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Consumers who frequently purchase goods and services over the Internet are more likely to spend more money at web sites that offer personalization, according to survey findings released today by the Personalization Consortium.
Consumers who frequently purchase goods and services over the Internet are more likely to spend more money at web sites that offer personalization, according to survey findings released today by the Personalization Consortium. The survey, conducted by Cyber Dialogue, found 56% of respondents said they are more likely to purchase from a site that allows personalization, and 63% are more likely to register at a site that allows personalization or content customization. The implication for on-line sellers is that the most desirable customers increasingly want to receive improved service or relevant benefits from web sites that can remember their personal information and subsequently tailor that information to their personal needs and interests, the consortium said.
“Online marketing has now entered a stage where personalization is the rule, not the exception,” said Don Peppers of Peppers and Rogers Group, co-chair of the Personalization Consortium. “Savvy marketers will need to provide consumers the convenience of customization, show consumers its benefits, and earn the consumers’ trust by carefully guarding all their personalized data.” The group surveyed 512 consumers who have been online more than 2 years and who have made at least one purchase in the last year.
Other significant findings in the new survey include:
Usability drives consumers’ demand for personalization
87% of people surveyed are annoyed when a site asks for the same information more than once.
82% are willing to provide such personal information as gender, age and ethnicity if the site will remember their preferences and personal information.
Consumers who personalize are more valuable
28% of personalizers spent more than $2,000 online last year; compared to only 17% of the non-personalizers
21% of personalizers pay for online subscriptions, vs. only 11% of the non-personalizers.
Online purchasers are likely to take charge to protect their privacy
84% have refused to provide information at a web site because they were not sure how that information would be used.
Founded in April 2000, the Personalization Consortium is an advocacy group of companies “formed to promote the responsible and beneficial use of technology for personalizing consumer and business relationships,” the group says.