Customer loyalty is changing, isn’t it?

Customer loyalty has changed a lot over the past two years. During the economic and social crisis of the Covid-19 pandemic, consumers moved from valuing long-standing relationships with their favorite brands to focusing on price and availability above all else.

According to McKinsey data, 76% of consumers changed the store, brand or channel through which they purchased products in 2020 – a figure that shows with great relief what massive change the pandemic has brought to the retail industry. by retail.

However, after a period of uncertainty, the market is starting to settle. Customers have settled into the new way of doing things and, with the easing of restrictions and the return of freedoms, they are starting to turn to their favorite brands again.

What they want more than ever is a truly personal shopping experience.

Carlos Bravo, senior retail account manager for Simplus Australia, believes that, throughout the pandemic, first-party data capture has become an invaluable tool for retailers.

“Customers now expect suppliers, vendors and retailers to know who they are and what they are buying, and will use that information to personalize the shopping experience,” Bravo said.

“I think companies are starting to see that the fight for the customer is no longer around price, but around understanding.”

Personalizing a customer’s offer isn’t just helpful for them – according to McKinsey data, providing a personalized offer to customers also tends to increase revenue and retention rates by up to 15 percent, is up to 30 percent more effective at marketing, and increases customer acquisition rates by 3-5 percent.

According to Bravo, retailers have a responsibility to put customers at the center of everything they do and to capture, analyze and operationalize data to drive personalized experiences with their loyal customers.

This shouldn’t come as a surprise, however. McKinsey data shows that while 100% of top quartile retailers say omnichannel personalization is a top priority, only 15% have fully implemented systems to make it work.

And, according to Maloy Patnaik, Country Head of Consumer, Retail and Logistics at Infosys, the easiest and most cost-effective way to start personalizing your offering based on customer data from existing channels is to take advantage of customer relationship management software, such as Salesforce.

“Retailers already have access to a lot of information about their customers, but they are not able to use it effectively,” Patnaik said.

“What we can do [using Salesforce] is to bring in a client’s information and essentially create a client genome.

“This genome is basically all the information [the retailer] needs to understand their customer, and allows them to send highly personalized campaigns and targeted offers.

If you want information on how your business can better tailor its offering to customers, click here to contact Simplus Australia (an Infosys company).

Joseph P. Harris