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Marketing & Advertising

How Personalization Can Improve Brand Loyalty

by Lauren Wiseman, on Jun 28
With so many businesses and offers out there, your clients are expecting even more from you. So, here are several ways in which personalization can improve brand loyalty and set your business head and shoulders above your competition.

Unless your business deals in one-purchase items, brand loyalty is a major factor that you need to keep an eye out for. There’s a reason why P2P marketing is currently suppressing both B2B and B2C. Everyone likes special treatment but never before in history did we have the tools to approach personalization with such an efficiency rate. Moreover, with so many businesses and offers out there, your clients are expecting even more from you. So, here are several ways in which personalization can improve brand loyalty and set your business head and shoulders above your competition.

  1. Millennial loyalty is a tricky business

In the past, the delineation between users was somewhat definite, even final. People either bought an iPhone or an Android and drank either Pepsi or Coke. Still, major brands inspire major loyalty and millennials are not as determined to follow a brand to a bitter end. In fact, over 41 percent of millennials will change the brand over a price change and they will also abandon it if it gets caught in a scandal. Bad business practices are even more hazardous since most millennials have firm principles firmly tied to their own personal identity. For them, it’s incredibly important that the brand they use represents these same values.

  1. Social proof

Another thing you need to understand is that people tend to be a bit suspicious about the objectivity of characteristics and features. This is why, instead of going to the official website of your brand, they tend to look for customer opinions on sites like Reddit or Quora. There, they look for customer reviews and, based on their opinions, they decide whether to buy or not. In other words, by giving your audience not just a personalized approach but also a personalized experience with your product, you’re potentially turning them into your brand ambassadors on these platforms. You would be surprised how many sales can be generated by this business practice.

  1. A full circle

When you come to think about it, with the de-personalization of mass media, we got the current loyalty programs which target demographics rather than individuals, yet, in the beginning, it was definitely not so. Think about it, the first form of marketing and loyalty program creation was based on the ability of a salesman (businessman, in general) to make a good impression on the customer. On the other hand, there’s an entire science behind this that can, nowadays, be greatly improved with the mediation of technology.

According to Dale Carnegie’s iconic guidebook How to Win Friends and Influence People, remembering people’s names, traits and personal data is the key to winning them over. The greatest problem with applying this in person was in the fact that human memory tends to be quite limited. When relying on software to help you out, you get to avoid this problem altogether since acting on gathered data becomes an instantaneous, almost automatic, response. In other words, you will be able to make every single customer feel like they’re your only client. This kind of preferential treatment goes a long way.

  1. Freedom of choice

Giving your audience a prepaid Visa card as a reward for loyalty does more than just create a habit of buying on your platform, even though this is a strong incentive as well. After all, a first-time buyer has a chance of only 27 percent of returning, while for the second time buyer, the chance that they will come back for the third time rises all the way to 45 percent. Still, the perk of handing out a gift card runs even deeper. You see, by giving them freedom to choose an item from your platform, you are not forcing their hand in any way. The choice of an item or a date at which they’re to make a purchase is theirs alone.

  1. Emotions instead of information

An average person receives about 120 emails every day, most of which tend to bombard them with statistics, points and discount percentages. Sure, helping someone visualize what they’re receiving from you is good but overloading them with information can often backfire. In fact, some people have grown accustomed to seeing ‘-20%’ symbol all around them, that it virtually has no meaning anymore. Instead, you might want to approach your audience in a different way and find a way to send a message that will appeal to them on a more personal and emotional level.

  1. User-generated content

In the previous sections, we often spoke about trust. At one point, we even reflected on the use of brand ambassadors. Well, most of the activity of this group goes under the umbrella term user-generated content (UGC). Apart from being low-cost and easy to generate, it also comes with a much greater credibility. Aside from this, it also boosts your social media reach and growth and provides you with invaluable feedback you can utilize later on.

  1. Friction reduction

One of the most impressive ways in which personalization can improve brand loyalty is through the phenomenon of friction reduction. The problem with site navigation lies in the fact that people easily get distracted from what they were looking for which makes them give up due to the longevity of the process. By generating quick links that will immediately take your customers where they want to go, you might be reducing the amount of your domain that the customers get to see but you also get to maximize your conversion rate. To get this kind of quick linking proficiency, you need an efficient data-based algorithm to help you out.

  1. Product customization

At the end of the day, by letting your audience customize your products (even if it’s just in color), you’re helping them feel in control. In this way, you’re significantly investing in personalization and increasing the chance of boosting your brand loyalty. This doesn’t have to be anything complex or expensive, it can be something as simple as the drawing that a customer gets on the box of Domino’s pizza.


With present-day communication channels, platforms and methods of outreach, you don’t even have to sacrifice your reach in order to boost the quality or personalization of your message. What matters the most is that you speak to your audience on a personal level and address them as an individual and not demographics. The best way to do so is to show them that you hold their own needs and desires in high regard. The above-listed six methods are quite effective in achieving this.

Note: Full or partial copy of the publication is allowed only with the direct active link to InnMind platform.

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