Experiential marketing is no longer limited to sharing a brand’s philosophy in a physical space. Whereas guerrilla marketing efforts of the past were meant to add a physical element to your marketing stack, experiential marketing takes things one step further. These days, it’s more about showing your customers how your brand aligns with their purchasing habits through innovative, interactive experiences. Multi-platform, multi-channel campaigns create something that consumers remember.
As alternative marketing strategies become more and more prevalent, however, small to medium-sized business owners question their viability. While it’s easy to get distracted by explosive, innovative campaigns, the bottom line is that your marketing efforts must increase sales.
So, does experiential marketing drive profit? The short answer is a resounding “yes.” However, it’s important for brands to leverage the right solutions to meet their needs. Not all interactive experiences are created equally. But when properly implemented and executed, interactive campaigns have massive potential to boost sales and impact a business’s bottom line.
To illustrate the profit-driving benefits of experiential marketing, let’s take a look at its impacts on several consumer-facing industries.
Personalization is key when it comes to reaching consumers in a retail setting. In fact, recent research found that 71 percent of consumers prefer ads that are tailored around their interests and shopping habits and 75 percent prefer ads that are aligned with their needs. Interactive marketing not only creates completely customized campaigns, it puts consumers in the driving seat of their in-house experiences.
Not only do customers want ads to be tailored around their needs, they’re also used to getting information when and where they expect it. Because consumers have grown accustomed to having boundless access to information, implementing in-store, interactive technology such as touchscreens and kiosks can directly engage consumers by providing them with on-demand information.
Fully integrated campaigns create more touchpoints with your consumers. And when customers are engaged, this boosts in-store time and creates additional opportunities to drive profit.
From commercial to residential, real estate is a driving factor of the U.S. economy. Thus, it makes sense that technology has been introduced in an attempt to streamline, simplify, and augment both the buying and selling processes. So, what are some of the benefits of experiential marketing in real estate?
For starters, interactive touchscreen technology can provide consumers with virtual tours of apartment complexes and houses and engage them with real-time data such as up-to-the-minute updates on prices and properties to reassure them that they make the best investment. Other technology offerings include a suite of tools that make the search for homes to buy or properties to rent much easier. These tools simplify aspects of the home purchasing and renting processes, such as streamlining decisions about remodeling and interior decorating. Streamlining numerous facets of the decision-making process leads to an increase in houses closed and products purchased—which ultimately drives profit at a positive return on investment (ROI).
For commercial real estate companies, this touchscreen technology can enhance customer service and deliver a well-rounded experience. In fact, 96 percent of marketers agree that personalization advances customer relationships and 88 percent say they’ve received a measurable lift in business results from personalized campaigns.
Interactive marketing and technology in the real estate world can reduce stress and enable customers to make better, more informed purchasing decisions.
Medical and Healthcare
According to a recent report, hospital profit margins declined from 2015 to 2016. The report found that hospitals' median operating margin fell from 3.4 percent in 2015 to 2.7 percent in 2016. Additionally, median operating cash flow declined, from $76.4 million in 2015 to $75.9 million in 2016.
As healthcare profit margins shrink, facilities are constantly looking for a way to increase revenues. Digital signage hardware can impact healthcare profits by marketing specific healthcare programs and services, educating customers on symptoms, and streamlining their hospital experience. For example, interactive displays can help explain how options like telemedicine services work. They can also provide clear instructions for consumers to schedule annual preventive services, which builds repeat customers.
Because healthcare is such a litigious industry, interactive campaigns also enable hospitals to market their services and offer updated, compliant information. Facilities can reap the many benefits of experiential marketing to drive profits. By getting information to the right people without draining human resources and by responding to changes in a fast, effective fashion, healthcare facilities increase their reach—thus, impacting sales and improving revenues.
Is your industry utilizing experiential marketing to drive profits? Leave a comment below.