Monday, October 27, 2014

One Scary Stat that Proves the Importance of Preference Management

We’ve spent a lot of time in this space talking about preventing opt-outs through preference management - the active collection, maintenance and distribution of unique consumer characteristics, such as product interest, communication channel preference and frequency of communication.

And rightly so. Anytime a customer chooses to remove themselves from all future communications – the so-called “atomic opt-out” – they are likely gone forever and represent a dangerous erosion of the prospect pool.

To avoid this, we work with companies to provide opt-down functionality that empowers customers to narrow their focus and ensure that the content they receive is timely, relevant and delivered through the appropriate channel.

The importance of preference management was driven home for me yet again when I stumbled across a surprising statistic: a recent study from the International Customer Management Institute found that 49 percent of consumers reported they would be willing to move to a competitor who provides the same product or service but in their preferred channel1.

Same product.

Same service.

The only distinction that, according to recent research, would move roughly half of all consumers from one company to the next is whether or not that company serves their channel of choice.

It’s a remarkable finding and one that underscores just how high the expectations are for personalization. Kudos to the companies that already have preference management functionality in place and find this stat to be a confirmation instead of a wake-up call.







About the Author: 
Eric V. Holtzclaw is  Chief Strategist  of PossibleNOW. He's a researcher, writer, serial entrepreneur and challenger-of-conventional wisdom. His book with Wiley Publishing on consumer behavior - Laddering: Unlocking the Potential of Consumer Behavior - hit bookstores last summer. Eric helps strategically guide companies with the implementation of enterprise-wide preference management solutions.

Follow me on Twitter: @eholtzclaw | Connect on LinkedIn: Eric Holtzclaw

No comments:

Post a Comment