Preference Management: The 4 Things Marketers Should Know
How can marketers create better customer experiences through preference management?
As a marketer, the most coveted thing you want to protect is your marketable database. It’s no secret today that marketers are data-hungry. The more information about your customers you have, the better you can deliver content that will ultimately drive conversions and revenue. Enter preference management.
Brand loyalty is marketing’s sweet spot to generate revenue. Being able to target current customers with personalized cross-sell or upsell messaging using specific segments is a must. But with global privacy regulations in motion, many marketers see these laws as a hindrance that may reduce their marketable database.
For customers, privacy is top of mind along with having more control over their data. They want personalization—but also to know that a brand is looking out for their best interests. This is where preference management becomes a key strategy: you can show customers that you’re listening to what they want, while also respecting and protecting their privacy.
Here are four ways preference management can help you create a better, more personalized experience for your customer.
1 – Reduce Opt-Outs
One of the most common challenges for marketers is avoiding opt-outs and unsubscribes. Although you can’t control the behavior of customers, you can give them alternatives to a complete opt-out that can reduce the risk of them taking an irreversible unsubscribe action.
In traditional preference management, consumers typically have three options:
- Globally unsubscribe
- Report as spam
- Manage preferences
Without a preference management system in place, you can be one click away from a global unsubscribe or a place in the spam folder. Implementing a preference center means you can reduce the amount of global unsubscribes and spam reports. You’ll protect your marketable database and won’t lose out on the opportunity to contact your customer altogether.
2 – Put the User in the Driver’s Seat
Creating personalized experiences for consumers can build valuable brand loyalty by building trust with your audience. You demonstrate to them that you are listening to what they want and responding to their desires. Leveraging a preference management center lets you collect granular information about preferences in order to create the most targeted messaging.
In addition to providing options to avoid an opt-out, you’ll understand your consumer to the core and deliver to them when they want, what they want, and where they want.
Interests: Not every email you send will be relevant to every audience member. Let users self-segment and choose relevant products and content they want to hear about.
Frequency: A major contributor to unsubscribes is frequency fatigue – too many emails being sent. Give users control over how much they want to hear from you: daily, weekly, monthly, or quarterly.
Channels: Improve your user experience by meeting them where they want: email, mobile app, and/or SMS. Allow them to choose the channels through which they want to hear from you.
3 – Centralized Management
You communicate with your users across various channels, platforms, and business functions that may be siloed or not properly synced to each other. Without a centralized, single source of truth for consent and preferences, you risk disappointing your audience.
For example, the user may opt-out of product updates via one channel – say a webinar registration – but you make the unknowing mistake of continuing to send them messaging through another channel, like an email about a new product update several days later.
This is a fail when it comes to meeting user expectations. It ties a negative experience to your brand, doing the opposite of driving brand engagement and loyalty. Keeping a maintained central record of consent across all touchpoints lets you scale and maintain trust with your customer.
Centralized management of data is also valuable for helping marketers plan campaigns, have a consistent understanding of their addressable market over time, and demonstrate compliance with the least amount of effort and stress.
4 – Beyond Regulated Consent
More than ever, privacy is at the forefront of the consumer’s mind. Especially as complying with regulations like CASL, GDPR, CCPA, LGPD is key, along with meeting customer expectations around privacy and security.
With the list of ongoing privacy regulations, marketers can now leverage preference management to respect data privacy and build trust with customers. Unifying privacy and marketing meets the overall needs of consumers. Notably, they gain valuable trust knowing how their data is safely being used to build a relationship on their terms.
Preference Management and Trust Creates Loyal Customers
Preference management should be looked at as a tool to better understand your customer. At the end of the day, it’s about personal experience. It doesn’t have to be a complicated relationship with granular preferences in place.
The most valuable component to your work as a marketer is building trust with the customer through a better understanding of what they want.
To learn more about implementing your preference management strategy, connect with one of our team members at OneTrust PreferenceChoice.