By Krisneil Peres, Co-founder and CVO, Fame Keeda
Brands across India have to strive to capture consumer attention in a cluttered marketing landscape this festive season . As the competition increases, brands are pushing to embrace innovative strategies that go beyond conventional marketing.Hyper-personalisation, fueled by artificial intelligence and big data analytics, forms the core of this trend. With 53% of CXOs focusing on a superior customer experience through AI-driven insights to personalise festive deals for encourage more engagement and conversion and
1. The power of AI-driven insights in festive marketing
AI has made a huge contribution in revolutionising how brands interact with their customers by allowing them to use consumer data in a more targeted way. AI-driven data analytics allow brands to analyse vast amounts of consumer data, including browsing habits, purchase history, and social media activity which is tremendously helpful during the festive season as the ability to deliver personalised experiences can significantly influence buying patterns.
For instance, recommendation engines built on AI can suggest what a customer may like to buy according to his past buying history, while predictive analytics can predict which products will be most demanded during a season. It is particularly more important for fashion and beauty brands because 84% of consumers are influenced by promotions or influencer recommendations. Brands might fine-tune festival offers and develop targeted campaigns for each specific segment in such a way that each customer segment is addressed with the specific needs and desires of that group thereby maximising conversion chances.
2. Targeting key segments: Millennials and women shoppers
The two most apparent demographics driving festive spending in India are millennials and women shoppers. Reports say that they’re increasing their shopping budgets by up to 70% this festive season. Personalised offers are critical to winning such high-value audiences, who are often more inclined toward brands that understand their preferences and serve the individual needs.
Data powered insights enable brands to segment their audiences effectively to formulate customised offers for millennials, who tend to prioritise experiences and value-for-money deals, as well as women shoppers, who often look for quality and style in festive purchases. By tailoring marketing strategies to address the specific interests of these segments, brands are also encouraging repeat purchases.
3. The role of digital penetration in e-commerce growth
India’s e-commerce is at a boom; however, the festival season itself will play a critical role in taking it to a next level. After such a massive surge in penetration through Tier-2 and Tier-3 towns, 60% of orders are projected from non-metro areas. Clearly indicating that online shopping is now available to more people, due to increased internet accessibility, higher disposable incomes, and better digital literacy.
Brands are making the best of this trend to deliver hyper-personalised experiences especially in regions that were until recently not on any marketer’s map for digital marketing. Flexible marketing strategies enable brands to capture a more diverse audience while delivering a seamless customer experience.
4. Shaping consumer behavior through AI-driven recommendations
Beyond personalisation AI’s have also played a role in actively shaping consumer behaviour. Algorithms have the ability to evaluate data and suggest what would most probably be purchased by customers during specific times of the year. Through this, brands can influence customers with real-time personalised recommendations and guide them towards the right product, elevating their chances of making that sale.
In addition, it should be emphasised that the influence of social media can by no means be overestimated. The customers that place orders on festive days consist of a very large share of first-time customers (about 55%). For such consumers, social proof built on reviews and word of mouth coming from influencers, plays a big role in the formation of decisions.
Conclusion
For brands, the festive season offers a unique opportunity for attaining customer loyalty through hyper-personalised marketing. Brands can develop personalised offers that lure and retain customers while leading to quicker conversions and long-term loyalty with AI-driven insights. Enhanced digital penetration in non-metro cities with millennials and women shoppers as the mainstay might drive their highest ever festive sales.
