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  • Writer's pictureChesapeake Group

Hyper-Personalization: Crafting Unique Journeys For Customers


Hyper-personalization is a cutting-edge approach that tailors individual experiences to a granular level.

It goes beyond traditional personalization by leveraging data, artificial intelligence (AI), and machine learning (ML) to create highly customized interactions.

Hyper-personalization occurs in real time to respond to customers’ real lives. An offer that may have been relevant the day before, may not be appropriate anymore. The real power of hyper-personalization is being able to adapt experiences to fit customers’ ever-changing needs, to interpret customer behavior in the moment, and have relevant conversations.

Redefining customer expectations:

As per a research by Twilio, a customer engagement platform, 62% of customers expect personalization and 49% of consumers say they will become repeat buyers / users if personalization is offered.

The race towards delivering the most hyper-personalized smartphone experience is intensifying. Companies are increasingly exploring innovative ways they can engage with users on greater personal level.

With traditional marketing segmentation aimed at similar groups, a customer may be sent irrelevant offers on channels that they do not interact on. Overtime, a customer gets annoyed with this and a competitor steps in with a more attractive offer or communication.

Hyper-personalization helps to predict a customer’s behavior by analyzing their data signals and anticipating a moment of need before it occurs.

There are essential components for achieving hyper-personalization. The first step is data collected about customers, which includes demographic data, transaction history, browsing behavior, social media surveys, purchase history, etc., which is followed by data analysis.

Generative AI takes personalization beyond reactive adjustments and actions, enabling businesses to predict and generate content tailored to anticipate future customer behaviors and preferences. This includes creating custom promotional offers, personalized shopping guides, or unique user experiences. By doing so, generative AI adds another layer of proactiveness to personalization, significantly enhancing customer engagement and taking the personalization aspect to new heights by adding a Generative Experience.

Key players:

Demand for tailored offerings accelerated during the pandemic. Delivering an intimate, hyper-personalized experience not only increases customer retention and strengthens loyalty, but it also drives revenue growth. As per McKinsey, companies that excel at personalization generate 40% more revenue.

Netflix leverages AI algorithms to recommend personalized content based on users’ viewing history and preferences. Amazon analyzes user behavior, purchase history, and browsing patterns to suggest relevant products, along with personalized emails and targeted advertising.

Starbucks uses real-time data to send users unique offers based on their preferences, activity and past purchases. TastryAI partners with wineries to offer customer individualized wine recommendations.


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