In the era of data privacy and security (see: routine data breaches of sensitive data across the United States and around the globe that continue to lower consumers’ confidence in businesses), there are three top goals for consumer-oriented companies today:
- 1) Protect the personal data of every contact in their (often) vast database ecosystems.
- 2) Build personalized marketing strategies geared toward prospects and customers.
- 3) Create a meaningful value exchange with individuals (i.e., provide personalized recommendations and offers in exchange for them ‘opting in’ to their marketing).
And all three business and marketing objectives are inextricably tied to one another.
General Data Protection Regulation (GDPR), among other data measures, certainly amplified the need for marketers at all companies to craft consent-focused marketing programs.
But delivering personalized experiences while also protecting sensitive information associated with contacts in their database was already a pressing priority for most marketers well before the European Union data privacy law went into effect.
Now, consumers expect every marketing campaign, targeted ad, and promotional email companies deliver to them to contribute to a positive customer experience for them.
(In other words, not make them regret allowing businesses to market to them.)
Therein lies the (potential) problem for your consumer-centric engagement efforts, though:
- How can you leverage the personal information and data provided by opted-in individuals in personalized marketing across channels in an effective manner while ensuring compliance with data regulations?
For marketing and other teams charged with interacting with customers, it starts with automating their consent management strategy, federating individuals’ consent statuses across their systems, and understanding how they can best utilize the first-party data.
Powerful personalized marketing possible with the right data privacy approach
Identify individuals who engage with you online. Create persistent customer profiles for them. Get them to opt in to receive personalized emails and messaging. Deliver said messages (the value exchange for opting in) at the most applicable places and times.
That’s the (oversimplified) personalized marketing strategy formula for success.
But it’s nonetheless a formula many marketers have mastered in recent years — and one that’s led to strong customer experience strategies and sizable ROI. For example:
- Retailers with advanced personalization approaches earn up to $20 for every $1 invested in their personalized marketing efforts, per a 2019 Liveclicker study.
And where do many marketing teams begin with their data privacy-oriented personalization programs? Onboarding a consent management platform (CMP).
Standalone CMPs have become popular in recent years. But many forward-thinking companies have instead invested in more robust technologies, like customer data platforms (CDP) that offer end-to-end consent management functionality.
Notably, pure-play CDPs like BlueConic that update and maintain records of the consent preferences of their ‘data subjects’ (a.k.a. prospects and customers) in real time.
Doing so eliminates potentially redundant tech in their stacks and ensures the consent status for every person in their database environment is accurate at all times.
This, in turn, leads to confident data utilization across their strategies: from email campaigns and lifecycle orchestration to target segments to individualized landing page experiences with personalized content for prospects (e.g., on-site dialogues promoting deals).
However, it’s become increasingly difficult for many marketing orgs today to discern both how much data is enough to build scalable personalization programs and the right types of data to leverage in personalized marketing strategies.
First-party data now companies’ most valuable personalization resource
Writing for Forbes, BlueConic COO Cory Munchbach argued marketers can no longer accumulate customer data for the sake of it. Rather, they need to be intentional with their collection and utilization of consented first-party data:
- “Data can’t just be scraped and left to sit on the shelf (or stored in a data warehouse). Ensuring your data collection doesn’t become a liability means determining if having that data is really necessary, and if so, why.”
Just consider how BlueConic customer America’s Test Kitchen makes the most of the first-party data collected from its audience across systems (CRM, ESP, adtech) and channels (email, site, ads) and ‘puts into play’ with our customer data platform (CDP).
America’s Test Kitchen Director of Marketing, CRM & Audience Strategy Sarah Desmarais said her initial goal was to unify as much relevant, useful data in her CDP tenant as possible:
- “The first year that we had a CDP in house, we spent a lot of time working on it, ensuring that we were tracking absolutely everything that we could track.”
Once data unification became streamlined, though, Desmarais and her team turned their attention to segmenting audiences and developing a personalized marketing playbook — that is, determining how they could best leverage their first-party data:
- “[N]ow that we’ve been able to use insights and ensure that we are making some actionable decisions off of the data that we’re collecting, it makes it that much easier for us to move forward.”
Confidence knowing the consent status for all contacts in its database is accurate and actionable: That is what America’s Test Kitchen has been able to realize with our pure-play customer data platform at the center of its lifecycle marketing program.
For instance, if Desmarais and Co. need to adjust specific personalized marketing activities (e.g., revamping email messaging sent to certain segments to better align with their interests and latest behavior), they can do so quickly and efficiently.
And largely due to the fact they can access and activate all their first-party data in our pure-play customer data platform’s single, intuitive user interface.
What’s more, if an individual no longer meets the criteria for a given segment (e.g., opted out of marketing communications) the company can rest easy, knowing it won’t inadvertently market to that person or violate any data privacy regulations.
Prioritizing lifecycle orchestration your path to personalized marketing success
Customer lifecycle orchestration is the next logical evolution of personalized marketing (more specifically, individualized, one-to-one marketing) for a few simple reasons:
- It enables marketers (and other growth-focused teams) to be customer-centric, not campaign-centric — a notable distinction, given the latter relies on legacy tools built for static, outbound campaigns.
- It ensures all marketing interactions employed to capture individuals’ attention are relevant and timely because they’re based on resolved identities and unified profiles.
- It allows everyday marketers, CX professionals, and other growth-focused professionals to track and respond to micro touchpoints in real time and across channels — a must to deliver a first-class customer experience.
Consumers have always controlled when and where they interact with companies.
However, marketers now have the ability to not only discern where each individual is in their respective customer journey, but also deliver distinct value to them along the way.
All that’s required to do so is to secure the optimal system — one that:
- Unifies all pertinent first-party data associated with prospects and customers and their journeys (but not so much that you end up with ‘analysis paralysis’ and activation issues)
- Helps you and your team manage the consent preferences for every individual in your database environment, comply with consumer data privacy measures (GDPR, CCPA, etc.) and federate consent out to other critical marketing technology systems
- Protects data for all prospects and customers — an oft-overlooked factor many businesses (particularly enterprises) fail to account for in their tech evaluations today
- Facilitates intelligent lifecycle orchestration activities to individuals and personalized marketing messaging with to your most important segments across channels
Of course, technology is just one piece of the personalized marketing puzzle.
As Cory noted in her Forbes piece, the personnel charged with handling and using data in their day-to-day roles as well as the processes they develop around their data collection and utilization matter just as much as onboarding the right solution.
Without direction from leadership on a data governance framework and the ideal team in place to take advantage of data for opted-in individuals (who may not remained opted in forever), a lifecycle orchestration-enabling system won’t help you.
But, when everyone is on the same page regarding how data will be collected, stored, and managed; data privacy has been addressed with a consent management plan; and growth teams have the proper tools, accelerating business growth becomes a lot easier.
Watch our lifecycle marketing webinar to learn how you can advance your personalized marketing strategy and better engage your prospects and customers across channels.