NEWS9 May 2017

Personalisation set to drive $800bn revenue shift

Innovations News North America Trends

US – Brands that are using technology and data to create personalised experiences are seeing revenue increases of between 6 and 10%, according to new research.

Personalisation crop

A report from The Boston Consulting Group, Profiting from Personalisation, reveals that those brands using personalised approaches are seeing their revenues grow two to three times faster than brands that don't. 

The report, based on a survey of personalisation programmes at over 50 companies across 10 different industries, suggests that in the next five years, the 15% of companies across retail, healthcare and financial services that successfully deploy and leverage personalisation can expect to see an $800bn revenue shift. 

"In many consumer categories, high-value customers drive 70% or more of the value for companies," said Mark Abraham, a partner at The Boston Consulting Group.

"Brand individualisation unlocks the ability to enhance loyalty with these and other customers by tailoring the brand experience to each contextual user journey."

However, the report also outlines barriers to implementation, in particular technological limitations and inadequate measurement capabilities. Nearly 60% of companies struggle to measure the impact of campaigns, the report says.  

The report can be accessed here