The Top 3 Ways Ad Personalization Can Benefit Your Brick and Mortar Business28 March 2022
Ad personalization is the key to attracting customers’ attention both online and in the real-world when they are out of the home.
By adopting a personalized ad strategy, retailers can make consumers feel like more than just a number and can significantly influence consumers’ purchase decisions. Customers love personalization, so much so that they now expect it everywhere that they shop. In a survey conducted by Salesforce 66% of customers stated that they expect businesses to understand their interests and needs and 91% of customers said that they were more likely to shop with brands that provide them with personalized recommendations and relevant offers. Therefore, in order to ensure customer loyalty, beat competition and to stay up to date with customer needs, retailers and brands must get on board with offering personalized experiences fast.
What is Ad Personalization?
Ad personalization is the process of delivering hyper-targeted and contextualized ads to customers in order to improve campaign success, peak consumer interest and increase conversion rates. In the context of brick and mortar this can be achieved by showing ads on various types of digital signage displays throughout the customers path to purchase journey in-store, and adopting a smart audience measurement technology to measure passing customers in real-time. Once a customer is detected within the field of view of the screen, they are anonymously analyzed by the technology, measuring metrics such as age, gender and mood and from this an ad tailored to the customers demographic will automatically play. To find out more on how this process works you can read this article on smart in-store digital signage.
The Top 3 Benefits Of Ad Personalization
Experiential retail is on the rise and personalization is a big part of what creates a great in-store consumer experience. One of the best ways to add a personalized touch to customers’ experience is through dynamically targeted content and ads. Let’s take a look at the benefits of this for your brick and mortar business:
1. Successful Ad Campaigns
In order for ad campaigns to have a higher chance of success they need to be eye-catching and relevant to the viewers interests. By implementing audience analytics technology into your retail signage every piece of content can be dynamically rendered and targeted to the consumer who is in front of the screen at the time. This results in better product recommendations and increases the likelihood that the ad will be viewed. Hyper-personalized content leaves nothing to chance and makes sure that your content and marketing budget is not wasted on a disinterested audience.
2. Customer Loyalty
Customer retention is just as important, if not more so, than acquiring new customers. According to a study, existing customers are 50% more likely to try new products and on average will spend 31% more, in comparison to new customers. By showing personalized ads or personalized in-house content such as the latest discounts, promotions or loyalty rewards to each customer, you can create a strong retail marketing strategy that makes customers feel valued, builds brand trust and earns repeat custom.
3. Increased sales
The biggest benefit for brick and mortar businesses of ad personalization is sales uplift. There is exponential value to be had in showing personalized ads on your retail media network rather than showing content standardly on loop. According to a study by Epsilon, 80% of consumers stated that they are more likely to make a purchase when brands offer personalized experiences. Retailers can utilize their digital networks to both deliver their own dynamic and personalized content, but to also sell their AI enhanced ad space to brands in order to monetize their in-store audiences. The ROI of investing in a smart technology, such DeepSight, that can deliver on-screen personalization and audience data insights that can be used as a currency to sell ad space is monumental.
Balancing Privacy & Customer Data
While customers have come to expect personalization they also have increased expectations on how their personal data should be collected. By using anonymous audience analytics technology retailers can gain the data insights they need but also remain compliant with privacy regulations such as GDPR, CCPA and more. Raydiant's technology never stores any images or personally identifiable information, only the raw data.