Did you know that Netflix has only 90 seconds to find a show that suits a user before she gets frustrated and quits? According to a recent academic study, “a typical Netflix member loses interest after perhaps 60 to 90 seconds of choosing, having reviewed 10 to 20 titles (perhaps 3 in detail) on one or two screens.”
How does Netflix manage to find the right show for the right user so quickly?
According to the same study, 80% of its customers’ video plays comes from its personalized recommendation engine. Netflix estimates the value brought by this personalized recommendation system at a billion dollars per year.
That’s a serious win achieved through personalization.
As marketers, we’re all trying to improve the customer experience and increase conversions. We have these things in common.
However, some marketers are much better at understanding their customer personas and doing the right kind of research than others.
What is comes down to is that delivering a single message to your entire customer base is an inherently flawed strategy. High-value customers, frequent browsers, seldom purchasers, brand enthusiasts and first-time visitors are all differently characterized and must be engaged uniquely.
This is where customer micro-segmentation comes into play.
When trying to boost conversions, whether it’s on a signup screen or a landing page, it’s a default for many optimizers to generate hypotheses based on best practices and what’s generally “known” to be a problem.
A landing page that doesn’t display well on mobile is a perfect example. Someone might shout “it’s not responsive” and then resize the page properly for mobile use.
But that won’t solve the real issue… because the truth about most low converting landing pages on mobile isn’t just that they don’t resize properly, but that they have been written, designed, built… with no mobile context in mind.
In his famous novel, 1984, George Orwell wrote, “Big Brother is Watching You.”
When you’re browsing around online, someone is watching you, too. Actually, a lot of someones. Sites collect plenty of data about each and every visitor that passes through. “The more data, the better,” they say.
But you’re already well aware of that because all smart optimizers are watching their visitors (and customers) as closely as possible.
All of that data is now being used for website personalization in an effort to increase conversions. But, by their own admission and according to consumer opinion, it seems that companies are getting personalization all wrong.
In 1999, David Weinberger, a technologist and co-author of The Cluetrain Manifesto, wrote, “Personalization: the automatic tailoring of sites and messages to the individuals viewing them so that we can feel that somewhere there’s a piece of software that loves us for who we are.”
Ironically, nearly 20 years later, personalization is being used by companies attempting to make the online experience more human.
Personalization has grown rapidly since David’s statement. So much so that personalized experiences have become the norm, not an option. [Tweet It!]
In the last 5 years, email has been pronounced dead half a dozen times, if not more. The truth is that email is very much alive and, for most optimizers, it’s far from being on its proverbial deathbed.
How can there be such a divided opinion? Segmentation and personalization are the answer.