Adaptive Marketing and Personalization
The world is currently moving though one of the greatest cultural shifts as technology improves and the rise of social media continues to immerse itself within our daily lives. The marketing industry is becoming much more challenging as the consumer continually gains more power in the purchasing process. To reach the customer and receive his or her purchase, marketers must build a personal experience. In their research, Chung, T. S., Wedel, M. and Rust R. T. (2015) conclude “that mobile automated adaptive personalization systems that take advantage of social networks may be a promising approach to making personalization more effective” (p. 66).
I agree with the research conducted by Chung, et al. Brands must build relationships with their consumers. A powerful tool to gain the consumers trust is to use their personal network. Consumers rely on word of mouth and the reviews provided by family and close friends. Brands that are able to utilize new technology and the networks of their consumers will gain a significant advantage in attracting attention and sales.
One area of technological advancement that businesses are currently testing is the field of big data. With advancement in data tracking, sorting and analytics, companies are able to learn a substantial amount about their consumer’s personal lives. The information we as consumers give to businesses through online research, in-store purchases, social media and more provides them with personal content they can utilize to market against our wants. Chung et al., discuss in their article “Adaptive Personalization Using Social Networks” (Journal of the Academy of Marketing Science, Vol. 44, p. 66-87) how adaptive personalization systems, or products that adapt and change based on what is observed about the customer’s behavior over time, heavily influence the usage of products or services.
The article continues to focus on the connection between adaptive personalization systems and online information sources, such as news apps. By testing many different applications that incorporate social networks into online news consumption, the researchers were able to conclude that the “popularity of a news article within a social network is likely to be more influential than the popularity of a news article among the general public” (p. 71).
Although the article focuses on the news applications that use adaptive personalization systems, I believe these systems have the ability to extend to an extensive group of everyday applications. People want to constantly be connected to their network, and what interests an individual’s peers carries heavy influence on the individual’s own interests. All businesses must be working to incorporate personalization systems into their brand(s), either directly through their products and services or indirectly through company communication and outreach.
We as marketers must realize that the consumer attention is always on the move. No longer can a company solely rely on television ads and email marketing. Currently, attention is given to Snapchat, Twitter, Instagram, influencers and more. It is ironic how a chief marketing officer will push for more television or radio advertisements only to drive home using a music platform such as Spotify and then watch Netflix which has no commercials. Tradition is what destroys companies. One must continually adapt and test new ways to reach the customer.
One way to ensure a solid grasp on consumer attention is to utilize social media platforms to create adaptive personalization content. It has been proven that adaptive platforms are encouraged by the consumer and provides them with content that they believe is relevant and interesting. One must be creative and innovative when brainstorming ways to implement such technologies into their products, services and content.
The power of the consumer within the purchasing process has reached an all time high. To gain trust and sales, companies must map the network of individual consumers and utilize these networks to promote certain products or services.
Bryan Carroll is an undergraduate student at the University of Wisconsin-Madison majoring in marketing and finance. Bryan has a passion for micro-content and video content marketing.