Personalization at Scale: The Future of Retail Marketing with AI and Automation

Marketers are increasingly focused on delivering highly personalized experiences, leveraging data, AI, and marketing automation to tailor content, product recommendations, and offers based on individual preferences and behavior.

Proven tactics include tailoring messaging based on customer data like location and past purchases or browsing history, sending messages triggered by specific actions like abandoned carts or post-purchase follow-ups, segmentation of subscriber lists based on interests or engagement level, and more.

Among the industries leading the way in this effort are luxury fashion retailers, as well as a particular shoutout to other retailers like DSW, JCrew, Rent the Runway, Skechers, Men’s Wearhouse, and Ann Taylor.

Among other tactics gaining traction are frictionless retail experiences, such as Amazon’s Just Walk Out Technology, Uniqlo’s RFID tags, Scan & Go by Tesco and Asda, AI-powered drive-thru by McDonald’s, and click-and-collect services.

We expect these efforts will amplify in both volume and sophistication as brands seek new ways to offer personalized experiences across various platforms and touchpoints. Research from our Consumer Trends Index Report shows that 51% of consumers remain frustrated by irrelevant offers or content, while another 41% are upset when a brand does not recognize their wants and needs. However, 78% of consumers would engage with a brand more frequently if they received personalized emails and offers.

In response, winning retailers will be those who employ strategic personalization tactics like dynamic content tailored to individual customer preferences, behavioral triggers and personalized recommendations based on customer activity, segmenting subscriber lists for more targeted messaging, and personalized recommendations. That’s what consumers have come to expect, and what retailers need to deliver.

Mike Gordon

Chief Executive Officer