Trend 2

Real-time personalization boosts customer lifetime value

Build real-time personalization into your marketing and support stacks in order to grow customer loyalty and long-term value.

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Our take

Brands and consumers agree: personalization is essential. When leveraged well, precisely, and in real time, personalization delivers a better customer experience, changes consumer behavior, and builds loyalty. The result? Steadily increasing customer lifetime value (LTV). However, there is still a gap between what consumers and brands perceive as good personalization.

At its core, this is about how brands move beyond personalization itself and truly individualize customer engagement experiences — not just personalized product offers, but an end-to-end experience that is tailored to the individual.

Customer expectations around personalization are changing rapidly. What they considered “good” before 2020 no longer suffices. As consumer brands transition to a world where they are now direct-to-consumer (D2C) companies, bypassing retailers and other middlemen, a deep understanding of customers is essential.

Focusing on customer retention and loyalty is a smart way of doing more with less in a challenging economy.

91% of brands report that they often or always personalize engagement with consumers. Just 56% of consumers agree.

Personalization gaps persist globally

Brands generally believe they’re doing a good job at personalization, but consumers have a different view, reporting a much lower rate of personalization among the brands they do business with. We call this the “personalization gap.” The largest personalization experience gaps between brands and consumers are in Singapore (44 percentage point gap), Italy (42 percentage points), Japan (41 percentage points), and Australia (40 percentage points). The global average gap is 27 percentage points.

Brazil had the smallest personalization gap, of just 3 percentage points between brands and consumers.

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of consumers say they will spend more on a brand that personalizes experiences.
of brands claim they provide ‘excellent’ personalized experiences to consumers. of consumers agree.
of consumers say that personalized experiences increase their loyalty to specific brands.
An average of more is spent by all consumers on brands that personalize compared with those that don’t.

Brand Spotlight


Zenyum simplifies dental care and builds lasting relationships

Zenyum takes pride in making everyday oral care more enjoyable and attainable. To ensure reliable communication and a personalized customer experience, Zenyum uses Twilio's Customer Engagement Platform, powered by Twilio Segment.

With Twilio Segment, a customer’s purchases and e-commerce history with Zenyum is added to a customer profile, stored and accessible in one place for Zenyum’s teams to access. By capturing first-party customer data, Zenyum can provide more tailored experiences across online and offline interactions, such as recommending products related to a customer’s interests or needs, enabling them to truly engage with customers at every touchpoint.

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2023 State of Customer Engagement Report

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