According to Lemonstand, there are over 650,000 eCommerce sites worldwide selling more than $1,000 per year. Moreover, many more sites are yet to come, and we see that this number is ever increasing. So if you want to enter this world, too, you can check out different tips for starting an eCommerce business. However, the most important advice for already ongoing businesses in the eCommerce sector is adapting eCommerce personalization tools. Even though it looks like only one tip, eCommerce personalization is a whole topic itself which has many subtopics and hence many different tips and tricks on this topic. Today, after explaining precisely what eCommerce personalization is I will talk about the eCommerce personalization tools through which one can achieve this goal and have higher conversion rates hence get more revenue.
The term personalization itself is a well-known word. In Wikipedia, it says that it is also known as customization and its primary goal is to improve customer satisfaction. You can find examples of personalization almost everywhere from the internet to your small local shop. One way or another everybody craves customized experiences and here is why. So you can think of it as a one-to-one marketing. That is why personalization plays a crucial role in customer engagement. Once you play this card wisely and correctly taking the customers’ needs and wishes into account, the customers will get engaged to your business. And this attachment is actually what every business owner is looking for. You as a client would feel satisfied or even happier when Siri says hi to you personally on the phone or when you open up your browser, and it welcomes you calling your name or when you go to your regular barbershop, and the barber already knows what you want. You don’t even bother to explain anything. Or when you go to an eCommerce site, and it gives you product recommendations that exactly match your interests and needs.
As for the eCommerce sector, according to last year’s data the size of the eCommerce sector is over $1.5 trillion and it is still growing. So there is a huge potential in this sector for every eCommerce business owner. However, one shouldn’t forget that only less than 3% of all eCommerce websites make more than a million and 34% of them make less than $10k yearly. Hence, even though the eCommerce world is huge, it is hard to survive in this ocean and differentiate yourself from your competitors. Right at this point personalization is one of the most important factors of how you can differentiate. eCommerce personalization increases the conversion rate and decreases the bounce rate through which you can make more money. But more importantly, as I said before, personalization is strongly tied with engagement and attachment through the satisfaction of your customers. So once you establish this connection with your visitors, they will become your regular customers, and you will have a much better brand image and higher revenues.
eCommerce personalization tools
Now, since we know what personalization is and we have a general overview of the eCommerce sector and the importance of personalization in eCommerce, the main question is how to accomplish that. At this point, there are various tools one can use which we call eCommerce personalization tools. There isn’t only one type of tool, but you’d better use a set of tools which would bring you more committed customers and more revenue. Let’s explore some of these tools and their applications.
First of all, one should monitor the visitors’ behavior and understand them to offer them personalized products/services. These analytics tools help you figure out what is going on in your website and see your products and services’ performance. Let me give you an example here. For example, you think that a particular product would become a best seller, so you put it on your homepage. However, when you check the analytics data, you see that you only got a few sales and your expectations didn’t come true. Thanks to this analytics tool you see that you couldn’t forecast it right and you can now take some precautionary actions, such as remove that product widget from your homepage. Another example could be that with the help of one of these tools such as Trendify the eCommerce business owner can see if a product is demanded much but can’t be supplied because there is not enough product in your inventory. This can also be anticipated very easily, and measures can be taken now.
Email marketing is one of the largest eCommerce personalization tools because it has a very high conversion rate. Especially, if you can target the visitors correctly and remind them that they forgot their carts recommending related products it is very likely that the customer would come again and this time make the purchase. You can refer to this article to see the best examples of email marketing. So personalized content within correctly targeted emails is going to increase your conversion rates for sure.
This is the best place where you can see a real example of personalization. Recommendation engines, I would say the most important eCommerce personalization tool, work towards your conversion goal by monitoring customer behavior and offering the right products to the right customers at the right time and place. This area is also where you find the most relevant application of big data and machine learning that touches our daily lives. Here is a relevant page explaining recommendation engines.
Feedbacks and social media
It is always good to be in touch with the customers. Since you don’t have a store and a salesperson directly in contact with the client, you somehow need to listen to their problems and try to find individual solutions to them. For example, Zendesk is a software example that establishes better customer relationships. You can use many more different tools, central idea being listening to the customers and satisfying them with appropriate solutions. As for the social media, it is a very useful tool to listen to the audience and to take actions accordingly. Some of the benefits of social media marketing for your eCommerce business are explained in this blog post.
Through all these eCommerce personalization tools and preferably many more of them, you will finally have deeper engagement with your customers. They will feel more unique and think that you understand them well and can offer them what exactly they need or want. This personalized experience will, in the end, turn into greater conversion rates and thus more revenue for your eCommerce business.