The McKinsey article, "What is personalization?", explores the multifaceted concept of personalisation in marketing, highlighting its significant benefits for businesses, such as reduced acquisition costs and increased revenue.
It delves into customer expectations for personalised experiences, noting both their desire for relevance and their frustration with irrelevant or "creepy" interactions.
The text then outlines practical strategies for companies to implement and scale personalization effectively, emphasising the importance of data foundations, customer segmentation, and agile team structures.
Finally, it looks ahead to future shifts in personalization, including the "digitisation" of physical spaces and the scaling of empathy through advanced analytics.