Personalized Marketing: Marketing That Speaks to Each Customer

From One-Size-Fits-All Ads to the Era of the “Special Customer”

Remember a few years ago when we all sat through the same generic TV ads, thinking, “This has nothing to do with me”?Fast forward to today: Netflix recommends shows tailored just for you, Spotify curates playlists that match your music taste, and Starbucks offers discounts on your most ordered drink. All of these experiences give you that warm feeling of “This brand really knows me.”

That’s the magic of Personalized Marketing — tailoring experiences to each individual customer. But why has it become one of the hottest topics in business today?

Customer Expectations Have Changed

Today’s consumers don’t want “one-size-fits-all” messages anymore. They expect communications and offers that align with their unique needs and behaviors.

📊 According to a 2023 McKinsey study:

• 70% of customers expect brands to provide experiences tailored to their interests.

• 76% of customers get frustrated — and may even walk away — if personalization is missing.

Platforms like Netflix and Spotify prove this every day. Their recommendation algorithms not only meet these expectations but also keep users engaged longer, strengthening customer loyalty.

Data: The New Gold

Every action we take — from searches and purchases to the posts we like on social media — turns into data. And in today’s digital economy, data has become the most valuable asset of the new era.

📊 According to Statista’s 2024 forecast:

• The marketing automation market is expected to reach $13.9 billion by 2027.

• Companies that leverage personalized marketing can increase their sales by 10–20%.

With the power of AI and Big Data, businesses are moving away from the “one-size-fits-all” approach and are now able to deliver messages and offers tailored precisely to individual customer needs.

Competition and Customer Choice

Today’s consumers are spoiled with choices. If your offer doesn’t resonate, they can switch to another brand in just one click.

👉 For example: In Mongolia, as e-commerce rapidly grows, customers can now compare the prices of dozens of online stores with a single tap. If your brand fails to deliver a personalized offer, you risk losing a customer just as quickly.

Technology at Work: AI as Your New Marketing Manager

In the past, creating personalized marketing required large teams of specialists. But now, AI and Machine Learning can generate real-time offers with precision and speed.

• A chatbot can recommend products based on your previous questions.

• CRM systems analyze customer behavior and predict their next move.

• Even small businesses can use apps to offer tailored promotions, like discounts on a customer’s most frequently ordered product.

AI is no longer just a tool for corporations — it has become a “virtual assistant” for small businesses too.

Emotion and Trust

Personalized offers give customers the feeling that “this brand truly knows me.” That emotional connection translates into:

• Stronger trust

• Higher loyalty

• Increased Customer Lifetime Value (CLV)

📊 According to Salesforce research - 84% of customers are more likely to repurchase when they receive personalized offers.

Case Studies: Success Stories

• Amazon – Its recommendation system drives 35% of total sales. In 2022, Amazon reported $514 billion in revenue — a 9% increase from the previous year — much of it fueled by personalized suggestions that matched customers’ needs.

• Netflix – Around 75–80% of the platform’s revenue comes from its personalized recommendation algorithm, which tailors content to each user’s viewing habits. This not only keeps users on the platform longer but also creates the feeling that every piece of content is “made for you.”

• Starbucks – The company’s Deep Brew AI system personalizes offers based on purchase history, location, time, and even the weather. For example, on a hot day it might recommend a cold drink, while on a rainy afternoon it suggests a warm snack. Today, 31% of all U.S. Starbucks transactions come through its app, proving the tangible power of personalization.

Future Trends

• Real-Time Personalization

  Real-time personalization delivers offers exactly when the customer needs them.For example: while browsing jackets on Zara’s online store, a pop-up might immediately suggest, “These shoes go perfectly with this jacket.” Machine Learning algorithms analyze customer actions instantly and provide relevant recommendations right on the page, creating an immediate, tailored shopping experience.

• AR/VR Personalization

  Augmented Reality (AR) and Virtual Reality (VR) allow customers to try products digitally before purchasing, bridging the gap between online browsing and in-store experience. By 2025, the AR/VR-enabled e-commerce market is expected to reach $12 billion. Personalized AR/VR experiences help reduce purchase hesitation and can cut return rates by up to 20%.

• Privacy-First Marketing

  Since 2020, data privacy has become a global priority.

  Apple’s iOS 14.5 requires users to opt-in for tracking. Europe’s GDPR strictly prohibits collecting data without user consent. According to PwC (2025), 68% of consumers only purchase from brands they trust to protect their privacy.

These trends highlight that future personalized marketing isn’t just about relevance — it’s about real-time engagement, immersive experiences, and respecting customer privacy.

Conclusion

Today’s consumers are sharing their data with businesses not just to make purchases easier, but with the expectation that brands will return trust, value, and satisfaction. For companies, personalized marketing is no longer optional — it’s a fundamental requirement for future competitiveness.

True marketing isn’t about short-term sales; it’s the art of building long-term relationships. And these relationships deliver real value only when tailored to each customer’s unique traits, behaviors, and needs.

In other words:

• Personalization = Trust

• Trust = Loyalty

• Loyalty = Long-term Sustainable Growth

  
  

"Marketing isn’t just about selling. Marketing is about creating a personal-level relationship with the customer — and it’s that relationship that generates value."