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Top 4 tips to improve customer experience through data
The customer experience is becoming more important to retailers and marketers every day, and that experience must be equal across devices as well as in stores. One expert offers advice on how to use data to improve the customer experience.
First, use personalization to make customers take action.
"In this day and age, it's all about the personal touch. Customers expect companies to not only understand them and their needs, but to also appeal to them on a one-to-one basis. Developing a personal connection with customers using data such as name, location, age or gender can help to illicit an emotional response, which in turn drives the customer to take action," said Sara Vera, Data Scientist with Insightly. "Try providing unique email experiences by addressing customers by name and using a conversational tone with customers to secure higher open rates, earn more loyal customers and continue to build customer relationships."
Second, be smart with your data.
"[Data] can be overwhelming, but focusing on analyzing the right and most relevant data will keep you sane during this process. Luckily, if your company hires the right data architects, scientists and analysts, collecting and analyzing this information will be easier than expected. Develop tunnel vision around the information that is most valuable to your customers, like past purchase history and behavior, and then act on those insights by engaging in personalized conversations with customers. The goal is to gain the most knowledge you can about your customers to understand why they are loyal customers, and to uncover opportunities to attract prospects and convert them into loyal customers too," said Vera.
Third, don't overlook unstructured data.
"Unstructured data, such as emails, social media posts and phone calls can be the most valuable customer data a company has, but it is often overlooked," said Vera. "Once you have decided on an approach to gathering this data, there are various types of analyses such as signal detection and trend analysis, information extraction, categorization and mapping and content-based clustering that will help you better understand your unstructured data. This can also help you better connect with customers by gaining insight into their thought processes and developing trends based on the personal tidbits you uncovered."
Fourth, balance privacy and targeted marketing.
"The line between creepy and effective marketing is hard to define, but customers appreciate a balance between privacy and personalized marketing. For instance, customers respond well to ads that are relevant and interesting to them, but might be off put by information that delves too deeply into their personal lives. It is the data analysts' job to experiment with data points to determine where customers draw the line. Remember to be strategic with data collection and aggregation to yield the best results and most satisfied customers," said Vera.
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