What mass-market retailers may be missing in their marketing strategy

In today’s fiercely competitive eCommerce landscape, mass-market marketers (a tongue twister, we know!) need to stand out from the crowd. Historically, they may have steered clear of one-to-one messaging, assuming it wasn’t necessary or didn’t suit their business model. But as companies such as Instacart begin to offer more personalized experiences for their customers (and see immediate success), it’s clear there is an opportunity to increase revenue through one-to-one messaging.  

Maddie Zingeser speaks about the advantages of one-to-one marketing on Individuality Unleashed. 

5 reasons big-box chains need to invest in one-to-one messaging

1. Better customer insights

According to McKinsey, 71% of customers expect personalized interactions. Using first-party customer data such as demographics and firmographics enables a thriving ecosystem between consumer and brand. Marketers can acquire this data through a value exchange, either by offering email or text promotions in exchange for a customer’s information, or offering a faster checkout in exchange for a customer creating an account.

For example, imagine a customer has an account with a mass-market retailer, such as Walmart, and returns to their website every month to purchase the same shampoo. Walmart offers exclusive promotions to the customer if they subscribe to their email marketing program, so they do. With first-party data tracking, Walmart can automate triggered email sends at the same time every month to remind the customer it’s time to purchase shampoo again. Walmart could also send monthly personalized text messages offering free shipping or recommending similar products (such as conditioner and body soap), encouraging cross-selling and up-selling. 

But what happens if a web visitor doesn’t offer up their information? Marketers can still safely identify anonymous web traffic, use this information to gain a deeper understanding of their customers’ preferences, behaviors, and purchase patterns, and in turn, create personalized customer experiences that drive prospects further down the funnel, ultimately to conversion.

2. Increased customer loyalty

No matter the product, customers still want to feel like they matter. Forbes suggested that in 2023, companies will “shy away from one-size-fits-all solutions.” 

Just as every business is unique, so is every shopper. When brands understand this, they can expect to connect with their customers and see increased loyalty in return. 

Consider segmenting audiences by their behaviors and intent to purchase, and send personalized discounts, back-in-stock notifications, or announcements. For example, targeting customers to tell them when an out-of-stock item they were browsing has come back in stock will bring your brand top of mind. If they shop with your brand often, you can offer customer loyalty programs where the more a customer purchases, the more points they get, encouraging retention and increasing customer lifetime value.

3. Improved marketing efficiency 

Improved marketing efficiency frees up time and resources for marketing teams to focus on innovating and reaching customers in the most creative, stand-out way possible. And when they do, they can expect higher returns for the same, if not lower, input. 

One-to-one messaging can help big-box chains retailers streamline their efforts and reduce wasted dollars. By investing in more granular targeting, companies with strong personalization strategies achieve improved marketing efficiency, higher digital sales, and long-lasting customer relationships. On top of this, they can boost growth rates by 6 to 10%.

4. Competitive advantage 

Did you know that personalized web experiences can increase customer engagement rates by up to 20%? In a crowded market, retailers that deliver successful personalized marketing messages are going to stand out. 

Marketers should communicate directly with customers about why they should pick their brand. If sustainability is a hot topic for your company, or fantastic deals are your thing, make customers aware through emails and texts. Tailoring recommendations to their purchase history and crafting messages relevant to their age or demographics may just be the deciding factor in their purchase. 

Consider leveraging contextual retargeting, too. This is an effective answer to safe, consumer-first personalization. By using information that’s already on the page the user is reading, contextual retargeting shows the user ads that are relevant to this information. For example, a furniture retailer can display an advertisement for inexpensive couches on a how-to article about how to decorate a living room on a budget. This is a great way to meet customers where they are with timely, relevant marketing messages.

5. Higher revenue 

Treating customers as individuals in mass-market retail = $$$.

Better relationships with customers means more revenue. In fact, forty percent of customers claim to have purchased something more expensive than they intended to because of a personalized experience.

Ultimately, the goal of one-to-one marketing is to increase revenue by acquiring new customers or driving more sales from existing customers. Regardless of if a customer has been purchasing with a brand for 20 years or they’ve never made a purchase, delivering personalized, relevant messages will result in more conversions, meaning more revenue.

So you’re marketing mass-market retail; What’s next? 

Just because you’re marketing to a large group of people, doesn’t mean you can’t offer a personalized customer experience. Invest in your owned channels, segment, and engage consumers with tailored recommendations through email and text marketing to see benefits such as increased customer loyalty and revenue.

Download Wunderkind’s Industry Pulse report to find out what exactly consumers want from brands, and how brands can reach consumers effectively.


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Emily Black

Ally Rector 10:15 AM Emily is a seasoned writer with an MA in writing from Royal Holloway, University of London. She’s the Senior Writer at Wunderkind, where she utilizes her expertise in eCommerce, MarTech, SEO, and copywriting to create insightful blogs, reports, whitepapers, and case studies. Emily brings a wealth of knowledge and experience to the Wunderkind community.