How Manufacturers Use Personalization To Drive Customer Purchases

Personalization Drives Purchase Decisions

Personalization has become a critical strategy across industries. Research shows 80% of consumers are more likely to purchase from companies offering personalized experiences. B2B and B2C industries increasingly leverage data-driven approaches to enhance customer interactions.

Key Personalization Insights:

• 91% of consumers prefer brands offering relevant recommendations
• Personalized experiences can increase sales by 20%
• B2B customers value customized solutions that demonstrate an understanding of their specific needs

Utilizing Customer Data

Through a loyalty platform, manufacturers offer customers and distributors incentives for purchases. Incentives can provide a much-needed benefit for B2B customers looking to make a buy. As Jim Lucy writes, “When all things are relatively equal in the buyer's mind, an incentive can swing a product purchase decision one way versus another.” The trick is knowing what types of incentives will resonate best with customers and have the maximum impact.

• 63% of manufacturers report improved customer retention through personalized offerings
• Data-driven insights can reduce sales cycle time by 15-20%
• Customized interactions increase the likelihood of repeat purchases by 40%

This is where loyalty programs come into play. A key benefit of loyalty programs is the ability to quickly and easily gather customer data. Starting from account creation, relevant information begins aggregating and continues to do so throughout customer purchases and interactions. Manufacturers then use accumulated loyalty program data to create better and more personalized customer experiences.

For example, manufacturers can offer customized product recommendations to customers and distributors by using program data to:

• Connect similar purchases and related product categories
• Discover key search terms used by users
• Identify product features customers prioritize when making selections

Additionally, knowing rewards redemption history and transaction data can help manufacturers in future sales negotiations by enabling them to create tailored offers based on an individual customer’s preferences.

Manufacturers can also use loyalty program data when developing new value offerings. Understanding how customers react to personalized offers can help generate ideas for potential vendor partnerships, product bundles, and different reward options. Most importantly, a loyalty program with an easy interface and a clear rewards structure helps customers understand the total benefits they’ll receive from a purchase - which can influence the decision to purchase.

All of the above methods for personalizing customer experiences have the additional benefit of helping customers make more informed purchases. (Remember, B2B customers prioritize knowledge and competence when making purchase decisions.) Helping customers be more knowledgeable in their buying process can also help manufacturers further improve and personalize their sales process. Using actual program data, manufacturers can build customer profiles and leverage those profiles to solve future customer needs.

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B2B loyalty programs help offer personalized experiences and incentives while also providing beneficial rewards for purchases. As competition grows and customers become more discerning in their purchase preferences, manufacturers can utilize loyalty programs to retain customers and grow purchase quantity

If you're a manufacturing brand looking to become the most valuable choice for your customers, get in touch with the B2B Loyalty & Incentive Experts at Brandmovers today!