01 Aug The reality of customer data
Using customer data to enhance and personalise the shopping experience… A sentence we’ve heard so many times in the retail world. However, what is the reality? How much do retailers use personal data to create this ultimate experience? B.D.C. focused on surveys, figures and facts to give you a bigger (and realistic) picture of the situation.
What we believe
Nearly 60% of UK companies believe that real-time customer engagement can deliver between 10 and 40% increase in revenue. Nevertheless, most brands are failing to make the most of customer data.
What it is true
According to a report from The Age of Now, brands are collecting less than 33% of relevant personal data on their customers. In addition, only 25% of that data is actually being used for real-time customer engagement thanks to segmentation.
Now, there is a significant gap between understanding each customer individually and being truly able to create intimacy in real time using data. Less than 18% retailers can adapt their marketing communication in real-time based on customers behaviour.
However, to move towards meaningful and real-time communication, UK companies have started monitoring various factors such as financial market movements (55%), Government policy (48%), political events (34%), retail price competition (33%), weather (26%) and major attacks (23%).
AI, the game changer
We have talked a lot about the rise of Artificial Intelligence (AI) over the past months and how this science could help retailers to create the ultimate shopping experience. However, only a small number of organisations successfully implemented AI technology to communicate in real time and in a personalised way with customers (77% claimed to have deployed some form of AI technology and most admitted they were not fully exploiting it due to lack of skills).
Thanks to Machine Learning and high computing speed, brands will be able offer THE shopping experience YOU are looking for.