In this modern age where most individuals believe they can establish and run a successful business, market saturation has become a grave issue. Regardless of the industry that they belong to, many organizations appear to be scrambling to discover solutions that will allow them to differentiate their brands from their competitors.
One such way that has risen in popularity is delivering higher quality products. Additionally, tailoring parts and aftercare procedures to the customers’ needs. This branding strategy, known as customization, have existed for decades already, but has been employed in most industries only recently.
In hopes of increasing profit, those that work tangentially with big and small machineries are making use of customization. Examples of such companies are Toyota with its vehicles, and Gardner Denver with its air compressor parts and other industrial machines. Even the fashion industry has greatly benefited from incorporating this tactic into their business, as can be seen in brands like Nike and Adidas.
For great reasons, many businesses will continue to customize their products, while the rest are likely to follow in their footsteps.
It is essential for businesses to attract customers included in the group that has the greatest buying power. In recent times, this group is known to be the millennial generation, as their predecessors are dying out.
Reports show that over 50% of millennials are keen to have personalized experiences. Therefore, companies need to release new and exciting ways to capture their attention. Should they be successful in drawing in millennials, business profit is more likely to grow.
Giving consumers the ability to customize items that are considered luxurious — those with price tags that have more than enough zeroes on them — will result in a company seizing the middle to upper class’ attention. Additionally, millennials are also known to purchase personalized luxury items.
There is nothing more alluring than getting to personalize things that often cost more than some people’s houses. Notably, brands like Formula Boats, which allow customers to customize boats, and Hawthorne Labs, a perfume company catered to men, are doing exceptionally well in this endeavor.
It is foreseeable for customers to remain loyal to brands that are capable of providing items that are tailored to their needs. Ultimately, there is no sense in approaching a competing product if that company does not offer the option to customize. However, letting customers personalize their items does not mean that a business can release lower quality base products.
Perhaps the most enchanting aspect about personalization catered to customers is the increase in profit that follows sales. Studies have revealed that people of this modern age are willing to pay about 20% more for any personalized product. Additionally, since most customizations do not require plenty of resources, the return of profit will likely be twofold, if not more, as customers are sure to flock to a business that can give them what they want in terms of personalized needs.
Since we live in a consumer-centric society, and consumers are known to want things their way, different industries have to adapt with the old-age adage “customer is always right” if they wish to thrive.