The Power of “You”: Why Personalized Videos Are the Antidote to Customer Churn [EXAMPLES]

In today’s subscription-driven economy, from insurance plans to fitness apps, customer churn—the rate at which customers cancel their subscriptions—is the silent killer of growth.

Studies show that a mere 5% reduction in churn can boost your profits by a staggering 75%.

That’s why business leaders, from CEOs to CMOs, are laser-focused on keeping customers engaged and happy.

The challenge?

76% of people get frustrated at brands that don't deliver personalized interactions

The majority of people dislike one-to-many marketing

Price sensitivity is important for customers, but it’s not the only thing.

76% of customers want a personalized experience, which brands often can’t provide. So, they ignore messages, campaigns, and interactions from the brand, and eventually cancel the service. They also stop bringing referrals.

Customers want to know the value of your product or service, not just its price. They want this information personalized to them. In addition, they want to feel connected to your brand and know that you understand their needs and appreciate their business.

So, how do you effectively communicate this value proposition and build brand loyalty in a way that resonates with each individual customer?

Therefore, the answer lies in the power of personalization.

Why Personalization Matters

According to McKinsey, personalization has the potential to decrease customer acquisition costs by up to 50%, boost revenues by 5 to 15%, and enhance marketing ROI by 10 to 30%.

Think about it.

In a world overflowing with generic marketing messages, how often do you truly connect with an ad? The answer is likely “not very often.”

People crave a human touch, a sense that a message is meant specifically for them. This is where personalization comes in.

People pay attention to interactions and messages that emotionally connect with them, and personalization is all about these emotional connections.

To understand the impact emotionally connected customers have, take a look at the following table.

Table showing Customer Lifetime Value Lift of Emotionally Connected Customers

Customer lifetime value Lift from emotionally connected customers

As you can see, emotionally engaged customers tend to spend more and stay for a longer time.

By tailoring your marketing communications to individual customers, you grab their attention, pique their interest, and ultimately, build stronger relationships.

The Rise of Video Marketing: A Powerful Tool (But Not Powerful Enough)

Marketers have long recognized the power of video content. Video is engaging, and memorable, and allows you to showcase your product or service in a way that static text simply can’t.

42% of video marketers measure video roi through engagement and retention

In fact, almost half of video marketers quantify the ROI of their video marketing efforts through customer engagement and retention.

No surprise then, that video marketing has exploded in recent years.

However, in the age of personalization, even generic video content can lose its effectiveness.

Imagine receiving a promotional video about a fitness program that features a group of young, perfectly toned models.

While it might be visually appealing, it might not resonate with a busy single mom who’s just trying to fit in a quick workout between work and errands.

This is where personalized videos take video marketing to the next level.

The Personalized Video Advantage

Personalized videos are 116% more effective than generic videos (source: Pirsonal)

Personalized videos perform better than generic videos in 1:1 marketing

Personalized videos take the core strengths of video—engagement and memorability—and add a layer of individual relevance. Personalized videos are on average 116% more effective than generic videos.

Personalized videos are videos created for a single individual. With software Pirsonal’s personalized video software, your team creates them at scale and automatically.

In the following video, I explain how these videos work through an example, and also how you can share them through an attention-driven personalized landing page.


Imagine that same busy mom receiving a video featuring someone who looks and sounds like her, calling her by her name, talking about the challenges of fitting in exercise and how this particular fitness program helped them overcome those hurdles.

Suddenly, the video becomes relatable, and the value proposition becomes crystal clear.

How Personalized Videos Combat Customer Churn

There are many ways video personalization helps businesses decrease customer churn.

Here are four of them:

  1. Increased Engagement: Personalized videos grab attention and keep viewers engaged for longer. Studies show that personalized videos can increase viewer engagement by up to 80%.
  2. Enhanced Brand Connection: Personalized videos create a sense of connection with your brand. Customers feel valued and understood, fostering loyalty and trust.
  3. Improved Value Communication: By tailoring content to individual needs and behaviors, you can clearly demonstrate the value your product or service offers to each specific customer.
  4. Targeted Action Calls: Personalized videos can be interactive and include specific calls to action that resonate with the viewer’s current situation, increasing the likelihood of them renewing their subscription.

Take for instance the following year in review personalize video:

Often, customers don’t understand the total value delivered by the products or services they want to trust. A personalized year n in review video combats this by individually explaining what these products or services have done for the customers throughout the year.

Putting Personalized Videos into Action

So, you’re convinced of the power of personalized videos. Now what? Here are some practical steps to get started:

  1. Identify your goals, KPIs, and supporting metrics: Simply put, what do you want to achieve, and how you’ll measure success?
  2. Select Your Customer Segments: For example, group your customers based on demographics, usage patterns, and pain points.
    Identify Customer Data: How can the existing customer data provide insights that enhance their understanding of a specific context?
  3. Develop Personalized Video Scripts: Create targeted scripts that address the specific needs and challenges of each customer segment and leverage customer data.
  4. Keep it Simple and Authentic: While personalization is key, avoid overly complex or gimmicky videos. Focus on delivering genuine value and a touch of human connection.
  5. Measure and Refine: Track the performance of your personalized videos and make adjustments as needed. A/B testing different approaches will help you optimize your results.

The Future of Customer Engagement: A Personalized Journey

Personalized video is indeed a crucial aspect of a broader customer engagement approach that gets to the next level through personalization.

Watch the following video to learn how to create a personalized customer journey that keeps customers engaged:

By utilizing this powerful tool, you can strengthen connections, convey value more convincingly, and ultimately enhance customer lifetime value while reducing churn.

Pirsonal: Your Personalized Video Partner

Most leaders have some experience with video marketing, either because they work with in-house videographers or with outsourced agencies. However, the majority lack experience with video personalization at scale.

Since 2017, we’ve helped both agencies and leaders start embracing personalized video creation to effectively engage with their busy audiences and drive them to take action.

This has been made possible through Pirsonal’s personalized video software and our expert guidance.

If you’re looking to reduce customer churn, let’s connect. We would be delighted to evaluate whether personalized video marketing is a suitable solution for your goals and show you how to implement it, step by step.

Screenshot personalized videos for employee benefits communication