Formation, a machine-learning-powered offer optimization company, announced the general availability of its Dynamic Offer Optimization Platform.
Brands now have access to the technology that enabled household names in retail, travel and QSR, including United Airlines and Giant Eagle to easily create, deploy and optimize billions of relevant, individualized offers before and during the pandemic.
Formation’s Dynamic Offer Optimization Platform launches as brands around the world find it increasingly important to engage customers leveraging first-party data amidst data privacy legislation. In a recent Forrester research study, brands stated their biggest challenges with offers were an inability to react fast enough to customer insights, not having enough analytical resources to optimize offers at scale, and taking far too long to create and deploy new offers. These challenges are compounded with only 33% of consumers stating that offers sent by brands were relevant at all.
“Marketers send out billions of offers each year and count on those offers to engage customers throughout their journeys,” said Christian Selchau-Hansen, CEO and co-founder of Formation. “The challenge has always been in creating the optimal offer for each customer. That challenge has been compounded by rapid changes in customer behaviors during COVID, rising expectations from customers for relevance and value. We are excited to offer marketers unique technology to help them engage customers with relevant and valuable offers with tremendous speed and agility by better leveraging first-party data through automation and machine learning.”
Benefits of Formation’s Dynamic Offer Optimization Platform
- Empowers marketers and data scientists to automatically create and deploy >100x the offers to market 400% faster
- Increase customer engagement with individualized offers powered by Dynamic Actions & Rewards
- Respond quicker to market forces or changing customer needs with machine-learning optimization
- Improves ROI of existing investments in marketing technology (martech) stack — customer data platforms (CDPs), marketing clouds and loyalty engines
Formation’s Dynamic Offer Optimization Platform consists of two main components: Offer Builder, which creates and optimizes individual offers, making every offer experience unique for each customer; and Offer Engine, which drives real-time delivery, tracking, fulfillment and measurement of each offer. The Offer Builder consumes any segment or customer journey data from any CDP or martech stack and builds millions of unique offer variants using Dynamic Actions & Rewards. Offer Engine makes all these offers available via APIs to specified channels and then tracks, fulfills and measures each offer's performance. Formation then applies machine learning to optimize each customer's offer for subsequent deployments. This process can take less than an hour—automated with a click of a button—enabling brands with the fastest, easiest way to send relevant offers at enterprise scale.
Also, launching alongside the world’s first Dynamic Offer Optimization Platform is Formation’s community, Loyalty Innovators, whose mission is to connect and support digital leaders, marketing trailblazers and loyalty innovators in their journey to adapt their company’s product and services to the ever-changing consumer omni-channel landscape.
“We’re really excited to take all the knowledge and experience from working with some of the world’s biggest brands for the past five years and make that breakthrough technology available to all companies,” Selchau-Hansen said. “Automating the creation, deployment and optimization of billions of offers not only drives material impact to the business but enables brands and marketers to also focus on all the other critical mindset and organizational shifts needed for comprehensive digital transformation. Our mission is to arm digital and marketing leaders with best-in-class optimization tech as well as to support them through their digital transformation journey with the Loyalty Innovators community.”