Commerce-Led Personalization: The Key to Driving New Growth for Brands

In today's competitive (retail) landscape, brands need to do more than just sell products and run regular brand marketing campaigns. They need to create personalized and engaging shopper/consumer experiences that drive growth. Commerce-led personalization is a key strategy that brands can use to achieve this goal.

What is Commerce-Led Personalization? Commerce-led Personalization is a marketing strategy that uses data and technology to create personalized shopping experiences where it differentiates between existing brand buyers and potential new brand buyers. This can be done through a variety of mediums, including email, social media, data-driven advertising, and on-site personalization, such as smart QR codes on the shelf or on product packaging. The goal of Commerce-led Personalization is to provide consumers with relevant and timely information and offers that are tailored to their individual needs and preferences. This can lead to increased sales, improved consumer satisfaction, and stronger brand loyalty.

What makes Commerce-led Personalization so Different from other category definitions, such as Data-driven Personalization? Commerce-led Personalization starts with point-of-sale data rather than driving consumers to point-of-sale. Commerce-led Personalization already understands who is your current brand (or category buyer), who is not buying your brand, and powerfully predicts who might be your next-best consumer. Commerce-led Personalization combines advertising data, consumer journey signals, first-party consumer data, and retailer point-of-sale data. It combines data from both online and offline touchpoints and retail channels. This is what makes Commerce-led Personalization so unique as a way to drive new brand growth.

Why is Commerce-Led Personalization Important? There are many reasons why commerce-led personalization is important for brands to consider. Here are a few key benefits:

1. Increased sales: Personalized shopping experiences can lead to increased sales. When shoppers feel like they are being understood and their needs are being met, they are more likely to make a purchase.
2. Improved consumer satisfaction: Personalized experiences can also lead to improved consumer satisfaction. When consumers feel like they are being treated as individuals, they are more likely to be satisfied with their shopping experience.
3. Stronger brand loyalty: Personalized experiences can also help to build stronger brand loyalty. When consumers feel like they are valued by a brand, they are more likely to become loyal consumers.
4. New Growth Opportunities: Commerce-led Personalization can help brands identify new growth opportunities. By understanding their consumers' needs and preferences, brands can develop new products and services that are tailored to those needs.
5. Efficiency and Effectiveness: Commerce-led Personalization does not waste marketing and sales budgets on those that have a low probability of becoming a brand buyer (or buy more quantity - or buy more frequently because they already do), while from the consumer point of view, it drives efficiency by offering relevant and meaningful experiences.

How to Implement Commerce-Led Personalization There are a number of ways that brands can implement commerce-led personalization. Here are a few key steps:

1. Collect shopper/consumer data: The first step to personalizing the consumer experience is to collect data about your consumers. This data can come from a variety of sources, including purchase history, browsing / digital consumer journey behavior, and social media data.
2. Segment your consumers: Once you have collected consumer (first-party) data, you can segment your consumers into different groups based on their shared characteristics. This will help you to target your personalization efforts more effectively.
3. Create personalized content and offers: Once you have segmented your consumers, you can create personalized content and offers that are tailored to each segment. This content and offers should be relevant to the segment's needs and preferences.
4. Deliver personalized experiences: Next, you need to deliver personalized experiences to your consumers. This can be done through a variety of integrated channels, connecting all the dots end-to-end, including email, social media, advertisements, and on-site personalization, such as smart QR codes.
5. Measure and optimize: Finally, you need to measure and optimize based on actionable insights to deliver better consumer experiences and business outcomes for your brand. Consider working with a partner that connects Digital Ad Platforms with Retailer Point-of-Sale data to understand the consumer shopping journey from click to purchase.

Conclusion Commerce-led personalization is a key strategy that brands can use to drive new growth. By creating personalized and engaging shopper/consumer experiences, brands can increase sales, improve consumer satisfaction, build stronger brand loyalty, and identify new growth opportunities. If you are not already using commerce-led personalization, now is the time to start. By investing in this strategy, you can unlock the full potential of your consumer data and create a truly personalized shopping experience for your consumers.

Commerce-led Personalization / about Grivy Personalization is not just an afterthought but rather a core part of the business strategy for our customers to drive commerce. Grivy's platform is specifically designed to help brands personalize the consumer experience across physical and online commerce channels. We use data, technology, and great ideas to help brands grow.