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INDEX
In the digital age, when customers increasingly expect personalized shopping experiences, Personalized Marketing has become an indispensable marketing trend. This is a strategy that helps businesses not only better understand the needs and desires of customers, but also create unique experiences, deeply connecting customers with the brand.
In this article, let's explore with NOVA Media how Personalized Marketing can help businesses grow sustainably in 2025, while optimizing every opportunity to build long-term relationships with customers.
Definition of Personalized Marketing
Personalized Marketing is a marketing strategy in which companies use data collected from customers such as demographics, behavior, and online platforms to create personalized messages, products, or services. The goal of this strategy is to build close relationships and enhance customer experience by providing information, products, and services that best suit each individual's unique needs and preferences. Applying personalized marketing helps businesses improve campaign effectiveness, increase customer satisfaction and loyalty.
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The definition of personalized marketing also emphasizes the importance of technology in collecting and analyzing customer data to make accurate and quick decisions. Companies use automation technology to personalize content and reach customers through channels such as email, websites, or online advertising. Gartner predicts that businesses that invest heavily in this strategy will achieve higher revenue than those that do not, which shows the importance of personalized marketing in increasing profits and competitiveness.
Outstanding advantages that Personalization brings to businesses
According to Statista, revenue from the B2C model in Vietnam has reached 11.8 billion USD and is forecast to continue to grow strongly, reaching 29 billion USD by 2025 with a growth rate of 20% per year. To achieve this goal, Personalization will play an important role, bringing many practical benefits to businesses.
Increase sales and conversions
When customers feel personalized in their services and products, they feel satisfied and tend to return to use it again and again. This not only helps retain customers but also boosts transaction conversion rates. Personalization creates a deep connection, helping businesses encourage customers to shop more often. Therefore, this strategy is an important factor in increasing sustainable revenue.
Enhance user experience
Customers increasingly want a shopping experience that is unique and tailored to their preferences. They are willing to provide personal data to receive messages and services that are more personalized and relevant to their needs. By personalizing the experience, businesses not only satisfy customers but also create unique value, affirming the brand. From there, satisfaction will lead to loyalty and long-term connection.
Building customer loyalty
In today’s highly competitive environment, creating a personalized product or service is key to retaining customers. When customers’ needs and wants are accurately met, they feel engaged and are less likely to switch to a competitor. Personalization helps businesses create lasting relationships, increase long-term customer retention, and create a distinct competitive advantage.
With the power of Personalization, businesses can reach the right target audience and accelerate the transaction process. Sustainable customer relationships will help increase revenue and motivate businesses to overcome challenges, moving towards long-term success.
Personalized Marketing Strategy Lessons from Famous Brands
Personalized marketing strategies are increasingly becoming a key factor for famous brands to achieve success. Let's explore valuable lessons from brands that are at the forefront of applying this strategy.
Balancing customer data and privacy
Personalized marketing strategies can help businesses attract and retain customer interest, but if not done carefully, they can backfire. Target’s story illustrates this well, as the company used purchase data to predict customer needs, but it also made some customers feel uneasy about being tracked too much. The key lesson, therefore, is to create personalization without invading consumer privacy. Brands need to ensure that personalization does not become an intrusion into customers’ lives, especially in an increasingly privacy-conscious world.
Target creates a personal ID for each customer at the time of their first purchase to track their behavior and predict their needs. In the case of pregnant mothers, Target uses purchase data, such as purchases of stretch mark cream or large handbags, to predict and market products accordingly. However, this caused a problem when a man discovered his wife was pregnant through Target's marketing campaigns.
Target creates a personal ID for each customer
Target has been successful in using data to personalize the shopping experience and identify customer needs, helping to increase conversion rates and revenue. However, the lack of sensitivity in applying this strategy has created major privacy issues.
Creative and sophisticated in product personalization
Oreo’s personalized marketing strategy allows customers to express their personality through the product, creating a unique experience. By allowing customers to design their own cookies, Oreo not only increases customer satisfaction and loyalty, but also collects valuable data about customer preferences and purchasing habits. Furthermore, this campaign not only increases sales but also generates high profits from each order, instead of relying solely on promotions.
In 2020, Oreo launched a personalized marketing campaign through the OreoID website, allowing customers to design their own Oreo cookies. Specifically, consumers can choose the color of the frosting, add a personal photo or text to the cookie, then pay and receive the designed product. By doing so, Oreo not only provides an innovative shopping experience but also collects data on customer preferences and behaviors, thereby serving the next marketing campaign.
Oreo allows customers to design their own cookies
OreoID is an effective personalized marketing strategy that not only helps Oreo enhance the consumer experience but also creates a valuable source of data for future marketing campaigns. Instead of using traditional promotions, Oreo focused on creating a unique experience for customers while optimizing the profit from each product sold. This proves that personalization not only helps increase revenue but also helps build deep relationships with customers, creating differentiation and attracting long-term interest.
Personalized Marketing is not only a trend but also a long-term strategy to help businesses grow sustainably in 2025 and the following years. When implemented properly, personalized marketing not only strengthens customer relationships but also creates a strong competitive advantage. To optimize this strategy, NOVA Media is always ready to accompany, providing effective personalized marketing solutions that are suitable for the development goals of the business. Contact us to take your marketing strategy to the next level!
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