Personalization Doesn't Work

Posted in Direct Mail on January 23, 2024 by Ramin Zamani ‐ 2 min read

Personalization Doesn't Work

Not if your definition of personalization is limited to using “Hello {{First Name}}” in your messaging. (Though that’s still 3X better than using “Dear Valued Customer”!)

The true power of personalization shows when you use data to enhance your customer experience in a meaningful way.

But what does it mean, exactly?

Let me show you a real-life example:

A non-profit organization increased its annual donation amount using a simple yet effective tactic:

Instead of asking for arbitrary amounts like $25, $50, or $100, they offered each donor two options:

  1. Donate the same amount as they did last year
  2. Donate 10% more than last year

While most people donated the same amount as last year, close to 25% chose to donate more.

This approach resulted in an overall 10% increase in donations. Yes, only a quarter of donors gave 10% more, but this tactic also increased the total number of people who made a donation.

Here’s why it worked:

  • By showing them their last year’s donation, the organization showed the donors that their generosity is remembered and appreciated. People feel good when they’re appreciated.
  • By giving them two options, the organization reframed the decision-making process from “Should I donate this year? If so, how much?” to “Should I donate the same as last year, or should I give 10% more?” The difference is huge.
  • Giving 10% more makes people feel better about themselves. People want to feel good about themselves.

With a little bit of creativity, personalization can work wonders.

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