The Role of Social Media in Personalizing Customer Experience for Business Growth

Have you ever wondered how companies on social media know what gets you pumped up? Social media is full of potential, allowing brands to connect directly with users. Those clever algorithms can make every online moment feel like it’s about you. How do they do it? There are numerous ways social media impacts the customer experience through personalization and business growth.

What is a personalized customer experience?

Do you ever see ads that seem perfectly targeted for you when you're scrolling through your feeds? Maybe an advertisement for the latest smartphone popped up the day after you started thinking about getting a new phone. In this instance, the social media platform seemed to know what you were just thinking. While it looks like companies behind the ads are using a crystal ball, this is a personalized customer experience at work.

A personalized experience is when companies use what they know about you to promote products or services you may be interested in. They’ll use customized messaging tailored to your needs and preferences. They gather information from your past behavior and target you with things they know you’ll like.

When brands monitor users’ behaviors and have a deeper understanding, they can provide an experience that makes customers feel heard and important.

How does personalizing the customer experience achieve business growth?

Personalizing the customer experience on social media is the key to achieving business growth. This is because personalization makes folks feel like you’re talking right to them, whether it’s a tweet, story, or an ad that pops up at the right moment.

Actions like these — even if they’re small — can turn a casual browser into a loyal fan. Rather than the customer being someone who makes a one-time purchase, they become repeat shoppers who are more than willing to tell all their friends.

Offering this high-end service to customers often leads to increased sales,and 60% of retailers are more diligent about making sure shoppers feel like VIPs. They’re investing more time and money into unified platforms to stitch together all the ways they chat with you. As such, this ensures every interaction feels tailor-made just for you, keeping you coming back for more.

How social media tackles the personalized customer experience

Jumping into social media and its knack for crafting personalized customer experience, consider how LinkedIn lets its users tailor their profiles to catch the right eyes. Just like you’d tweak your LinkedIn page to attract your dream job, social media platforms fine-tune your online interactions to ensure every message feels like a brand hand-picked them for you.

Here’s exactly how companies are putting their social media tools to work to offer a better digital experience:

• A direct line of interaction: Have you ever dropped a comment on a brand’s post, and they hit you back with a reply? It can be a similar feeling to having a chat with a friend. This immediate conversation builds a bond between you and a company, making 51% of brands the most memorable.
• Automates customer service via chatbots: Messenger apps allow brands to provide custom solutions with instant replies from savvy bots.
• Targeted advertising: Companies on social media platforms use what they know of you to hit the sweet spot of your interests.
• Data-driven insights: Behind every like, share and follow, brands use a mountain of data to understand you better. This goldmine of info helps companies tailor their approach to ensure you see more of what you love.
• Content personalization: When you see a post, you may wonder how it feels too relatable. Brands can get creative with posts that speak directly to you.
• Influencer collaborations: You may have seen your favorite internet personality team up with a brand you like. Influencers help brands craft personal and relatable messages by bridging the gap between corporate speak and a friendly chat.

Future trends for social media and customer experience

Social media and the customer experience will evolve as technology and gadgets develop. As for what the future holds, exciting possibilities could open up and redefine shoppers’ digital experiences.

1. Conversational AI

Beyond simple chatbots, conversational AI will take place and overhaul customer interactions on social media. This means more natural, human-like conversations with AI that can understand context, sarcasm and humor.

2. Augmented-reality experiences

The future of social media will also allow customers to get up close and personal with brands’ offerings. Through virtual product demos, businesses will use these technologies to provide a more immersive experience.

3. Voice-activated interactions

Voice assistants are set to become more integrated with social media experiences. You may ask one to fetch the latest reviews on a new product or find the best prices through voice commands on social media.

4. Hyper-personalization

Social media provides a wealth of information for companies. Businesses can use AI to analyze this data and predict preferences with incredible accuracy. As a result, brands can suggest products and content that resonate on a deeper level.

Expect greater experiences through social media

Social media can make everything feel like it was tailor-made for you, allowing brands to achieve growth in ways previously unimaginable. Whether a company is chit-chatting with its top fans or creating content that speaks to you, social media can make every click and scroll feel personal. As platforms evolve, every interaction will bring you closer to the brands you can’t get enough of. Businesses have the potential to transform customer experiences in real-time.

Sources:

A Guide to Building an Effective LinkedIn Profile and Using It to Your Advantage: Part 2 - San Diego’s Office Furniture & Cubicles. (2019, January 11). COE Office. https://www.coeoffice.com/guide-building-effective-linkedin-profile-using-advantage-part-2/

August 18, & 2023. (2023, August 18). 1 in 6 Shoppers Have Used Generative AI for Purchase Inspiration - Salesforce Report. Salesforce. https://www.salesforce.com/news/stories/trends-in-retail-2023/

Smith, A. (2024, January 9). Social media personalization: The opportunity and risks to consider. Sprout Social. https://sproutsocial.com/insights/social-media-personalization/