Getting Started with Preference Centers

December 15, 2018 Holly Enneking

Preference centers can significantly help businesses cater to a customer’s individual needs and interests when implemented correctly. It’s important to have a basic understanding in order to identify if a preference center is right for you.

Preference Center Defined

A Preference Center allows customers to set and adjust their communications preferences for content, format, frequency and other options. It provides subscribers more control over the communications they receive while allowing companies to deliver relevant and more personalized messages to their customers. A preference center manages much more than just email communications, it includes a secure account and services alerts via multiple channels to make it a digital communications center.

Many businesses may consider if a preference center is really necessary. Greater relevance has become imperative to remain accessible and valuable to subscribers through personalization in an era of high email and digital engagement. In fact, about 66% of customers are more likely to engage with a company that allows email preferences. This means better targeted and more relevant communication equates to increased engagement and decreased churn with customers.

Customers prefer to have control over the information and data they receive. According to Accenture, 84% of customers indicated they would like to review and correct info sent to them. And 88% of customers stated they would like to control how their data is used. What does this mean? Essentially, consumers are willing to provide information if they have some control over what happens to their personal data and if they receive something in return such as relevant content.

Preference Center Benefits

There are plenty of benefits preference centers provide your company and customers. It preserves your marketing database by narrowing opt-outs and encouraging opt-ins for specific products, services, and programs customers are interested in. This allows companies to create customer profiles that provide a variety of preference options based on consumer account type, demographics, and geography. Knowing your subscribers’ interests, desired email frequency, or location creates a permission-based relationship and shows respect to your customers.

Preference centers also reduce email churn by providing active subscribers the ability to update their active email address. With an average 20% of valid email addresses being discarded each year, having an accurate updated email list becomes increasingly important. A preference center enables self-segmentation for customers and enables two-way communication between you and your audience.

Determining Preference Center Strategy

In order to map a preference center strategy, it’s important to identify your goals, audience, and resources for a marketing strategy. A preference center can help benefit your subscribers in many ways. One is by targeting different personas/audiences based on their different email preferences. They also allow customers to stay connected while receiving less emails, this becomes especially important if your business has an opportunity to limit content to a weekly or monthly newsletter. When developing a strategy it’s also important to tackle the most valuable preferences first. More specific preferences in enhancement may have lower adoption but higher engagement.


Previous Article
Continuous Improvement: Driving Performance through Personalization
Continuous Improvement: Driving Performance through Personalization

There’s no doubt about it, personalization drives results. Every day are overwhelmed as consumers with blas...

Next Article
Preference Centers 101: Customer Marketing Solutions
Preference Centers 101: Customer Marketing Solutions

Preference centers are a valuable tool in the belt of a digital, cross-channel marketer. Simply put, your p...