From the Editor –
It’s inevitable that after a few years of monitoring this space, you would start to see some patterns, form some expectations, etc., and yet … there’s always room for some surprises. Today’s QT is a perfect example: AI in some unexpected places. Loyalty technology (and statistics) that are, for lack of a better word, wild. What you’ll need to create personalized experiences. And you’ll want to check out Corey Ganzman’s helpful piece on simplifying your marketing strategy.
And this – we’ll be covering NRF this week and next and would love to connect if you’re there. To make things easier, you can find a convenient time on our calendar here. Just make sure to indicate the “where”. See you there!
– Mike Giambattista, Editor in Chief
FEATURE: Four Things to Simplify Your Marketing Strategy in a Complex Market
Inflation and a potential recession are worrisome events, but they doesn’t change the overall calculus that separates great marketers from those who struggle: meet your customers where they are and provide value. If this is something you have failed to do in the past, there’s no better time to get your house in order. Read more here.
Nicole Greene, senior director and analyst in the Gartner Marketing practice, said Influence AI holds the keys to a new art and science of “scalable influence,” which allows for the framing and accelerating of consumer choices. “It’s already transforming the ways we interact in the digital world, serving differentiated content and experiences based on customer intent,” she explained. “As the technology continues to rapidly mature, influence AI can impact customer decisions and shape markets.” She added the ways in which marketers choose to use this technology will fuse ethics, governmental policy and how brands contribute to society.
Poor customer service is a huge driver of customer churn, as a 2020 Statista survey showed that 40% of customers said that they stopped doing business with a brand due to poor customer service. “Businesses lose $75 billion a year to revenue churn as a direct result of poor service — and that data is from a good year,” said Collin. “In the foreseeable macro environment, every minute a company waits to improve customer retention is a minute too late.”
PopID provides a safe, secure authentication service to verify an individual’s identity based on facial biometrics for applications such as loyalty, payment and entry. Most recently, PopID’s innovative technology was utilized as part of a pay with your face solution for contactless payments at the FIFA World Cup Qatar 2022. This point-of-sale integration will enhance the customer experience and increase customer engagement by making it easier than ever for loyalty program members to participate and redeem rewards with facial verification.
LOYALTY PART DEUX
Based on the behavioural data from more than 290 million loyalty member actions*, over 600 minutes of qualitative interview and data from over 260 industry professionals:
- 88.5% of respondents trusted loyalty initiatives to help them overcome the current inflation crisis
- 67.7% have plans to increase or significantly increase their investment in customer retention over the inflation crisis and possible recession
- 78.6% of companies with existing loyalty programs are looking to revamp or make significant changes in the next three years – growing from 71.6% last year
- 93.7% agreed that customer loyalty should be the primary focus over customer acquisition due to the current economic climate
What data do brands use to create personalized experiences? They utilize:
- Customer service history — 46%
- Email activity (opens, clicks, etc.) — 46%
- Known interests of an individual — 43%
- Transactional history — 37%
- Location — 36%
- Social media activity — 36%
- Website activity — 32%
Despite that, only 25% strongly agree that they have all the data they need to improve their marketing personalization, while 49% somewhat concur. But 25% disagree, and 5% strongly disagree.
DIDN’T SEE THAT COMING
Personal.ai is taking the next steps toward creating individualized artificial intelligence with a digital vault of one’s mind. Thus, while the human brain keeps only a percentage of the information it takes in, the AI model will be able to retain everything for quick access. “It’s kind of like a little assistant on your shoulder, and when you’re struggling to remember something, it whispers in your ear,” said Personal.ai head of finance Jonathan Bikoff. “The model gets larger and larger as you feed it data, and it’s your assistant — no one else gets to use it. And unlike me, my model will never forget. So, if I ever want to retrieve that data, instead of scattering through my internet history, emails or text messages to find whatever it was, I just ask my model.”