How to implement personalization and AI in omnichannel marketing

According to 92% of marketers, customers expect a personalized experience. This expectation means if you don’t tailor your marketing to offer a unique experience, you may risk losing your customers’ attention. If you’re looking to outshine your competitors and retain your customers for the long haul, omnichannel personalization may be the solution. With 71% of consumers expecting companies to deliver personalized interactions, creating a personalized experience across all of your user’s touchpoints seems more important than ever.

Here, we’ll cover how omnichannel and AI personalization can engage your customers and help you deliver a tailored customer experience. We’ll dive into how to personalize the omnichannel experience using data to boost not only your customer engagement, but your sales figures too.

What is omnichannel personalization?

Before we explore what omnichannel personalization means, we’ll first need to explain the term ‘omnichannel.’ This is where you give access to your products and services across all channels, platforms and devices. Omnichannel personalization means offering your customers a customized, streamlined buyer’s journey across all channels, from web and social, to email and mobile. It’s all about anticipating your customers’ needs and meeting them regardless of which channel they engage with your brand through.

For omnichannel personalization to be a success, you’ll need to make use of your customer data to get to know your customers’ needs and values, so you can tailor your messaging accordingly. Not only will omnichannel personalization help you connect with your customers, it can also help differentiate your brand from your competitors.

The role of AI in personalization

There are different types of AI you can use for personalization including artificial intelligence, machine learning (ML) and natural language programming (NLP). AI-based personalization involves collecting and analyzing large volumes of customer data, from their purchase history to interactions with your brand, so you create tailored messaging to appeal to them at each stage of their buyer’s journey.

You can also use AI to source and understand your customer data to help you personalize your messaging across various digital channels. AI can analyze your customer data and identify patterns to predict your customers’ future behaviors to inform your marketing strategies. For example, florist company, BloomsyBox, wanted to launch a Mother’s Day campaign that created a personalized experience for their customers. In partnership with Infobip, they created a generative AI eCommerce chatbot that asked users questions each day, where the first 150 users answering correctly would win a free bouquet. From there, BloomsyBox used generative AI to help their winners generate a heart-felt message for their moms, with 38% participating to create a personalized greeting card.

AI can also analyze your customer behavior to improve your customer retention rate, by identifying the pain points of your customers so you can make improvements to your retention efforts.

The benefits of using personalization and AI in omnichannel marketing

Using personalization and AI in your omnichannel marketing can help you understand what your customers are most interested in so you can target them with messaging that will resonate with them.

Here are some of the key benefits of using personalization and AI in omnichannel marketing:

  • Customer experience: Personalization and AI can help you deliver tailored, personalized messaging at every touchpoint and customer interaction. This can offer a personalized customer experience which can improve customer engagement, and increase a customer’s lifetime value.
  • Conversion rate: When customers feel appreciated and understood, they’re more likely to buy. Omnichannel personalization can encourage customers to buy, as how you interact with them is likely to resonate with them.
  • Reduced costs: You’ll know first-hand that acquiring new customers can be expensive. Omnichannel personalization can help you target the best customer for each campaign, which may help to reduce digital advertising costs as you’re likely to send less messages.
  • Improved segmentation of data: You can use AI to identify and create segments from your customer data. Grouping your customers based on their shared characteristics can help you understand their needs and values. AI can also remove human bias, such as generalizations and assumptions, to build a picture of who your customers really are.

4 steps to implement personalization and AI in omnichannel marketing

We’ve covered what omnichannel personalization is, how you can use AI to inform this personalization and its benefits to your customers. Here are some ways you can implement personalization and AI into your omnichannel marketing strategy:

  1. Personalized recommendations: You can use AI to analyze your user behavior and site traffic data to make personalized recommendations to your customers. You could recommend certain products when they open the chatbot feature on your site, based on the products they’ve previously viewed.
  2. Email personalization: Omnichannel marketing is all about your presence across multiple channels, and email is no exception. Noticed a customer has visited a product page several times without buying? You could encourage them to purchase that item by emailing them a personalized discount code. You can use AI to analyze the performance of previous emails to that customer, to identify the best time of day to contact them.
  3. Dynamic message content: AI can help you create dynamic message content tailored to each customer, showing them personalized messaging that appeals to their browsing history. You could use data like their location or purchase history to suggest products that appeal to their interests most.
  4. AI chatbots: With chatbots helping to increase sales by up to 67%, they’re definitely worth the investment. Using a chatbot on your site, such as an NLP chatbot, can enhance your customer service by proactively reaching out to your customers at the right time. If a user has spent a significant amount of time on a certain webpage, your chatbot can notify them to ask if they need help with something, to offer a personalized shopping experience.

Use cases and success stories

The benefits of implementing personalization and AI into omnichannel marketing are applicable across several industries, including:

Retail

Brazilian-Argentine ice cream producer Kibon successfully brought the nation’s favorite ice creams to every high street in Brazil. To do so, they collaborated with their network of business partners across the country, from bakeries to cafeterias. But many of these partners were switching to digital forms of communication, meaning Kibon needed to find a way to streamline their B2B communications for their customers. That’s where Infobip stepped in to support them.

With WhatsApp being the most popular channel for Kibon’s business partners, Infobip helped implement the chat app to enhance their customer service offering. Kibon introduced Kiki – a virtual assistant to help resolve their business partners’ queries as quickly as possible while providing a personalized experience across the whole customer journey. Through WhatsApp Business Platform, powered by Moments and Conversations, Kiki’s personalized marketing campaigns boasted an impressive 10% conversion rate.

Finance

The first neobank in Jordan, Reflect, had an impressive launch with thousands of millennials opting for their digital banking offering. But while Reflect offered several benefits to their users, such as spreading awareness of the benefits of neobanks and a strong in-app user experience, they wanted to boost their engagement rates on the application. Their focus was on promoting the app’s features such as payments, savings and personalized offers to their customers. How would they do this? By drawing their attention to a seamless omnichannel experience.

Joining forces with Infobip, Reflect was able to boost customer engagement and take their user experience to the next level. Answers, our fully-encompassed chatbot building platform, created a customizable chatbot over WhatsApp Business to connect with customers. Through Conversations, our cloud contact center solution, Reflect was able to improve their customer care service through real-time messaging – allowing their customers to contact them through their preferred channel. The results? An impressive 10% increase in app engagement, all thanks to omnichannel engagement solutions.

Telecommunications

Telekom Deutschland, one of the top integrated telecommunication companies in the world, was looking to cross-sell and promote a free trial of Spotify in Germany. To do so, they wanted to launch an attractive, engaging campaign that would both inform their customers about their Spotify Premium offer and also encourage conversion. To promote the offer, Telekom Deutschland wanted to use a digital channel that would attract their customer, encourage conversions and mimic the interactive, transformative nature of Spotify.

Infobip helped Telekom Deutschland to create rich media messages through RCS which promoted the Spotify offer. Alongside RCS, Infobip improved the end-to-end customer journey through Moments, our omnichannel engagement hub, to set up flows, automate the campaign and ensure each message was sent at the right time. We also used Conversations to allow customers to contact an agent from the RCS message, to enquire about the offer and activate their Spotify membership should they choose to.

Compared to SMS, the RCS Business Messaging campaign performed two times better, allowing customers to engage with the chatbot and fulfill the goal of subscribing to Spotify.

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Sep 5th, 2023
7 min read