In a previous post, we listed brands that excel in personalization. L2’s study on Data & Targeting finds that brands are failing to effectively target despite efforts to do so. Here are examples of poor data collection and usage practices:
Aéropostale is a prolific user of SMS messages, and that’s a good thing. While brands are just dipping their toes in mobile, Aéropostale has mastered frequent communication via messaging, sending on average one text a week to consumers (vs. the Index average of once every two weeks). And, the brand has incorporated data capture in its communication strategy; it asks consumer for their names, whether they are shopping for children, and if they are a new or returning customer. But Aéropostale fails to close the loop; it sends the same offer to user with and without children and fails to personalize text messages by name. This gap in data collection and usage could frustrate consumers and prompt unsubscribes.
Bed Bath & Beyond falls short in transparency and ease. It ads cumbersome layers to the checkout and account signup process by asking about information on shoppers and their children and grandchildren, but does not say what the data will be used for. Information about how consumers can benefit from the information they provide (e.g. targeted discounts, notifications about select new arrivals) can encourage users to share more information.
L2’s data and personalization study finds that 32 of the 106 brands fall in the laggards category. See graph for full list.