FOUR IN TEN CONSUMERS PREPARED TO PAY MORE FOR A PERSONALISED SERVICE
A new survey by HSO reveals that 41% of consumers become so irritated by inaccurately targeted marketing, that they would pay more for their goods to enable retailers to offer a better, more personalised customer service.
However, the survey also shows that over half (51%) are not prepared to give retailers any more personal information in return for improved targeting of offers or promotions. Perhaps it’s not surprising then that 50% feel that their favourite retailer does not have an accurate picture of their likes and dislikes.
When it comes to advertising, 40% of respondents said they are ‘irritated’ or ‘extremely irritated’ by advertisers that follow their online browsing patterns and promote their products even after they have moved onto another website. Only 7% welcome this initiative and are likely to take advantage of the second chance to buy.
“It’s clear that consumers want a return to the corner shop experience where the shopkeeper knew exactly what each customer wanted – but with the speed and convenience of the online shop. However, conversely, unlike in the corner shop, they are not prepared to divulge any more about themselves to retailers than they need to,” says Robin Coles, Microsoft Technologies Enablement Lead, HSO.
“Consequently, retailers need to walk a fine line. They don’t want to pressurise their customers into giving more details, so they need to make the most of the data they do hold. If their systems have clean and accurate sets of data on each individual customer – their complete buying history, their likes and dislikes, their targeting is likely to be far more precise and accurate.
“The challenge here is that too many retailers are still running outdated systems that cannot provide this integration and the agility needed for today’s retail environment.”