4 Benefits of E-Commerce Personalization

Richard Sutherland
May 3, 2019

Custom tailoring how your store looks and feels to each individual user may initially sound like a gimmick until you realize how much of a difference it makes to conversion rates, customer retention, customer loyalty, user engagement, and your bottom line. Modern consumers expect more from their online businesses. Every time you make it harder for them to find what they want than your competitor does it’s a step to losing that customer forever.

What can we do with DataCue e-commerce personalization? The sky is the limit.

As a brief example, consider two online book stores. The book store without personalization looks professional enough but simply shows every customer the same best-selling books of the week on the front page. The personalized book store looks completely different to each visitor, showing books that are tailored to their previous purchases, age group, interests, and on-site behavior. It announces special offers perfectly pitched for them. It remembers that they’ve previously looked at a book but didn’t buy it, so offers them the same book again and recommends other books that are similar. It uses their name, automatically fills in forms, and shows them shipping prices to their home.

Importantly, irrelevant content unlikely to interest the user is not shown at all, reducing all distractions and making the buying process all the more streamlined and simple from the visitor’s point of view.

Let’s delve further into why all of this matters when building the perfect online user experience.

1 — Reduce Information Overload

Online marketers often make the mistake of trying to give the visitor too much information at once. The errant belief is that customers will want to know about all the incredible benefits of your products and services and that you should sell it all to them as quickly as possible.

This is a recipe for disaster as the overwhelming majority of people quickly feel frustration if they are being shown information that is not relevant to their needs.

The classic problem with online stores is the large number of products for sale on many sites. It sounds great that you offer a wide range of options, but this will be overwhelming to visitors if you don’t cut down on how much irrelevant information you’re showing to them.

They’ve landed at your site from a search for ‘Ugg boots pink.’ Why are you distracting them with details about your formal men’s suit sale? Why are you telling them about the bestselling summer shorts? Why are you showing them products that don’t complement their query at all?

2 — Make Buying the Perfect Product Simple

Our hypothetical customer has previously shown interest in size seven footwear, so why are you showing them the availability of size 12s? You know they’re browsing from Portland, so why aren’t you automatically calculating the shipping price and time to ship for their location?

You can always include a simple way to make changes if they’re in fact planning to buy a product for someone else, but if you default to the most likely solutions then you’re removing a lot of the busywork a customer needs to go through to buy the product that is perfect for them. That is a good thing!

Take out all the distractions and make the buying process a cinch with smart website personalization.

3 — Personalization Shows you Care

Personalization offers the illusion that instead of being a large business catering to millions of people you’re a smaller outfit that’s able to care about the needs of each and every valued customer.

Behind the curtain, your website is automatically generating personalized content for each user using a sophisticated algorithm based on their prior behavior. Nevertheless, the simplest touches like remembering a customer’s name and showing them content most relevant to them goes a long way to convince users that your brand cares. Your website more accurately resembles a brick-and-mortar store that knows exactly what they want each time, making for a positive customer experience.

Providing a positive customer experience is the main goal of personalization. If you can make the interaction more customer-focused rather than company-focused, then the user is much more likely to return to you again. They will even share their positive experiences with their friends.

4 — Give Control to the Customer

Another powerful benefit of e-commerce personalization taps into our desire for control. If you allow the customer to personalize elements of your online store themselves to best suit them, then this can give them that feeling of control.

There’s more than one benefit to handing the keys to the user. Allow them to hide sections of your store they’re not interested in, for example, and they’ve streamlined their own buying process, become more comfortable with your store, given you valuable information about their interests that you can use in future marketing, and they’ve felt more in control of the process.

Giving them options on how to display your website, how your mobile apps work, how they receive notifications, how often to receive emails and so on puts the power in the customer’s hands, allowing them to do the personalizing work for you. In the end, they’ll have built their perfect user experience for themselves, which will doubtlessly increase your customer retention, loyalty, and repeat sales.

Once again, the interaction at play has shifted to be more customer-focused than company-focused.

The list of benefits from e-commerce customization very much goes on. If you’re not personalizing the e-commerce experience for your customers, you’re no doubt losing them to your competitors who are.

Find out how DataCue can increase your store sales

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About the author

Richard Sutherland has worked in online marketing and search engine optimization for over 15 years. Excited about how we can offer the customer a streamlined, personalized online experience, Richard looks for every way to increase conversion percentages with a high return on investment.

Sobre el autor

Richard Sutherland tiene más de 15 años de experiencia en marketing online y optimización de motores de búsqueda. Apasionado por ofrecer una experiencia inteligente y personalizada a cada consumidor, Richard está constantemente buscando nuevas maneras de incrementar la conversión y, con ella, los retornos a la inversión.

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