What is One to One Marketing? Concrete methods & 3 successful examples of domestic companies

One-to-one marketing is currently attracting attention, in which communication is tailored to the needs and purchase history of each prospective customer.

In addition to being able to efficiently approach prospective customers , you can deliver information that suits each individual. Since targeting is based on data, it is compatible with digital and can be expected to be highly effective while keeping costs down.

This time, we will introduce the expected effects of One to One marketing, typical methods, and success stories.

Marketing

Table of Contents

What is One to One Marketing?

One to One marketing is a marketing method that communicates according to the needs and purchase history of each prospective customer .

In the past, the mainstream method was to increase awareness of new products by using TV commercials and magazine advertisements. If you want to sell a large amount of the same product, mass marketing that conveys the same information to an unspecified number of people is suitable.

Therefore, it became necessary to narrow down prospective customers based on their interests and purchase history. Communicating with prospective customers with more optimal content and frequency makes it easier to lead to purchases. One to One marketing can be started at a lower cost compared to mass marketing, so it is a method that is easy to introduce even for businesses with limited budgets.

Three Effects of One to One Marketing

Three Effects of One to One Marketing

By conducting one-to-one marketing and delivering information tailored to each individual, three effects can be expected.

  • Improving conversion rates
  • Increase in unit price per customer
  • Improvement of usage period and frequency

Let’s take a closer look at the specifics below.

Improving conversion rates

You can increase interest in products and services by receiving information that prospective customers are interested in.

Increase in unit price per customer

One to One marketing leverages data for segmentation. By presenting useful information to each individual in a timely manner, you can expect an improvement in the unit price per customer.

Improvement of usage period and frequency

By implementing sales promotion measures such as sending coupons to dormant customers who have made purchases in the past, it is possible to reinvigorate purchase motivation.

Elements necessary for realizing One to One marketing

Elements necessary for realizing One to One marketing

Customer data is essential for one-to-one marketing.

In addition to activity history and user registration information on the website, purchase history and questionnaire information are also included.

Furthermore, in order to utilize these data, it is necessary to incorporate technologies such as MA (marketing automation) tools and web service tools.

“Scenarios” are indispensable for utilizing MA tools and web service tools. It is important to prepare scenarios based on pre-designed “personas” and “customer journeys”.
[What is Persona? ]

By embodying a concrete image of the person who will use the product or service, we will clarify the customer’s needs and make it easier to share the image within the company.

[What is a customer journey? ]

It is a chronological representation of the thoughts and actions of the set persona until they purchase and use a product or service. By visualizing the movement of personas, you can discover important customer contact points and help implement appropriate measures.

What are the most popular methods of one-to-one marketing?

Here are four representative methods that are actually used in One to One marketing.

  1. retargeting ads
  2. Recommendation
  3. direct mail

1. Retargeting ads

Web advertisements distributed to accounts that have browsing history of the company’s website are called “retargeting advertisements”. For example, it is a method that can repeatedly appeal products by distributing advertisements of A on another news site to accounts that have viewed the product page A of the company.

2. Recommendation

Recommendation is a method of displaying information that is considered to be suitable for the user’s interests and preferences by analyzing past browsing history and purchase history.

3. Direct mail

One to One marketing is actually a field that many companies are already working on. Direct mail, which is promotional printed matter or e-mail sent to individuals, is a typical example. In the past, simultaneous distribution and delivery was the mainstream. However, with the advancement of technology, it is now possible to distribute and deliver individual optimized direct mail.

One to One Marketing Success Stories

One to One Marketing Success Stories

From here, we will take up three examples of domestic companies that have succeeded in one-to-one marketing. Pay attention to [how you narrowed down your target] and [what kind of information you delivered].

Setagaya Shizen Shokuhin Realizes One-to-One Marketing with Fine-tuned Email Delivery

Setagaya Natural Foods, which is known for its health foods, has introduced the MA tool “Aimstar” to send emails to existing customers. Since the company’s business model is based on regular sales, it is possible to segment by purchased products and demographic information for the customer list held. These data are used to deliver emails that match customer interests and timing.

In addition, we obtain data such as whether customers who saw the email clicked on the link and actually made a purchase. By analyzing this with the MA tool, it is useful for evaluating and improving measures.

There are two main advantages of MA tools. One is that we were able to cut the work that was done manually by about half . The other is that it is now possible to deliver birthday emails and step emails, which were technically and laboriously difficult until now. The company is now able to use the time it used to spend working to improve its creative.

Dinos Cecile who improved the purchase rate by using direct mail to prevent abandoned carts

Dinos Cecile, a major mail-order company, is implementing one-to-one marketing using paper direct mail. The state of leaving products in the shopping cart (cart) on an EC site is called “cart abandonment”. The company is effective in such situations by sending direct mail.

This is to extract cart abandonment information and print and ship the contents of the items in the cart within 24 hours at the shortest. The point is that the items in the cart of Mr. A and the items in the cart of Mr. B are different, so the print contents are different for each person.

This is achieved using digital printing. Customers who receive direct mail are nearly 20% more likely to purchase than those who do not.

Through this initiative, the company won the 33rd Grand Prix at the All Japan DM Awards sponsored by Japan Post.

Nikkei Shimbun Optimizes Sales Activities by Coordinating CRM and MA Tools

Nikkei Inc. sells information services such as “Nikkei Telecom”. However, each product had its own department, and it was difficult to conduct cross-product marketing.

As a solution, the company chose to link the MA tool “Pardot” to the customer management system Salesforce CRM “Sales Cloud” in operation. This makes it possible to conduct marketing that utilizes customer attribute information and behavior history.

After segmenting the customer list by occupation, the company distributes emails with optimized content to prospective customers, leading to downloads of white papers. In addition, after segmenting by customer information and contract information, we send emails about content that is likely to be of interest to prospective customers. By automating the parts that used to be done manually, we were able to optimize sales activities.

Communicate with each prospect individually

One-to-one marketing is a method of communicating with each prospective customer individually. By utilizing MA tools and online customer service tools, it is possible to “narrow down data according to needs and purchase history,” which was not possible in the past, and provide useful information to prospective customers, which increases the conversion rate and average customer spend. You can expect it.

By introducing MA tools, etc., you can easily start issuing separate messages and individual coupons that are difficult to do manually. In other words, it is possible to reduce human error and reduce the burden on the person in charge, and at the same time realize communication tailored to each customer.

First of all, let’s organize the data held by the company and the mechanism to acquire new data at the same time. While preparing for data utilization, why not consider practicing communication tailored to each prospective customer?

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