Personalization in marketing is rapidly changing. If marketers want to optimize their conversion rates, they need to start putting the customer experience first by thinking about big data, cross-channel relevance and tailored content recommendations.
1. Begin by tracking some simple conversion metrics, such as seeing an uplift in the number of conversions on your product recommendation. Then move on to the higher value conversions such as purchases, adding further products and returning to abandoned shopping carts.
2. Define the conversion points that are important to your business before you set out to optimize them. Measure how long it takes to improve conversions and figure out what motivates your customers to get there. You may need to tweak your recommendations if no uplift has been achieved.
3. Conversion rates will only improve when the content, offers and products you recommend truly respond to accurate user data. Smart personalization means interpreting the signals the user gives off – for instance, if they are clicking on a black dress, is it the color, the shape or the item that they are interested in? Blending other transactional and contextual data with this may help answer these questions.
4. Compare your metrics to industry standards. One study found that personalized emails resulted in six-times-higher transaction rates than non-personalized emails.
5. Some typical results of personalization observed include a 4X increase in response rates from website offers in real time, a 5X increase in click-through rates, a doubling in sales attributed to offers printed on receipts at point of sale, as well as more personalized offers delivered in a week of inbound interactions than in a year of outbound campaigns — and with higher response rates.
6. Create personalized campaigns to deliver a unique customer experience. 86% of customers say that personalization affects their purchase decisions, so tailoring their experience and encouraging them to click beyond your homepage is an important metric of conversion.