Top 50 Advanced Personalization Statistics & Predictions (2020–2025)

7 min readMar 23, 2020
Top 50 Advanced Personalization Statistics & Predictions (2020–2025)
Top 50 Advanced Personalization Statistics & Predictions (2020–2025)

Artificial Intelligence (AI) Personalization Statistics & Trends

Currently AI is helping to make sense of 2.7 Zetabytes digital data. 80% of emerging technologies will have AI foundations by 2021. 75% of commercial enterprise apps will use AI by 2021.

  1. More than 80% of customer interactions will be done without humans by the end of 2020 and most of them will be with the help of chat-bots.
  2. 87% of companies that have adopted AI use it to improve their email marketing.
  3. AI is increasing sale numbers by 50% based on the number of leads.
  4. 28% of the time, top-rated companies are using AI to personalize their campaigns.
  5. 54% of smart speaker owners claim that their speakers are accurate in understanding their spoken word. The smart speakers have started to understand emotion of the customer as well due to major stride in Natural Language Processing (NLP).
  6. Facial recognition, powered by AI, is forecasted to increase its annual revenue growth rate by over 20% in 2020. The expected growth is due to eCommerce giants who are trying to analyze their customer’s facial gestures and personalize.
  7. Google Assistant will soon be smart enough to detect what language is spoken to, just like Google translate.
  8. By 2024, AI will identify emotions and will influence <50% of the online advertisements you see.

Over the next decade, NLP will be used in complex software to lower the barrier to entry

Success Stories

Mastercard created a Facebook messenger bot using NLP to decipher customer needs and respond as if it were a real person — to automate handling payments.

Netflix saved $1 Billion in annual revenue by personalizing its recommendation algorithm. It avoided thousands of cancelled subscriptions by improving its personalized recommendation algorithm. It used AI to better market its services.

Video & Voice Personalization Statistics & Trends

As generic content continues to lose its impact on consumers, enterprises are reaching out for more impactful approach. With a rise in story formats, people are spending more video minutes on social media. Additionally, personalized videos for Call-To-Actions (CTA) is increasing Click-Through Rates (CTR) by almost 202%. It is helping brands command their audience’s attention easily.

  1. Brands using VR are having 7% higher purchase rate as it is resulting 12% more belief that they are telling a unique story.
  2. 29% consumers are looking out for 360-degree videos that might become a necessity for marketers by the end of 2020.
  3. With an increase of new video formats in Stories and AR filters on Instagram and TikTok, marketers are decidedly increasing their video marketing budget by 25%.
  4. 2020 will see more long-form video content, maybe exceeding 5 min.
  5. Marketers are increasingly opting for CRM in 2020 which is helping them address their customers easily. Leveraging this opportunity, many video solutions are being released.
  6. Consumer spending via voice assistants is expected to reach 18% by 2022.
  7. 82% of consumer internet traffic will come from videos by 2022.
  8. Visual content on landing pages is improving conversions by 86%.
  9. Voice-based shopping is expected to jump to $40 Billion in 2022.
  10. With the launch of Facebook Horizon in 2020, personalized VR will be in demand.

Video is a powerful content type and easily encourages certain behaviors in the audience. It is no longer a “nice-to-have” rather a necessity. Therefore in 2020 businesses must integrate video across their entire marketing funnel.

Success Story

A designer outdoor clothing brand Patagonia has successfully proven its video marketing with long-form videos. Their advertisement is a long-form documentary exploring real people connected with nature which are cinematic and engaging.

IKEA uses AI and VR to display and customize the space for its customers. And the payoff has been huge with annual revenue > $40 Billion worldwide.

Asokan Ashok, CEO - UnfoldLabs

Mobile Personalization Statistics & Trends

Immediate action, Instant gratification, Impulsiveness — are the three important ‘I’s today. With our phones acting as supercomputers in our pockets, we are emboldened by information all the time. Leveraging this, brands are moving in for enhanced mobile experiences — driving expectations even higher.

  1. Global mobile internet advertising will be worth $247 Billion in 2020.
  2. In 2020, the average revenue from messaging apps is expected to be more than $15 per user.
  3. By the end of 2020, 50% will be voice searches over mobile.
  4. Mobile searches related to “same-day shipping” have grown over 120%.
  5. Location-targeted mobile ad spend will grow to $32.4Billion in 2021.
  6. U.S. mobile search spending will reach $28.25 Billion in 2020.
  7. Mobile is responsible for <40% of revenue in leading B2B organizations.
  8. More than 60% of B2B buyers report that mobile played a significant role in a recent purchase.

Many brands are thinking they have their mobile strategies in place and plan to move on with other disruptive technologies. However, we think mobile in 2020 & beyond will be more than just personalization.

Success Story

Starbucks successfully keeps customers engaged with its gamified mobile app. They integrated the rewards system with the ability to customize and order drinks via the app, and it uses information such as purchase history and location to get as personal as possible.

The introduction of the rewards system saw Starbucks’ revenue soaring to $2.56 Billion, while the app has generated around 6 Million sales per month (around 22% of all U.S. sales).

Data Driven Personalization Statistics & Trends

One-size-fits-all approach is no longer delivering. A data-first approach is only ensuring brands target the right audience at the right time with the right kind of message.

  1. Businesses that employ data-driven analytics for personalization delivered five to eight times the ROI on marketing spend.
  2. 63% businesses improved their analysis on customer journeys.
  3. 55% businesses improved segmentation.
  4. 47% businesses could easily analyse cart abandonment on their websites.
  5. 53% marketing leaders are trying use Machine Learning to better understand consumer intent.

Success Story

EasyJet launched a data-driven campaign that brought each customer’s travel history to life. It built individual stories, such as when and where they first travelled with easyJet, and where they might like to go next. A total of 12,473,608 unique emails were sent 100% open rate higher than the average easyJet newsletter with <25% click-through rates.

Present Obstacles to Personalization

Customer expectations are at an all-time high and it’s a tough time for companies to meet and exceed them. The challenge here lies in the fact that, in most cases, customers are not telling that they’re unhappy. In fact, only 1 in 26 unhappy customers complain. And for many companies, the absence of negative feedback is a sign of satisfaction and they cannot be more mistaken.

  1. 77% CEOs feel AI and automation will increase vulnerability and disruption to the way they do business.
  2. 76% CEOs are concerned with the potential for bias and lack of transparency due to AI adoption.
  3. 85% of AI projects may deliver erroneous outcomes due to impersonal data / algorithms.
  4. 40% of executives feel AI initiatives are expensive.
  5. 37% of executives feel, managers don’t understand the AI initiatives completely.
  6. 93% of automation technologists feel unprepared or only partially prepared to tackle the challenges associated with smart machine technologies.

Even if the company provides a positive customer experience 9 out of 10 times, that one time could be fatal.

Current State of Customers

Customers no longer stay loyal to the price or the product but to the personalized experiences they receive.

  1. 80% shoppers buy just to experience the personalized experience.
  2. 44% consumers become repeat buyers if provided with a great shopping experience.
  3. 84% consumers say being treated like a person, not a number, is very important to them.
  4. Consumers are 40% more likely to view recommended items based on information they’ve shared with a brand.
  5. Consumers are 2.1x more likely to view personalized offers as very important vs other offers.
  6. 70% consumers say a company’s understanding of their personal needs influences their loyalty.
  7. Personalized homepage and shopping cart influenced 85% of consumers to buy.
  8. Product reviews are 12x more trusted than product descriptions by manufacturers.
  9. 85% people trust online reviews written by other consumers as much as they trust recommendations from personal contacts.
  10. 56% shoppers say that being presented with unexpected costs will cause them to they leave without completing their purchase.
  11. 1-second delay in the site speed is reducing the conversions by up to 7%.
  12. 1 in 3 customers leave a brand they love just after one bad experience, while 92% completely abandon after two or three bad experiences.
  13. Lack of content relevancy generates 83% lower response rates .
  14. 47% consumers check Amazon if the brand they’re shopping with doesn’t provide product suggestions that are relevant.

Our Final Thoughts

By 2025, 80% of marketers who have invested in personalization might abandon their efforts due to their failing efforts in customer data management. Though personal data is the marketing fuel at every stage of customer journey, it is backfiring as data collection, integration and protection are not able to go together. In fact, 27% of marketers believe DATA is the key obstacle to personalization. Other impediments to personalization success are continuous decline in consumer trust, increased scrutiny by regulators and technology. More than one in four marketing leaders cite technology as another major hurdle to personalization.

With too much of focus on personalization, some consumers have started ignoring even the most carefully crafted marketing tactic. Increasingly cluttered email inboxes and many contextualized mobile phone notifications, online ads might make this trend to continue. By 2022, 25% of marketing departments will have a dedicated behavioral scientist.

With personalization and hyper-individualization being the buzz words of today, our recommendation is that the businesses must really adopt the basics when it comes to test and learn before investing in personalization technology.

This post was written by Asokan Ashok, the CEO of UnfoldLabs. Ashok is an expert in driving customer insights into thriving businesses and commercializing products for scale. As a leading strategist in the technology industry, he is great at recommending strategies to address technology & market trends. Highly analytical and an industry visionary, Ashok is a sought after global high-tech industry thought leader and trusted strategic advisor by companies.

Entrepreneur. Inventor. Strategist. Visionary. Evangelist. Architect.

For any comments or discussions, please feel free to reach out to Ashok or UnfoldLabs at “marketing-at-unfoldlabs-dot-com”.




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