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Personalization vs hyper-personalization: The future of digital marketing

Adam Wilson
Personalization vs hyper-personalization: The future of digital marketing

Personalization has become quite popular over the last few years. The main reason is the benefits it is able to provide businesses. Creating hyper personalized experiences that are specific and relevant to individuals is a great way to make them feel special. This not only helps to strengthen relationships but builds trust as well.

Hyper-personalization has entered the market recently. With the advancement of technology, the way customer data is captured has changed drastically. Now, marketers can tap into customer behavior and purchase patterns. This information can help marketers to understand and create hyper personalized experiences. 

But what’s the difference between personalized and hyper-personalized experiences? Read this blog to get in-depth information about how personalization is different from hyper personalized marketing. 

What does personalization mean? 


Personalization in marketing means using customer data and information to deliver relevant marketing communication such as emails or ads. The type of data used to create personalized experiences includes customers’ names, demographic information, and purchase history. 

You might have seen that you receive emails from brands with your name on them. These emails often have product recommendations based on the products you last purchased. This is an example of personalized marketing. 

The aim of personalization is to create messages that are relevant to customers and make them connect with a brand on a deeper level. Now, personalization is taking a turn towards hyper-personalization. 

What is hyper-personalization? 


Hyper-personalization definition: It is the process of using real-time data, machine learning, AI, and predictive analytics to extract information about your target audience and utilize it to craft exceptional experiences. 

Hyper-personalization takes into consideration people’s current needs, backgrounds, and preferences to create hyper-personalized experiences. The data used for hyper-personalized marketing includes a lot more than just names, it considers location, time of the day, products browsed, page views, and specific details to create messages that customers relate to consummately. 

The aim of hyper-personalization is to increase the relevance of promotional content, encourage interactions, and drive conversions in turn. The more you understand your customers, the better you can build hyper personalized experiences. 

What is the difference between personalization and hyper-personalization? 

Personalization is the practice of collecting customers’ data and understanding their preferences & behavior and creating personalized experiences. Often times you might have seen that when you purchase a product from a brand, you receive an email with similar product recommendations. 

Hyper-personalized marketing approach goes beyond traditional personalization. This is because hyper-personalization leverages real-time data and advanced algorithms. Whereas, personalized experiences are created based on the customers’ history, purchase behavior, and past preferences. 

Hyper personalization takes into account, the customer’s current context, geographical location, and even time to provide personalized content. The main difference between personalization and hyper-personalization is the utilization of real-time data and the level of customization. 

Let’s take an example to understand the difference between personalized and hyper personalized marketing. A personalized marketing campaigns is one in which a brand uses a customer’s past purchase history and preferences to recommend them similar products. 

A hyper-personalized marketing campaign uses real-time data and information such as the customer’s location, weather, and time of the day to offer hyper personalized recommendations. For instance, a clothing retailer suggests warm blankets to a customer based on the spell of cold weather in their current location. 

Personalization helps you target customers with past data and preferences but hyperpersonalization goes beyond that. Hyper-personalization uses real-time data to deliver more relevant and customized experiences. 

How does hyper-personalization work? 

To offer hyper-personalized experiences to customers, you need to gather comprehensive data. For hyper personalisation, you need to have access to real-time data, AI, machine learning, and predictive analytics. We have explained the technologies required for executing hyper personalized marketing below. 


1. Data analytics

Adopting a hyper-personalized marketing approach requires you to collect and analyze real-time customer data. The customer data is collected to understand their buying behavior and patterns. It helps marketers to know their needs, wants, interests, & expectations and create hyper personalized content. 

2. Artificial intelligence (AI) and machine learning (ML) 

AI can help you analyze a colossal amount of data in real time and create personalized recommendations for different customers. AI algorithms learn from the behavior and preferences of customers and provide accurate insights over time. 

3. Customer relationship management (CRM) software 

A CRM is used to collect, store, and analyze customer data like their interactions, contact information, purchase history, etc. Webmaxy eGrowth can help you manage all your customer data and interactions in one place. You can use this information to launch personalized marketing campaigns and create hyper-personalized marketing messages.

4. Location-based technology 

Knowing your customer’s current location is important for providing them with hyper personalized experiences. There are several location-based technologies like GPS and beacon technology that you can use for this purpose. For example, by knowing a customer’s current location, a business can send them personalized offers when they are in the vicinity. 

5. Chatbots and natural language processing (NLP) 

Chatbots and NLP can be used to provide personalized recommendations to customers in real time. Chatbots can analyze customer data and provide them with personalized responses based on it. NLP has the ability to analyze a customer’s emotions and provide personalized responses based on their mood and tone. 

6. Predictive analytics 

When you have a lot of data, you can train an AI to predict user behavior and patterns. This is how you can use predictive analytics to create hyper personalized experiences which your users didn’t even know they needed. 

Benefits of hyper-personalization

The concept of personalization has been in existence for the past few years. With the advent of new technologies and the explosion of data available, personalization has evolved. It is now moving towards hyper-personalization. There are many benefits of switching to hyper-personalization that we have explained below. 


1. Improved custom engagement 

Nowadays, people are constantly bombarded with ads on social media, emails, and messages. People are bored of seeing those mundane ads and they want to feel special. When you offer customers something that is relevant, interesting, and personalized, they’ll definitely engage with you. Hyper personalized experiences that are relevant and customized can help you improve engagement rates. 

2. Timing is the key 

Hyper-personalization takes into consideration the timings when the user is most active and likely to engage. This increases the chances of them engaging with the personalized content you’re offering. It’s a win-win situation for you when you provide the relevant content at the right time. 

3. Higher conversion rates 

Hyper-personalization can help you offer personalized recommendations that are based on the customers’ real-time interests. This increases the chances of driving higher conversions. For example, if a customer is going to abandon their cart and an AI bot offers them the most relevant and best offer, they’re more likely to purchase. 

4. Increased customer satisfaction 

Hyper-personalization can help you increase customer satisfaction. As it can help you offer customers what they might want even before they search through your website. A hyper personalized engine can recognize what a customer is looking for and present them with the best possible options. 

4. Create long-term relationships 

By providing hyper personalized experiences, you can make customers feel that you understand them better. This way they’ll start engaging and inclining towards your business. The more and more tailored experiences you offer, the more people will stick with your business in the long term. 

5. Valuable customer insights 

Hyper personalization can help you get deeper customer insights by looking into their behavior, preferences, and purchase patterns. You can use this information for data-driven marketing and product development strategies. You can make informed decisions for inventory and stock. 

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Why hyper-personalization over personalization? 


Personalization uses basic customer information like name, gender & location, to create tailored messages for individuals. Hyper-personalization goes beyond that by encompassing information like the user’s browsing history and behavioral information to craft highly relevant messages. 

Let’s take an example here, for personalization mostly the demographics are taken into consideration. Supposedly, you’ve two customers who have purchased shoes from you. Their demographics like gender, city, location, and item purchased are the same. However, Marc is a hype beast while Jonathan purchases shoes occasionally. For personalization, you’ll consider them in the same group because of their demographic similarities.

From this, you can understand, even personalization has room for irrelevance. With hyper-personalization, you can come closer to filling the gap between what customer wants and what messages they receive. Hyper-personalization helps you improve customer experience and deliver individualized experiences at scale. 

The potential of hyper-personalization

Hyper-personalization has changed the way brands interact with customers. Creating hyper personalized experiences requires qualitative data, sophisticated algorithms, and technical expertise to conduct it. These days it’s normal for customers to get personalized experiences from brands. They choose the brands that can meet their specific demands at the time they need. However, to build strong customer relationships, it’s important that businesses understand their customers’ needs & wants and cater to them accordingly. 

In today’s world, customers have become smart and they know when a company is using personalization. Don’t just use personalization to target people but to truly understand their individual needs and preferences. You can use hyper-personalization to build people’s trust and cater to them in the best possible way. Hyper-personalization has a lot of potential with data analytics and new technologies to create customized and individualized customer experiences. 

Hyper-personalization strategies for eCommerce 


Hyper-personalization can be revolutionary for eCommerce companies as it has many applications. The most common use is utilizing AI algorithms to deliver hyper personalized product recommendations. For example, Myntra’s home page recommendations include the products that you have browsed recently. 

You can use the customers’ collected data like their interests and behavioral patterns to send customized marketing emails. Instead of doing one fit for all marketing, you can send recommendations to people based on their individual interests. Marketers can use customers’ recent browsing data & purchase behavior for retargeting ads and chatbots to provide customer support to customers online. 

Hyper-personalization can be used in many ways by eCommerce companies. They can create individualized offers and incentives for customers who are more likely to convert. This can also be used by travel companies to offer appealing booking prices to people who have a high chance of converting. 

The challenges of hyper-personalization 

Every technology has its own benefits and challenges. Similarly, the most significant concern with hyper-personalization is privacy. For hyper-personalization, companies collect data about their customers. Ensuring that the data is kept secure and used ethically is important. Making customers aware that their data is being collected and used for improving their experiences is important. 

Another drawback of hyper-personalization is the way it can reinforce biases. Hyper-personalization algorithms are based on the data fed into them. If the data is inaccurate and biased, the results will also be affected. The biased algorithms can lead to a lot of miscommunication and cause discrimination against certain groups of people. Therefore, it’s crucial that hyper-personalization algorithms are regularly checked and corrected for any biases. 

Hypersonalized or personalized: The conclusion 

Hyper-personalization is going to be at the center of all digital marketing strategies in the coming time. Chatbots and AI will play a major role in hyper-personalized marketing. As the brands are realizing the importance of hyper-personalization, they’re turning towards it. Providing relevant customer experiences is the key to success for customer retention and loyalty. 

Webmaxy eGrowth is a powerful marketing enabler platform that can help you create personalized customer experiences. It comes with a plethora of features like a KPI dashboard, marketing insightsmarketing automation, social campaigns, audience segmentation, Whatsapp commerce, email marketingcustomer loyalty, and Omnichannel support. 

Schedule a call with our experts to start personalizing your customer experiences with Webmaxy eGrowth or email us at [email protected]

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Adam Wilson
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