Skip to main content

Service Providers are Failing Personalization Needs

 
Why do so many of today's service providers still cling to legacy mass-media marketing practices, when they know that there's an alternative? It's puzzling, especially to those who track current marketing trends.

eMarketer reports that service providers in several industries are not meeting customer needs for personalized offerings, or even fulfilling relevant communication needs, according to a recent U.S. market study.

Customers are increasingly frustrated a lack of basic personalization or targeting and believe that many businesses simply don't care about their preferences. In fact, despite the wealth of options enabled by digital media channels, most internet users are dissatisfied.

Research from customer engagement firm Thunderhead found that the banking industry was most likely to use a customer's preferred digital channels -- with 54 percent of respondents reporting positive experiences.

But just 27 percent of internet users said gas companies communicated with them through preferred channels, and other vertical industry marketers fell somewhere in between.

Overall, 42 percent of respondents said preferred digital channels were being used at least "fairly well" by their service providers. That's disappointing, when you consider that personalization is considered a mainstream marketing concept.

The lack of effective personalization extended to the content of messages, not just their delivery channel. At least 45 percent of respondents for each vertical complained that marketing communication materials were poorly targeted.

And about half or more said they would be more satisfied if service providers referenced their account information in communication, making messages more meaningful. Is it possible that savvy customers now know more about digital media applications than the typical marketer that reaches out to them?

"Today's consumers are much more technologically sophisticated than they were even five years ago, and they are demanding tailored and personal communications from those companies with which they do business," said John McGee, president and COO of Thunderhead.

Segmentation and targeting will improve marketing results. In contrast, impersonal messages can damage existing customer relationships. That said, why do service providers -- that often have a wealth of data about current customers -- fail to treat their customers as individuals? It's truly puzzling.

Popular posts from this blog

Wireless Solutions Advance Work from Home Trends

Despite a challenging backdrop from the ongoing effects of the global COVID-19 pandemic, the negative impact on fifth-generation (5G) wireless supply chains has been minimal compared to the wider mobile smartphone market. This led to 5G mobile devices becoming more diverse, brought to market quickly at a variety of price points, thereby accelerating affordability and adoption. The mobile market is transitioning to 5G and many leading vendors are now exploring the low-priced 5G smartphone segment. According to the latest worldwide market study by ABI Research, 681 million 5G handsets will be shipped in 2022. Therefore, the race is on for OEMs to find that all-important level of differentiation in their flagship portfolios to help boost margins and improve market share. 5G Wireless Market Development Vendors continue to drive the adoption of new product designs, screen technology, chipsets, and camera setups -- notably within the flagship smartphone segment. Meanwhile, the leaders seek a

Software-Defined Infrastructure: The Platform of Choice

As more organizations adapt to a hybrid working model for their distributed workforce, enterprise CIOs and CTOs are tasked with delivering new productivity-enabling applications, while also seeking ways to effectively reduce IT cost, complexity, and risk. Traditional IT hardware infrastructure is evolving to more software-based solutions. The worldwide software-defined infrastructure (SDI) combined software market reached $12.17 billion during 2020 -- that's an increase of 5 percent over 2019, according to the latest market study by International Data Corporation (IDC). The market grew faster than other core IT technologies. The three technology pillars within the SDI market are: software-defined compute (53 percent of market value), software-defined storage controller (36 percent), and software-defined networking (11 percent). "Software-defined infrastructure solutions have long been popular for companies looking to eliminate cost, complexity, and risk within their data cente

Digital Identity Verification Market to Reach $16.7B

As more enterprise organizations embrace the ongoing transition to digital business transformation, CIOs and CTOs are adopting new technologies that enable the secure identification of individuals within their key stakeholder communities. A "digital identity" is a unique representation of a person. It enables individuals to prove their physical identity during transactions. Moreover, a digital identity is a set of validated digital attributes and credentials for online interactions -- similar to a person's identity within the physical world. Individuals can use a 'digital ID' to be verified through an authorized digital channel. Usually issued or regulated by a national ID scheme, a digital identity serves to identify a unique person online or offline. Digital Identity Systems Market Development Complementary to more traditional forms of identification, digital identity verification systems can enhance the authenticity, security, confidentiality, and efficiency of