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Personalizing for Relevance: How AI is Transforming Customer Experiences

Woman with gray hair having a personalized customer experience on her computer thanks to help from AI

We’re continuing to see the many powerful applications for AI. Along with potentially useful creative tools, AI excels at data collection and parsing. Now, we’re seeing that algorithmic power combine with marketing expertise to create a personalized and relevant customer experiences for small businesses. Rosewood will explain what personalization and relevance in marketing are, and how AI is a powerful tool for a marketing team to create personally relevant marketing for any customer or client experiences.

Personalization, Relevancy, and AI in Marketing

Personalization has been a major tool in marketing for over a decade. It emphasizes marketing that communicates personally to the individual members of your audience over broader, more general marketing campaigns that lack a specific target. While this might include one-off custom communications or exchanges, it can also be automated. For example, emails or messages can automatically address receivers by their first names. 

Overall, customers have come to expect personalized experiences that respect their individuality and interests. At least 71% of customers expect a personalized experience, and a greater 76% are frustrated when they don’t have one. Personalization has also demonstrated an average 10-15% revenue lift, which increases to 25% for direct to consumer businesses. These individualized experiences create stronger personal connections, which lead to more customers and clients returning for more purchases and services. This is where small businesses can excel over larger companies that typically provide more generalized customer experiences.

Thanks to AI, more complex and valuable data can be gathered from users to create even more personalized marketing that is relevant to customers’ interests and experiences. This is why relevancy has become an essential marketing criterion alongside personalization. These algorithms and AI automations can consider browsing history, page time, social media data, and more. Marketers can then use this information and tell these programs how to generate product recommendations, personalized notifications, curated packages, communications, and more. These AI help your business understand the true, individual interests of each of your customers so that any marketing that reaches them is relevant.  

Where AI Can Help with Personalization and Relevancy

As we’ve covered before, AI is a general term. It’s recently become the common title for various programs which can learn from data to accomplish more complex tasks. For personalized and relevant marketing, these AI can sift through an overwhelming amount of user information that would take far more time for a human. That’s why AI is a powerful tool for small businesses who usually won’t be able to dedicate a person to poring through this information. Instead, AI is a valuable tool for your marketing team to build effective strategies for relevant marketing campaigns. We’ll go over some of the most effective uses of AI in personalized marketing.

E-Commerce Tracking

When customers are on your website or digital store, AI software can track what they browse and for how long. It will also track any purchases, wishlisting, shares, etc. This tracking isn’t especially new, but more developments in machine learning allow AI to start grouping and interpreting the data. All that behavioral information from many customers, allows an AI to develop customer groups and profiles according to their interests and various other demographics like age and area. These can then be used for a plethora of personalized and relevant marketing strategies.

Relevant Email Marketing

With this detailed profile generation, AI can then begin to automatically message subscribed customers about product recommendations or send communications that are more relevant to their interests. This will still require a human to create and design the message and templates. However, the AI can take over the busy work of adding appropriate products and sending the emails off. 

Your marketing team can also use these AI-generated profiles to analyze your audience and segment your email recipients to start creating emails more relevant to each group’s interests. This will lead to more opens and clicks, since they will better grab your audience’s attention. Again, AI can’t quite handle the creation process itself. Human expertise is still necessary for effective personalized marketing.

Personalized Website Customer Experiences

By tracking their ecommerce behavior, AI incorporated into your site can start to tailor customers’ website experience to be more relevant. Products listed on the front page or recommended to them at other browsing stages can be specified to their personal interests. This keeps them in your store and more likely to purchase, since they will continue to see what is relevant to their interests in your business.

Personalized Chatbots

Customer service is an important part of your daily, individualized marketing, and instant messaging through your website, social media, and SMS has become a fundamental customer service tool. Those messages can also be overwhelming and chatbots can help manage the flood. However, they are also often robotic and simple. Current advances in AI famously happening with Chat-GPT and Google Bard are allowing chat bots to accomplish more complex tasks and communications. They can address the customer by name, and even potentially pull up their profile’s information. They aren’t quite at the level of replacing a human’s social finesse or able to handle more complex inquiries. However, they have made great strides where simple interactions can be accomplished entirely automatically for a pleasant and personalized customer experience.

Don’t Forget About Human Expertise

AI technology is currently surging in its development and it’s still hard to see where it will end up in the coming months and years. It’s already showing it’s a powerful tool for personalized marketing, but don’t let it completely override the human touch of your business either. Ultimately, personalized connections are human ones, and customers want that human connection with your business. Similarly, AI is still limited in its abilities. Analyzing information, writing messages, creating visual content, and more still require human ingenuity and expertise. If you want to talk more about how you can strategize and incorporate AI into your digital marketing, ecommerce, or web design, be sure to contact Rosewood Marketing.

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The Rise of Social Commerce: How Brands Can Leverage Social Media to Drive Sales

Person holding a phone, engaging in social commerce as it drives sales

Social media has become an essential marketing tool for growing your business’ reach and reputation. However, another one of social media’s goals, like other marketing, is to convert that attention into sales. One of the best tools for accomplishing that is ‘Social Commerce’, where products are sold directly on social media. We’ll explain what social commerce is and how you can leverage social media to drive sales.

What is Social Commerce?

Social commerce is selling products directly through a social media platform. Product discovery, selection, and checkout all occur on the platform rather than redirecting individuals to your own store. It’s a service that is now available on most major social media platforms, including Instagram, Facebook, and TikTok. For all three, you create product listings that appear in a shop on your account. Users can then browse and order products directly through the app. In exchange for offering the service, the platform takes a percentage of the sale as a fee. 

The Benefits of Social Commerce

Social commerce is different from eCommerce which happens on a business’ own dedicated website or online store. As a result, you have slightly less control over the presentation, and it requires creating a store dedicated to the platform. However, there are clear benefits to using social commerce to drive sales. 

People Use Social Media to Shop

Over 80% of users research products using social media and nearly half of both Millennials and Gen Z are already making purchases on social media. Social commerce immediately drives sales because you provide a shopping experience for these many users precisely when they are actively searching for or considering products. 

A Seamless Shopping Experience

That immediacy and convenience also translate into an effective shopping experience that helps further drive sales. Social commerce provides the opportunity for a potential customer to immediately purchase upon discovering a product they like. This creates a more streamlined shopping experience. Rather than leaving the app, navigating to the product on your digital store, adding it to their cart, and filling in their information to complete their purchase, the user can immediately checkout and continue their browsing. The eCommerce checkout can be a moment where carts are abandoned and sales lost. The speedy and seamless shopping experience of social commerce means there are fewer chances to lose the customer’s attention and that purchase.

A More Thorough Representation of Your Business on Social

Another benefit of social commerce is that you can better showcase the products that your company provides on social media. You could make posts for every product you sell, and you should highlight new items, but these inherently move down the feed as time progresses. Those ever-drifting posts aren’t an effective way to continuously show off your entire catalogue. Instead, the dedicated storefront of a social commerce space on your profile allows social media users to conveniently get a better sense of your products and services without needing to leave the app. 

Shopping That Reaches Your Audience

Social media platforms have an incredible amount of user data at their disposal. With social commerce, you can use that data to promote specific products to those whom the platform knows to have certain interests. Because of the wealth of data available, these product suggestions can be highly specific. For example, one product might suit a certain demographic like men in their 40s, while another suits young adult women. Each can be selectively targeted on social commerce to users in those demographics. Specific product suggestions of this specificity on your own eCommerce store need a shopping history and will take time to generate. Social commerce allows you to specifically tailor such suggestions and promotions from the start.

Social Commerce Isn’t the End of eCommerce

Social commerce has clear benefits for driving sales, but it doesn’t replace eCommerce and having a dedicated digital store and website. It’s an addition and effective supplement to your eCommerce strategy. Ultimately, the goal is to drive sales away from social media platforms, which take a 2-5% cut, to shopping and browsing on your own digital storefront. There customers can browse and better familiarize themselves with your products in a space that is exclusively dedicated to them. Social commerce’s strength is in getting new customers as they are generally browsing and securing that initial sale. That sale then converts someone into a dedicated customer when they understand the quality of your products. 

Making the Most of Social Commerce

Social commerce’s ability to convert and drive sales lies in the shopping convenience it creates for those actively browsing. It’s a valuable tool for attracting and recapturing dedicated customers. If you think social commerce is part of your next social media strategy, contact us at Rosewood. We’ll be happy to help you expand your eCommerce horizons. 

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Google Ads Are Great for Small Business

Google building hosting ads great for small business

It’s a misconception that the monolithic online advertising platform of Google Ads is only for large businesses. Google Ads provides a platform that is actually advantageous for small businesses to grow their reach and brand discoverability. Scalability, precise targeting, and detailed reports make Google Ads great for small business. If you’re curious how, keep reading.  

Budgeting that Scales

Scalability is one of the central reasons Google Ads is perfect for large and small businesses alike. Google Ads doesn’t require running a full marketing platform of every kind of campaign with a massive budget. Instead, small businesses can start with a single targeted campaign and expand as you determine what methods are successful. After that, it is easy to scale up and down as needed. This is great for small businesses who occasionally have product or service launches, special promotions, or more active seasonal periods. Google Ads makes it easy to run those additional campaigns at the appropriate times and scale back to more standard ads when its timely.

Pay Per Click Model is Great for Small Businesses

Google Ads run on a pay or cost per click model, i.e., a business only pays for each click on the ad. The rates for these ads are according to the search terms set for the ad. More popular key terms will have a higher fee than those searched less frequently. This is great for small businesses because they often operate in a niche, meaning their ad key terms can be more focused and cheaper. Furthermore, you will only be paying for the ads that are working, meaning an ad’s cost is directly relational to its performance.

Targeting Locality

Today, many small businesses benefit from online sales, but they still rely largely on local customers and clients. This makes Google Ads especially great for small businesses. Over 46% of Google searches are for local information. This means nearly half the searches made by those near your small business are providing ideal advertising opportunities. With Google’s Geotargeting, you can define your ads to appear specifically in searches made in the area around your business. Google’s detailed metrics even allows you to target certain demographics within those locals. Overall, Google Ads are great for increasing your business’ local presence and discoverability.

Customizability where Ads Appear

Google Ads can appear in Google searches, shopping suggestions at the top, maps, Play apps, and partner websites. This provides a small business with a wide assortment of places to put their ads. These further allow a business to target a specific demographic or potential client. For example, product-based businesses can have their products appear at the top of any search as a shopping suggestion, increasing your business’ discoverability as a shopping option.

Clear Metrics and Transparent Results for Small Businesses

Google provides thorough and clear statistics and reports for any ads and campaigns you run. These statistics will indicate which leads generate clicks, where ads are most effective, and what kind of ads people respond to. For small businesses that will be creating fewer and more targeted ads, this provides immensely valuable information for tracking performance and selecting and creating the most effective ads. Those metrics also include detailed budget tracking that is highly beneficial for small businesses. These clearly show the ROI of each ad and campaign so you can properly scale and allocate your advertising budget appropriately.

Great Feedback for Small Business SEO

Advertising tends to provide more immediate results for determining what generates clicks and visits to your business’ website than building up its search engine optimization (SEO). Smaller businesses tend to add pages slower to their websites, since they inherently have a smaller content production pipeline. This can make optimizing search engine performance a lengthier process for a small business. However, SEO is vital for the performance of your business’ website in searches and growing your brand’s discoverability. The performance metrics from Google Ads are great for a small business to determine what potential customers or clients are interested in, helping you tailor your site’s content to organically appear more often in their searches.  

Getting Started with Google Ads

Hopefully this short list of key features of Google Ads makes it clear how the platform is great for small businesses. It’s scalability, local functionality, diverse tool set, and detailed reporting make it ideal for small business advertising. Want to start growing your business’ discoverability with Google Ads? Contact Rosewood and ask about our Google Ad services to help you get you started!

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