How Personalized Video Transforms Customer Experience
In today’s world of overabundance of choice, getting your customers excited and committed to your brand takes more than a good quality product. A seamless and personalized customer experience is just as important when it comes to building great customer relationships and winning their loyalty. In fact:
- Customers will pay a 16% price premium for a great customer experience.
- 49% of buyers purchased something they didn’t initially intend to after receiving a personalized recommendation.
- 44% will become repeat customers after receiving a personalized experience.
- But 48% have left a website without making a purchase because they felt it was poorly curated for them.
Personalization today plays an integral part of a brand’s omnichannel strategy where customers enjoy a personalized and frictionless experience regardless of where they choose to engage with the brand.
When we talk about personalization, we mean more than just using the right greeting or sending a customer an ad for a product because you know they purchased something similar a couple months ago.
True personalization digs deep into who your customer is as an individual and uses that information throughout the customer journey. And when we’re on the point of engaging and delighting your customers, it’s worth noting that video consistently outperforms text and images in getting people’s attention.
Case in point, would you rather get a list of your brand experiences over the past year or watch them unfold in a video? (And honestly, are you reading this paragraph first or already keen to click the Delta video below? It’s OK — we get it. Simply put, video is more fun than text.)
Personalized Videos take engagement to the next level. It lets customers be the heroes of their own personal story with your brand. In this post, we’ll look at how Personalized Video can truly transform customer experience and convert your customers from casual buyers to committed brand ambassadors.
Why Personalization Is Essential for Customer Experience
Ecommerce is on the rise, with convenience and immediacy in the shopping experience now far more important than fancy product displays or in-store experiences. About half of Gen Z and millennials, who in the U.S. alone are worth around $350 billion, say they love online shopping for how easy it is to compare prices and brands.
While this is great for consumers, it causes additional challenges for brands who’ve had to get creative when it comes to getting customers’ attention and winning their trust. Here’s where personalization can give your brand the edge.
Sales and marketing is all about psychology. And if you know anything about human psychology, it is that people love to talk and hear about themselves. We love being the center of attention.
Using personalization lets you capitalize on this to engage your customers with content that you know will resonate with them. Personalized CX is a powerful tool for building a loyal customer base:
- 80% of customers are more likely to make a purchase when they’re offered a personalized experience.
- 91% of customers are more likely to shop with brands who recognize, remember and provide personalized and relevant offers and recommendations.
- 81% of consumers are willing to share some personal information in exchange for personalized experience. Of these, 28% said they were “extremely willing” to provide that information.
These aren’t lukewarm attitudes customers have towards personalization. And personalization can have a positive impact on all stages of your customer journey, from reducing customer acquisition by 50% to increasing brand loyalty and growing revenue by 5%-15%.
Personalization can be used from the very beginning of the customer journey, from lead generation and customer acquisition all the way to onboarding and customer success. For instance, take a look at how one mortgage provider used personalization in their onboarding video to build trust and show new clients what to expect.
Personalized Video Meets Customer Experience
While personalization can be done in all formats, from personalized emails to landing pages, video is a favorite. Cisco estimates 82% of internet traffic will be video by next year.
People are 2x as likely to share video with their friends than any other content, and this can be much higher when the video is personalized, as you’ll see with the Ubisoft example below that had a 5x uplift in share rates.
Digital communications can often be dry, generic and impersonal, but Personalized Videos offer an opportunity to make customer engagement fun, interactive and relevant.
Watch how Ubisoft used Personalized Videos to celebrate the biggest wins and best games of their users in a single year.
Did you know? Scale is no issue here. Ubisoft created unique, data-driven videos for 9.5 million gamers across 6 languages.
Personalized Videos respond to everything the modern consumer expects from brands: personalized service, authenticity and transparency. This is where video marketing meets customer experience. Take a look at some of the results we’ve seen with Personalized Video marketing campaigns.
- 8x increase in conversions
- 10x higher engagement
- 37% churn reduction
- A 24-point increase in Net Promoter Score
Still a Long Way To Go
So what’s happening? Why don’t you see more personalized content, including video, from brands you interact with?
For one, there’s still plenty of confusion in the market about personalization. Where do you begin, what does it cost and what should the focus be? And then there’s the data itself, perhaps the biggest hurdle. A study by McKinsey reveals that 67% of businesses still lacked the technology to personalize at scale. That said, more than 80% have begun working on a personalization strategy or pilot projects.
Getting started with video personalization isn’t hard. Many people get stalled out with having lots of data. But you don’t need a slew of data points to personalize a video. Start with what you have and go from there.
Don’t have customer data? With new Living Video technology, you can even allow users to input their own info and then generate a bespoke video just for them, all in real time. This not only provides a seamless CX. It also enriches your first-party data, which is increasingly valuable.
When to Personalize the Customer Experience
In short, the time to start with personalization is now. If you’re waiting for more data, you’ll always be waiting. Instead, begin weaving personalization throughout the customer journey, from acquisition to retention.
We’ve found personalization is especially effective at transforming the customer experience when used from the very beginning of the customer journey. It creates an amazing first impression, for example, with a personalized tour of the product or service you just purchased.
Video personalization also helps when it comes to upselling later in the customer journey. It’s an opportunity not just to make a sale. You can connect personally with your customer and offer a deal relevant to them.
Plus, since the video is dynamic, you can include data specific to your offer, such as how big a discount (or loan or trade-in) that specific customer is eligible for. That’s exactly what Vodafone did for their unmissable upgrade offer for a new iPhone.
And since Personalized Videos are all about customer experience, the videos you produce need to be top quality. (Imagine putting in all that effort, only to have the customer greeted by a 60-second buffer). This is where the tool you choose really matters. Choosing a platform that supports 100x real-time video rendering in cinematic quality ensures your customers are wowed every time.
Better ROI and CX With Video Personalization
Consumer behavior has changed drastically in the past decade with customers expecting more care and commitment by brands before they part ways with their cash. Things like authenticity, personalization and convenience are extremely important in getting people’s attention and winning their trust.
Personalized Videos offer brands a great opportunity to not only engage their customers but also add the human touch so often absent from digital interactions. Even better, Personalized Video production is simple and can even be self-serve with our open video platform.
If you have any questions on video personalization and how you can leverage this tech to upgrade your CX, get in touch. We’re here to help.