More than ever before, consumers have a greater appreciation of their data’s value. But many companies don’t use data to build relationships with customers. They are well aware of its uses but it’s up to the brand to use the data to create significant relationships with their target customers.
After all, it costs more to acquire new customers than it does to keep current ones happy. So what can you do with your data to improve your customer relationship and loyalty?
Confidence in you
With large amounts of data comes great responsibility. Customers’ personal information is extremely important. For them to hand it over to you therefore requires a large amount of trust. In a recent study by the Direct Marketing Association (DMA), 40% of consumers rated trust as the most important factor when sharing information.
One of the simplest ways to maintain the trust of your customers is to be completely clear about how you intend to use their data. If there is customer confidence around the protection of their personal information and reassurance that the marketing is useful and appropriate, then data can underpin long-term connections.
Add value to the customer
The way that you use your customer data should be about more than improving your financial results. Today’s software platforms make it possible to gather huge amounts of varying data on customers and their activity.
When deciding how to best use your data, check with your gut instinct. Would you cringe at how you’re planning to use the customers’ data?
The true standard for hyper-personalisation is interacting one-to-one with individuals, not segments. To anticipate an individual’s desires at any point in time, however, requires having deep customer insight, which comes from analysing granular data.
Customers demand relevance and real value from marketing in exchange for loyalty. That is the unspoken agreement, whether in a marketing campaign or a rewards programme.
Use data to build relationships
Customers appreciate the efforts that come with personalising offline channels such as direct mail. The power of offline channels is often underestimated by marketers. An example of a company using this tactic to their benefit is BT.
When a customer moves house, the company sends a tailored DM pack to help with the move. It also offers a special package to keep them connected. BT also use their data to re-engage lost consumers, to give the brand a chance to build relationships with competitors’ customers.
Samantha McClements, BTL lead-acquisition, said “We use cancelled subscriptions in our ‘anniversary campaign’ which is aimed at BT customers who left 12 months ago. Highly personalised cards which are charming and engaging are sent to the prospects reminding them of the good things they left behind. The response and conversion rates are reflective of the campaign success.”
Ultimately the relationship is all about earning the customer’s trust in your brand, and it starts with data.What are you doing to use data to build relationships?
For marketing advice specific to your business, get in touch and speak with a marketing specialist on 01858 374 170 or email info@idealmarketingcompany.com
