Why Should Brands Start Personalizing?
Personalization is transforming brands. As consumers crave making their voice heard online, they want to feel the same kind of power and participation in the tangible products they buy online or in-store. Personalization and customization options are giving brands the tools to hand off to their customers, allowing their end-users to feel like they are part of the process–like they had a hand in their product or package creation.
Once we understand just how important it is to consumers to feel a personal connection to the brands they buy, the statistics on personalization are not shocking: online personalized products typically command three times the price of same standardized, un-personalized products purchased in-store. Personalization gives the consumers the feeling of being in charge of their products…a sense of stewardship that increases sales for both first-time consumers and repeat consumers, gives a reason for consumers to evangelize, and improves loyalty to the brand.
Why the excitement surrounding personalization? Here are a few reasons that consumers are crazy for customizable products…and why brands are chomping at the bit to deliver those goods:
- One Size Does Not Fit All – The kind of package or product design that speaks to Mary may not speak to Kevin. Customization provides brands a way to move across demographic preferences like age, gender, race, and geography in an effort to make their product relevant to people of all aesthetic preferences.
- Personalization Engages Consumers – By allowing products or packages to be personalized, a brand is involving the consumer in the product–engaging them to really take ownership in a product or package that will be theirs.
- Engagement Grows Brand Loyalty – When consumers feel engaged, they feel proud of their purchases, leading to increased purchases down the road.
- Evangelists Create Brand Excitement – In addition to creating an environment where consumers want to buy more from your brand, more often, these same people have a tendency to talk to others about positive experiences they have with brands. As much as each consumer wants to keep a piece of a brand to themselves, they don’t need to when products or packages are personalized uniquely to them–they can evangelize for your brand, knowing their particular product is as special to them as a completely differently customized product from your brand will be to their friends.
- Consumers Happily Pay a Premium – Studies indicate that, not only are consumers ready to have a hand in their product and packaging creation, but that they are willing to pay 30% more on average for products they’ve been able to customize.
So you’ve read the material and you know your brand should start working with some kind of customizable product or package. But where do you begin? Here are some key considerations for anyone who would like to see their brand move toward personalization:
- Product Selection: Analyze your portfolio of products and determine which line could use a boost in sales and engagement.
- Method to Market: Determine if your product is better suited for personalization in the online or retail space.
- Supply Chain: How will you handle distribution? Will you have a license or partner relationship to manage?
- Budget: Determine a realistic budget that will help you reach your goals.
- Timeline: Create timeline to track your team’s progress and have regular check-ins to ensure a successful launch.
- Project Team: Make sure you have the right people in the room from the beginning: one rep from each participating department, as well as your supplier rep.
Often, the only thing holding brands back from customization opportunities are operational considerations such as this. This is why Sonder exists. We want to be your partner in operations and logistics to help alleviate any concerns in those areas, as well as to clear out obstacles on your path to product customization. If you’re thinking about getting personal with your products, get in touch with us to talk further or request personalized samples!