Marketing Personalization Statistics 2023: Key Facts & Trends

Running a business is tough. A deep understanding of your customers, including their preferences, styles, and expectations will get you ahead of the competition. 

Here are the latest statistics to ensure you are always on top of your game.

This article will give you valuable insights on making your marketing collaterals more engaging and memorable, plus the type of content that converts curiosity into sales!

Key Marketing Personalization Statistics

• 80% of customers say they are more likely to buy from a brand offering personalization
• Companies that generated 3x more return on investment after introducing personalization in their marketing campaigns say they consequently saw a 44.4% spike in customer loyalty
• 25% of marketers say marketing personalization increased their retention rates or the percentage of customers who continued using their product or service over a given period
• 44% of marketers say lack of budget is an obstacle to employing personalization in marketing campaigns
• More than 20% of customers say they find marketing campaigns “creepy” if they are too personalized

Detailed Marketing Personalization Statistics 2023

According to the latest personalization statistics, 80% of customers say they are more inclined to buy products and services from a company offering personalization.

This is a significant increase from 70% just a year ago. 

Nowadays, there is a never-ending list of businesses competing for a buyer’s attention.

And an effective way to stand out from the crowd is to make them feel you understand their preferences and expectation.

This is evident in the latest survey released by Startup Bonsai where 66% of participants say they expect brands to understand their needs and expectations even before they make their first purchase. 

Marketing Personalization and Customer Loyalty

Perhaps one of the highlights of these statistics is a brief look into its effect on customer loyalty.

Sales retention a.k.a repeat orders is an important aspect of sales. 70% of buyers say a brand’s understanding of their individual tastes impacts their loyalty. 

In a related survey published on the SmartsInsights site for companies that generated 3x more of their ROI since introducing personalization in their marketing campaigns, the move also spiked their customer loyalty threshold by 44.4%. 

Benefits of Marketing Personalization

Here is a statistic-based look at the benefits of marketing personalization, detailing the percentage of marketers citing each factor as its main benefit.

• Improved customer experience – 64% of survey participants cite this factor as the main benefit of introducing marketing personalization into their brand
• Increased conversion rates – 63% of survey participants cite this factor as the main benefit of introducing marketing personalization into their brand
• Increased visitor engagement – 55% of survey participants cite this factor as the main benefit of introducing marketing personalization into their brand
• Increased lead gen or customer acquisition – 43% of survey participants cite this factor as the main benefit of introducing marketing personalization into their brand
• Improved brand perception – 42% of survey participants cite this factor as the main benefit of introducing marketing personalization into their brand
• Increased customer lifetime value and loyalty – 36% of survey participants cite this factor as the main benefit of introducing marketing personalization into their brand
• Increased revenue from e-commerce-generated sales – 31% of survey participants cite this factor as the main benefit of introducing marketing personalization into their brand
• Increased retention rate – 25% of survey participants cite this factor as the main benefit of introducing marketing personalization into their brand

Marketing Personalization and its Impact

In these statistics, we look at the impact of this strategy on business operations.

• Marketing personalization has no impact – only 1% of marketers said it made no difference 
• It has a slight impact – only 6% of survey participants had given this response 
• Moderate impact – 15% of marketers said that the effect is only moderate 
• It made a strong impact – the majority or 52% of all survey participants said marketing personalization made a strong impact on their business operations 
• Extremely strong impact – 26% of marketers agreed with this statement

As can be observed from the survey results, marketers who responded that personalization made a strong and extremely strong impact on their business operations comprised nearly 80% of all respondents.

Obstacles to Marketing Personalization

Despite its obvious benefits, not all businesses manage to incorporate personalization into their campaigns due to a number of reasons.

Here are some of them:

• Lack of personnel – 54% of marketers point to this factor as the main reason why they do not employ personalization in their campaigns
• Lack of budget – 44% of marketers point to this factor as the main reason why they do not employ personalization in their campaigns
• Lack of knowledge or skills – 43% of marketers point to this factor as the main reason why they do not employ personalization in their campaigns
• Lack of organizational alignment – 38% of marketers point to this factor as the main reason why they do not employ personalization in their campaigns
• Poor technology solutions – 36% of marketers point to this factor as the main reason why they do not employ personalization in their campaigns
• Low-quality data – 33% of marketers point to this factor as the main reason why they do not employ personalization in their campaigns
• Constraints with technology – 31% of marketers point to this factor as the main reason why they do not employ personalization in their campaigns
• Lack of executive support – 22% of marketers point to this factor as the main reason why they do not employ personalization in their campaigns

How to Create a Successful Personalized Marketing Campaign?

So wrap up these statistics with a bang, we leave you with these valuable marketing personalization tips inspired by MailChimp. 

1. Put People on the Right Roles 

Create a team of skilled, talented individuals who are proficient in technology.

These people will handle the technical side of the campaign to ensure the designs and overall look and feel of the campaign are tailored to perfection

2. Be Subtle in Collecting People’s Information

Despite the many benefits that come with extracting your customer’s personal information, people are sensitive about data privacy.

In fact, more than 20% of customers say they find marketing campaigns “creepy” if they are too personalized. 

3. Focus on Four Important Information

You do not need to get into the nook and cranny of your customer’s details.

In fact, here are the four important factors you should look after:

• Demographics
• Spending levels and habits
• Product interest
• Buying patterns

Conclusion

Marketing personalization is an important part of any business strategy.

It comes with a cornucopia of benefits such as an increased conversion rate, better retention, customer loyalty, and higher sales!

We hope you enjoyed reading this updated marketing personalization statistics for 2023.

Remember, the best campaign is subtle yet powerful.

Don’t make your ads too personalized in a way they appear creepy to customers. 

Sources