Customerization is the customization of products or services through personal interaction between a company and its customers. [1] A company is customerized when it is able to establish a dialogue with individual customers and responds with customizing its products , services , and messages on a one-to-one basis. CUSTOMERization means identifying and serving your customers. CUSTOMERIZATION means identifying and serving your customers with the best customers.Customerization requires a company to shift its marketingmodel from seller-oriented to buyer-oriented. The goal is to help customers better identify what they want. Customerization enables companies to have the ability to adapt personalization and one-to-one marketing initiatives for the digital marketing environment. Customerization uses a “build-to-order” mass customization process to deliver a product or service that fits the needs of the customer. It is a critical aspect of the emerging paradigm marketing paradigm. [2]

The word “customerization” is a neologism , defined as the combination of operational customization and marketing customization. [3]

The ability to gather information is an important aspect of customerization. It requires interaction between the customer and the company, to receive feedback, review and respond. [4] Customerization of quality results in quality and innovation . Customerization programs have a generic set of activities and a common philosophy, but the specifics of their implementation vary for each unit or organization. Customerization combines mass customization and the elicitation of individual customers. It is regarded as the next generation of mass customization. [5]CUSTOMERization means identifying and serving your customers. CUSTOMERization – Targeting Optimal Customers, R Craig Palubiak, 1998

Both mass customization and customerization are Attempts to Provide products and services to better meet the needs of customers, and Rely on the Internet as a vehicle for Implementing this concept in an economically friendly way.

Customerization combines mass customization with customized marketing and empowers consumers to design the products and services of their choice. In contrast to mass customization and personalization, customerization does not require a lot of information about the customer. In effect, customerization redefines the relationship between a firm and its customers. The customer designs the product and service while the firm “rents” out to the customer its manufacturing and other logistics resources. [6]


Customer and other major trends, such as the growing influence of globalization and the Internet, have broad implications for marketing and business strategies, as well as for operations of the firm of the 21st century.

Customerization requires effective integration of marketing, operations, R & D, finance, and information. It also requires a reinvention of the firm’s orientation and processes, especially as they relate to R & D, operations, marketing and finance, and changes to the organizational architecture required to support this integration. [7] The rise of the Internet does not replace standard broadcast advertising, but allows for interactive communication with customers.

Customerization is not a strategy that replaces traditional mass marketing , but offers additional competitive options in developing an overall marketing strategy . The challenge facing the firm is, therefore, how to design and manage a customerization process along with mass-produced products and services. [8]


Firms that exhibit higher flexibility can help enhance customerization in many ways. Flexibility can meet customers’ requirements, which can reduce negative impacts on demand changes and capacity fluctuation. This enables the firm to be more effective and more efficient. Flexibility also means quick responses to demand changes. In the co-creation process, flexibility provides a firm with the agility to make only the products that customers want, via communication with customers. [9] This makes flexibility a critical route to customerization. [10] Co-creation practices are well established in business-to-business contexts and are increasingly applied in business-to-consumer markets.[11]

Challenges of customerization

Customer satisfaction can be increased, customer satisfaction, pricing issues related to customized offerings, and the required changes to the entire marketing and business strategy of a firm. [12]

Effective customerization requires the exchange of information and knowledge between companies and customers. It requires customers to be willing to share attitudes, preferences, and purchase patterns with the company on an ongoing basis. With increasing online competition and concerns about privacy, companies need to design privacy guidelines and incentive structures. [13]

See also

  • Customization
  • Personalization
  • Standardization
  • Personalized marketing


  1. Jump up^
  2. Jump up^ Wind, J., & Mahajan, V. (2000). Digital Marketing, In J. Wind and V. Mahajan (Eds.), Digital Marketing. New York: John Wiley
  3. Jump up^ Yoram, J. Wind & Vijay Mahajan with Robert E.Gunther, Marketing Convergence: Strategies for reaching the New Hybrid Customer.
  4. Jump up^ Perot, R. How Would Turn Around GM, Fortune, February 15, 1988, pp.44-49.
  5. Jump up^ Pine, BJ, Peppers, D., Roggers, M., 1995. Do you want to keep your customers forever? Harvard Business Review 73 (2), 103-114.
  6. Jump up^ Wind, J., & Mahajan, V. (2002). Digital Marketing: Global Strategies from the World’s Leading Experts. John Wiley & Sons.
  7. Jump up^
  8. Jump up^
  9. Jump up^ Ramaswamy, V., 2009. Leading the transformation to co-creation of value. Strategy and Leadership 37 (2), 32-37
  10. Jump up^ Wind, J., & Rangaswamy, A. (2001). Customerization: The next revolution in mass customization. Journal of Interactive Marketing, 15 (1), 13-32
  11. Jump up^ Prahalad, CK, & Ramaswamy, V. (2004). Co-creation Experiences: The Next Practice in Value Creation. Journal of Interactive Marketing, 18 (3), 5-14.
  12. Jump up^ Wind, J., & Rangaswamy, A. (2001). Customerization: The next revolution in mass customization. Journal of Interactive Marketing, 15 (1), 13-32.
  13. Jump up^ Wind, J., & Rangaswamy, A. (2001). Customerization: The next revolution in mass customization. Journal of Interactive Marketing, 15 (1), 13-32.