlights that 81% of consumers prefer brands offering personalised experiences, while 70% value interactions where employees recognise their history, such as past purchases and service needs.

Additionally, McKinsey reports that personalisation can cut customer acquisition costs by 50%, boost revenues by up to 15%, and improve marketing ROI by 30%.

Personalisation Across Touch Points

 Personalisation spans various customer interactions, including:

• Live chat for tailored support
• Websites and emails with product recommendations
• Mobile apps with customised notifications
• In-store experiences designed for individual preferences
• Call centres and social media with tailored communication

For instance, brands can recommend products based on recent purchases, offer customised rewards, and send curated subscription boxes, enhancing customer satisfaction and loyalty.

Improving Omnichannel Marketing

Modern consumers interact with brands across multiple channels trying items in-store, researching online, and purchasing through apps. Successful brands unify these experiences seamlessly, exceeding customer expectations while strengthening their omnichannel strategies.

Transparency: Building Trust with Customers

While personalisation is valued, data privacy concerns persist:

• 48% of consumers appreciate personalisation only if their data is secure.
• 40% distrust companies’ use of data, and 30% refuse to share it.

Transparency is critical. Customers are more likely to share data if they understand how, it will be used and see the benefits.

Key Benefits of Personalisation

Boost Repeat Purchases

Personalisation fosters loyalty. 57% of consumers spend more with brands offering tailored experiences. Over time, data generated by returning customers enhances personalisation, creating a virtuous cycle of stronger connections and increased lifetime value.

Increase Brand Engagement

Personalised messages resonate better with audiences. 54% of marketers report higher engagement due to personalisation efforts. Thoughtful interactions, such as addressing customers by name and suggesting relevant products, build positive perceptions, leading to better engagement and conversion rates.

Drive Brand Loyalty

Customised communication shows customers they are valued. 63% of customers pay more to shop with brands they trust and feel connected to, underscoring the power of thoughtful personalisation.

Trends Transforming Personalisation

Hyper-Personalisation

Advanced technologies like AI and machine learning provide real-time insights into consumer behaviour, enabling brands to deliver highly relevant content. For example, Burger King’s AI-driven campaign dynamically generated thousands of personalised ads, successfully boosting sales and engagement.  

Predictive Personalisation

Using AI, brands can anticipate customer needs. Stitch Fix, for instance, curates personalised styling options by analysing purchase history and preferences, enhancing customer satisfaction and reducing returns.

Privacy-Conscious Personalisation

With third-party cookies phasing out, brands must rely on first- and zero-party data—information willingly shared by customers. Tools like quizzes, loyalty programs, and branded apps enable secure and transparent data collection, ensuring customers feel in control of their data.

Mobile Optimisation

With mobile e-commerce sales projected to hit $3.4 trillion by 2027, personalised mobile experiences, including tailored push notifications and exclusive offers, are crucial. Brands like The Honest Company use data-driven strategies to engage customers and boost app usage.

Facial Recognition Technology

Physical stores are leveraging facial recognition for personalised experiences. For instance, Ruti uses opt-in technology to tailor in-store interactions, enhancing customer satisfaction and optimising product recommendations.

By balancing personalisation with privacy and transparency, brands can build lasting customer relationships and thrive in the ever-evolving e-commerce landscape.

Conclusion

As we move into 2025, the brands that succeed will be those that seamlessly integrate personalisation across every touchpoint, prioritise transparency, and respect consumer privacy. The future of e-commerce belongs to those who understand their customers deeply and create connections that go beyond transactions.