Tuesday, June 28, 2022

AI-Powered Personalization Series of Articles: Personalization Use Cases

Personalization is not only a crucial capability, it’s one that punches above its weight, no matter whether the company is a digital native, a brick-and-mortar player, or a behind-the-scenes producer or supplier. Furthermore, McKinsey’s research found that companies that excel at personalization generate 40% more revenue from those activities than average players. Across US industries, shifting to top-quartile performance in personalization would generate over $1 trillion in value. Players who are leaders in personalization achieve outcomes by tailoring offerings and outreach to the right individual at the right moment with the right experiences. ¹

Introduction: AI-powered Personalization

AI-powered Personalization powers numerous types of customer insights, helping organizations address customer acquisition, engagement and service questions:

Identification of Customers that need personalized attention risk, likelihood or propensity scores
Recommendations or next best actions
Preferences that can improve calls to action, e.g. communication preferences, timing preferences
Forecasts or predictions about customers, e.g. heavy utilizers of services or high cost customers
Segmentation and classification of customers into cohorts or groups

Leveraging Artificial Intelligence (AI) and the insights that AI-powered Personalization can derive will improve the customer journey across the enterprise, from personalized shopping experiences and customer acquisition use cases to contextualized customer engagement and customer service.

We at CognitiveScale are going to elaborate on AI-powered Personalization Use Cases by Industry in a series of near-term articles, so be on the lookout for deeper dives into these topics.

AI-Powered Personalization Use Cases

We will be writing about a number of AI-powered Personalization Use Cases:

Customer Acquisition: Personalized insights for Sales via Customer Acquisition applications such as intelligent lead generation, smart up-sell and cross-sell via personalized customer insights, and personalized shopping experience and offer presentment.
Customer Engagement: Personalized insights for delivering more targeted professional services via customer engagement applications such as: identification of high cost customers or at-risk customers, complete with prescriptive insights and “next best actions” for how to improve these customers’ journeys; and, personalized interventions for use by professional services (e.g. clinicians in Healthcare, or investment advisors in wealth management).
Customer Service: Personalized insights for delivering a more targeted Service Experience (SX) via Customer Service applications such as: predict customer service or contact center inquiries, prescribe personalized inquiry resolutions, and help prevent calls with proactive reach-out.
“Hybrid,” Enterprise-wide, Omni-channel Insights: Allow organizations to deliver personalized insights across multiple channels that include engagement, service and sales interventions.

CognitiveScale recognized in CB Insights: Game Changers 2022 »

Then, we will be tailoring this article series to specific industries, going deeper into customer acquisition, customer engagement, and customer service in:

Healthcare
Banking
Insurance

According to Forrester’s Predictions 2022: Customer Insights report, the last two years have taught us that it is critical to have clear visibility into customer behaviors, motivations, and intent. Furthermore, Forrester Analytics survey data shows that firms that increased the use of data insights for decision-making during the pandemic have prioritized revenue growth, customer experience improvement, and employee development at nearly three times the rate of firms that decreased the use of data insights. In 2022, the analysts expect these firms to be three times more likely to beat their competitors’ key financial and customer metrics. “Insights-driven firms will be three times more likely to outperform their competitors." ²

CognitiveScale AI-powered Personalization Deep Dives & Additional Resources

To learn more about CognitiveScale’s experience with AI-powered Personalization, we have additional resources available:

AI-Powered Personalization Across the Customer Journey includes a deeper dive into CognitiveScale’s Cortex Enterprise AI Platform and Profile-of-One Capabilities.
Transforming Service Experience for a Leading Health Insurance Provider

More and more, customer relationships are the key competitive battleground, and poor customer experience (CX) can quickly damage the reputation of your brand. According to Forrester, once customers are disappointed with a brand, only 18% will keep their business with the brand, and only 15% will recommend the brand to friends and family. ³