Adopting personalization in 2023
Adopting personalization in 2023 is a crucial part of the customer experience in the
luxury jewellery industry.
Many luxury jewellery brands have adopted personalization. If you want to know how
brands are doing it check this blog.
However, not many are doing it correctly.
In this blog, we will discuss five common mistakes luxury jewellery brands are
making while Adopting personalization in 2023.
We will also discuss certain statistics, use cases, and success stories alongside.
So then, let us begin without any further delay.
Here are 5 common mistakes Luxury Jewellery Brands are Making in their personalization adoption journey.Avoid these common mistakes while adopting personalization in 2023. Learn from the experts at KiXR and maximize your success.
1. Treat every customer as a separate segment
First things first. To begin with, one of the most common mistakes luxury jewellery brands make is not leveraging customer data.
Research reveals that more than half of the brands lack customer data.
No points for guessing. Customer data is a crucial piece of the personalization puzzle.
Brands need to track, record and recognise customers' preferences, needs, and behaviors. The best technology stack can personalize experiences up to a certain extent. If personalization is integrated with consumer’s preferences, likes, attributes etc personalization can be further personalized at an all new level.
Sounds complicated? Not after you spend 2-3 minutes reading this blog.
According to a study by Epsilon, 80% of consumers are more likely to do business with a company that provides a personalized experience.
Therefore, brands that lack customer data are missing out on the opportunity to provide meaningful personalization experiences.
Brands need to understand that even within the sub-set of personalization customer data helps AI/ML models to recommend options.
One successful example of a brand that has collected customer data effectively is Tiffany & Co. The brand collects customer data through its "My Tiffany" program. The program allows customers to create wishlists and save their favorite items.
Now Tiffany & Co. uses these data points to create a customer persona. These personas help the brand offer “Personalized personalization experiences”.
2. Too much focus on Technology
Secondly, Brands need to answer a question during their journey with personalization.
“How much technology is too much technology?”
Since, this is another common mistake luxury jewellery brands are making while Adopting personalization in 2023. Technology helps brands collect and analyze customer data. However, it should not replace human interaction and personalized service.
According to a study by Salesforce, 54% of consumers believe that companies need to fundamentally transform how they engage and interact with them.
This means that brands need to provide personalized experiences that go beyond technology.
Brands need to understand that personalization is a feeling. Technology is just an enabler.
One successful example of a brand that has balanced technology and human interaction effectively is Cartier.
The brand offers a "Cartier Care" program that provides personalized services to its customers. Some examples are free engraving, repair services, and personalized recommendations.
This has allowed Cartier to provide a high level of personalized service while still leveraging technology to collect and analyze customer data.
3. Let creativity prevail
Third, many luxury jewellery brands aren’t being creative
No technology on the planet can ever replace creativity. Don’t you agree with this?
Personalization is beyond just adding a customer's name or initials to a piece of jewellery.
Brands need to be creative. They need to offer unique and personalized experiences to their customers.
This means that brands need to provide personalized experiences that go beyond technology.
Brands need to understand that personalization is a feeling. Technology is just an enabler.
According to a study by Accenture, 44% of customers are more likely to purchase from a retailer that provides personalized recommendations.
Therefore, brands that lack creativity are missing out on the opportunity to increase customer engagement and loyalty.
One successful example of a brand that has been creative in its personalization efforts is Boucheron.
The brand offers a "Clair de Lune" collection, which allows customers to choose the stones and metals that make up the piece of jewellery.
This provides a truly unique and personalized experience to the customer.
4. Omni-Channel Experience
Fourthly, a common mistake luxury jewellery brands are making while adopting personalization is the lack of consistency.
“How much technology is too much technology?”
Personalization should be consistent across all touchpoints like web, mobile, social media to in-store experiences.
Brands need to ensure that the personalized experiences they offer are seamless and consistent.
According to a study by Segment, personalized experiences can increase customer loyalty by 44%.
Therefore, brands that lack consistency in their personalization efforts are largely missing out more than what they are gaining.
One successful example of a brand that has been consistent in its personalization efforts is Van Cleef & Arpels.
The brand offers a "L'Arche de Noé" collection. They allow customers to choose the animals that make up the piece of jewellery.
This personalized experience is consistent across all touchpoints, from online to in-store experiences.
5. The right expectation setting
Lastly, there are many factors that make the personalization experience transparent.
For e.g. It is important for brands to offer dynamic pricing. In many nations the prices of Gold change on a daily basis.
Now what if I personalized something today and kept it in my wishlist. I get dynamic pricing. That’s great. What if I end up buying it 15 days later? Will the price of the article change?
Other factors like slight expectation mis-match between the physical product and the digital product might also go a long way.
Luxury jewellery brands need a strong consumer awareness policy throughout his/her initial customization journeys.
Want to keep yourself updated about everything related to use of Augmented Reality/ Virtual Reality/ Metaverse in the Luxury Jewellery industry?
Kavita has been adept at execution across start-ups since 2004. At KiKsAR Technologies, focusing on creating real life like shopping experiences for apparel and wearable accessories using AI, AR and 3D modeling