The Personalized Online Shopping Experience

Part 3

Most people have experienced personalized online shopping. Now, learn how the process works and what it means for

the future of online retail.

Pulling the Trigger

• So the customer has run the gamut of online shopping personalization measures, but never finalized the purchase– The store doesn't have to take this lying

down

Pulling the Trigger• When this happens, it can trigger an

automatic email touching base with the customer

• It reminds the customer of what they left behind

The Customer Comes Back

• After receiving the email, the customer returns to the site makes and makes the purchase. Happy ending for everyone, right?

The Customer Comes Back

• Well, not entirely. Once the customer makes that purchase, the site's product recommendation engine keeps determining new ways to appeal to the customer based on their shopping behavior

• The personalized online shopping experience keeps getting more in-depth

Targeted Emails in the Future• The customer may

not have returned to the personalized e-commerce site, but the site remembers the customer and reaches out

• It can now send targeted emails

Targeted Emails in the Future

• Targeted emails offer deals and ads, but the product recommendation tool tailors the emails to the customer

• It offers links and advertises products based on the customer's demonstrated interests

Why Bother?• So what's the point of continuing

with all the personalized online shopping effort after the purchase has already been made?

Why Bother?

• By providing targeted emails and keeping the personalization going, the store maintains its relevance

• Because online retail is so competitive, the a store needs to go on collecting data and using that data to maintain its visibility

Brand Loyalty: A Mutually Beneficial Relationship

• By implementing personalized online shopping tools, an e-commerce site begins building mutually beneficial relationships with its customers

Brand Loyalty: A Mutually Beneficial Relationship

• The customer we followed throughout the examples will keep returning to the same personalized e-commerce store

• The longer the relationship, the stronger the relationship

Personalization in Your Pocket

• More and more sites implement mobile personalization to accommodate customers browsing on their phones and tablets as well

Personalization in Your Pocket

• The percentage of online sales coming from mobile users jumps every year, and trends like showrooming—searching for better prices on a phone while shopping in a store—make personalization measures virtually inescapable

What Customers Think of Personalized Online Shopping

• So you know that online retailers are using product recommendation engines to collect information about your shopping habits, whether you offer it up or not, and using it to their benefit. Are consumers OK with that?

What Customers Think of Personalized Online Shopping

• Actually, yes. Almost three out of four consumers prefer to shop with retailers that use their personal information to create a personalized online shopping experience

• But besides driving sales, how is your data being used?

What Happens Behind the Scenes

• Product search tools and other personalization programs collect the customers’ data to be used behind the scenes

What Happens Behind the Scenes

• These personalized online shopping programs collect data from potentially millions of customers

• They can break down everything there is to know about the customers in general– Like their average age, what regions most of

them live in, how much they typically spend in a transaction and more

What Companies Do With That Data

• With their customers' data aggregated, online retailers are able to better tailor the experience at large, not just the personalized online shopping experience

What Companies Do With That Data

• They understand their demographics better, and can use that information in their self-image, marketing, inventory selection and more

• Personalized e-commerce programs can change the store for everyone, potentially for good

The Personalization Boom

• The algorithms that e-commerce stores employ are growing more complex

• The degree to which a store can personalize its appearance, emails and advertising becomes greater all the time

The Personalization Boom

• For the customer concerned about privacy, the personalization programs aren't one-size-fits-all

• Sites and product recommendation engines give the customer agency over how their information is used, preserving a certain level of anonymity

In Conclusion

• You can now see how much work goes into a single company's efforts to get to know its customers better and retain its relevancy

• To learn more about the functions of a product recommendation engine and other personalization programs, visit iGo Digital