Cutting prices, attracting customers with discounts and loyalty rewards are a thing of the past. Today's consumer is looking for something different. And they treat markdowns as… a decline in product quality. What does an effective campaign look like?
The "era of loyalty" in marketing is fading. According to recent Kantar Retail research, fewer and fewer consumers are loyal to a specific brand. As Accenture reports, many brands in the United States are losing millions in revenue through poorly targeted campaigns.
Focus on message relevance:
We need a new definition of relevance in a campaign. Let's recall Abraham Maslow and the "hierarchy of needs" he created - first published in 1943. Maslow sought to map people's psychological needs and motivations. It is also a model worth reconsidering in the traditional four aspects of marketing: product, price, place and promotion. Combining the customer's psychological needs with the marketing directed at them in a campaign will increase a company's revenue.
There is no single type of customer. Their model is a combination of different characteristics that change over months and years. Each need changes depending on time and context. Thanks to today's technologies, companies now have the ability to notice and respond to these fluctuations. Customers increasingly expect this from all companies.
To succeed, companies should expand their thinking. The strategy should incorporate: purpose, pride, partnership, protection and personalization. Marketing personalization of Maslow's needs enables companies to best reach the customer.
Here is what the extension brings:
Purpose: Customers feel that the company shares their values.
Pride: Customers feel proud and inspired to use the company's products and services.
Partnership: Customers understand the company and collaborate well with it.
Protection: Customers feel safe when doing business with the company.
Personalization: Customers have feelings associated with the company.
