The marketer’s job specification is more complex than ever. Today’s brand marketer needs to be an expert in global privacy legislation, adeptly walk the privacy and personalisation tightrope, and find a way to pivot from cookie-based strategies as Google et al cement plans to comprehensively curtail third-party cookies.
Switching to a strategy that actually builds meaningful relationships directly with consumers, and thus drives engagement and revenue, is easier said than done. But consumers are clear that they expect it.
Data from Australia shows that 69 per cent of consumers said that ads derived from cookie tracking are creepy – not cool – and 74 per cent of global consumers have a favourite brand because it treats them as an individual. What’s more, the desire to be recognised as an individual rose 110 per cent year-over-year according to the Cheetah Digital 2022 Consumer Trends Index published in March.
It starts with a conversation
Relationship marketing isn’t some revolutionary idea or new buzzword, but a mentality that brands need to adopt as the cookie crumbles and consumer demand for personalised experiences skyrockets. In the same report, featuring responses from more than 5000 global consumers, 62 per cent said that when it comes to messaging from brands using email, SMS or in-app notifications, the biggest turn-off was when the message didn’t reflect their wants and needs.
Clearly, marketers are getting greedy by pushing out their own agendas rather than listening to their customers’ needs. Blasting one-size-fits-all promotions and offers to groups or segments of consumers is not how you build relationships. Rather, it’s how you alienate and reveal how little you actually care about them as an individual.
Conversations, along with meaningful questions and answers, are heard and absorbed. This is how human relationships are created.
You have to really listen
Relationship marketing is about listening and providing value that goes beyond the transaction. Whether you are selling a car to people once every 10 years, or a cup of coffee to them every day, you need to treat your customers as individuals, whether they are an unknown consumer or loyal brand advocate.
Starbucks, a Cheetah Digital client, is an excellent example of personalising the brand experience from first touch. You can’t get a coffee without them asking your name, resulting in “Grande latte for Sue” being belted out for all to hear. Stage two is the “known consumer,” where Sue provides an email, mobile number or downloads the Starbucks app.
Stage three is the “engaged consumer” where Sue uses the app, providing a deluge of rich, personal information that then informs the ever-increasingly intelligent next-gen personalisation engine. Stage four is the “loyal customer” who gets added value via personalised offers, dynamic messages and even moments that surprise and delight resulting in recurring revenue and a clear customer lifetime value.
The technology exists today for marketers to start listening at scale, to start understanding audiences deeper than only at a segment level and then to deliver rich, truly personalised experiences across all marketing channels. Much like they would interact with a good friend or their favourite bartender, brand marketers need to strive to build relationships rather than to persuade and demand action from their audiences.
Anyone who thinks third-party data and advertising will continue to be the answer should download the Cheetah Digital Consumer Trends Index and consider over 100 insights such as this nugget – 35 per cent of consumers feel frustrated when they receive messages or ads based on information they didn’t provide directly to the brand.
About the author: Tim Glomb is VP, content and data, at Cheetah Digital.
