How eCommerce retailers can use personalization to turn customers into fans

14 Feb 2017 | By Adam Walhout

Business has been revolutionized in the last five years. Brands are having to get to grips with a world where consumers now get their information and product offers through images and videos. eCommerce retailers are also having to contend with growing competition from new challengers and with consumers who are less loyal and more demanding than ever before.

Research from KPMG shows that 88 percent of CEOs are concerned about their customers' loyalty and almost half think they are not keeping pace with consumer expectations and are not connecting with them enough online.  

So what’s the solution? It's real, 1:1 personalization. Creating a compelling, personalized online experience tailored to an individual's needs and interests can:

  • Build and maintain customer loyalty to your brand
  • Make meaningful connections with new and existing customers
  • Turn flyby website visitors into returning customers
  • Boost revenues through cross-selling and up-selling
  • Turn customers into fans of your brand


Engage your customers with relevant content

Amazon has led the way in personalization, recommending products to customers based on their previous purchases, what other customers have bought, things they have rated and liked and what is on their wish lists. It is reported that these recommendations have increased Amazon’s sales by between 10 and 30 percent. You can't compete with Amazon on price and product recommendation, so you must win with a better customer experience.

Many other retailers are now copying this model and offering varying levels of personalization to boost sales and increase customer loyalty.

The online fashion and home products retailer, very.co.uk, says that it can now create 1.2 million versions of its homepage so that its customers are recommended products that are entirely relevant to them. For example, fashion conscious twenty-somethings see their favorite clothing brands while homeowners see furniture and home products. Meanwhile fashion retailer Monsoon / Accessorize says that personal recommendations have boosted order values by 133 percent.         

Relevancy is key

If you give consumers the right content, at the right time, in the right place, then they’re likely to come back for more.

But you have to harness data

Getting it right depends on using big data effectively. The entertainment giant Netflix, like Amazon, has built its business on providing relevant recommendations to its users. But it's vital to use the data in the right way – people who binge watch Game of Thrones or Breaking Bad are unlikely to want their next recommendation to be Disney's Frozen.                      

Understand the relationship between user and content

Retailers are in a great position to provide users with highly curated, personalized content that is relevant and timely. By embedding technology into their website, they can get a clear picture of the products a customer is interested in and then recommend similar items – and related content like articles, videos and buying guides – encouraging shoppers to delve deeper, stay on the site longer and engage with the brand on a much closer level.

Takeaways:

  • Understand what your customers want by using big data.
  • Engage your customers with relevant content, product recommendations and offers.
  • Convert more visitors into loyal customers with targeted offerings.
  • Deliver what your customers want and turn them into fans of your brand.


Personalization can help reduce bounce rates, increase the amount of time visitors spend on a site, deepen their engagement and provides opportunities for cross selling and monetization. Download How to create compelling online customer experiences with personalization: a step-by-step guide to increasing audience acquisition, retention, and advocacy

click to download eguide