A personalized eCommerce customer experience adds significant value for both customers and your bottom line. A study by Segment found that 44% of customers are more likely to become repeat customers if they have a personalized experience.
And according to Deloitte, 36% of consumers express interest in purchasing personalized products or services, with 48% saying they would be willing to wait longer in order to receive it.
There are several different ways to personalize the eCommerce customer experience, but it all starts with a good user experience.
Building a Solid Customer Experience
Your customer won't care that you sent them a coupon on their birthday if your product pages take two minutes to load. Focus on creating a solid user experience on your site before you worry about personalization. At a bare minimum, your site needs to check the following boxes:
Relevant Content
Delivering relevant, high quality content to customers is often overlooked as a form of personalization. The fact is, the basis of personalization is providing a unique, relevant experience to each customer that interacts with your site. Using cookies to target specific segments of site visitors allows you to show them personalized content. Use high quality product images, and include lifestyle photos to allow customers to envision a product in their own lives. Create personalized content like style guides based on previous purchases or what is already in their cart. Display recently viewed items to capture customers who previously visited your site.
Additionally, offering Shop by Store or even allowing customers to narrow down their browsing by the country they are located in, delivers the most relevant content to them based on location. Further personalize their experience by allowing them to view the site in different languages.
Product Recommendations
Product recommendations can be driven by past purchases, browsing behavior, demographics like age, ethnicity, location, and psychographics like interests, attitudes, and habits. One of the most effective ways to increase average order value is to make product recommendations based on what's in the customer's cart already. When you browse in a physical store, you may walk in looking for a specific item, but something else will catch your eye and you will end up purchasing additional items you didn't plan on buying (Target run anyone?) According to Segment, 40% of US consumers purchased something more expensive because their experience was personalized. 49% of shoppers purchased a product they didn't intend on buying after receiving a personalized recommendation. Upselling and cross-selling techniques enable product discovery without the option of physically browsing a store.
You can also recommend products based on seasonality (rain boots on the East Coast in April or thick socks during the winter) or suggest items a customer may like using a callout such as 'Customers also purchased....' The more personalized the recommendation, the more likely the customer is to add the item to their cart.
A/B Testing and User Testing
A/B testing involves trying out 2 different versions of your site to see which one performs better. The differences between the two can be as simple as a different placement of the 'Add to Cart' buttons, or could involve showing two completely different homepages to different consumers based on their segment. The secret to optimizing your site's conversion rate is to test everything.
User testing such as using heat maps for tracking how customers interact with your site can tell you what changes to make. Sometimes something as simple as changing the color of a button or moving the cart logo on your site can have a dramatic impact on your bottom line.
Holidays and Birthdays
On a customer's birthday, sending a personalized email with a discount code is a great way to encourage a purchase. Birthdays are also a great time to use direct mail—sending a handwritten note with a coupon or promo code is a personal touch that a customer is far more likely to hold on to, and it further strengthens their relationship with the brand.
Capture Customers Before they Leave
When a customer shows signs of leaving your site, it's called exit intent. Google Tag Manager provides a solution to track exit intent and allows you to display pop-ups that could keep visitors on your site. A discount for signing up for a newsletter that appears in a pop-up when a customer is about to leave your site can increase conversions. Capturing feedback on why a customer may want to leave your site ('Didn't find what you were looking for? Talk to a Customer Service Agent through our live chat system') is also an effective way to help customers find what they need and keep them on your site.
Win Back Customers
Despite your best efforts, some customers will still decide to leave your site without making a purchase. Win back those customers with abandoned cart emails, retargeting ads, or even by sending a discount through email or direct mail. Customers leave for a variety of reasons; if they're not converting, your prices could be too high for them and they could be waiting for a sale or discount, checkout could have been too tedious or slow, or customers may simply get distracted and move on to something else. Optimizing your site and your checkout process in particular will help reduce your exit rate, and focusing on winning back lost customers with personalized content will help boost your sales.
Gathering Customer Data
As a final note, most retailers assume personalization requires aggressively collecting customer information. And yes, you need customer data to accurately personalize the customer experience. However, customers want personalized experiences that make them feel seen and understood, not stalked. Be aware of how often you are requesting consumer information and how much you are asking for. When gathering any type of data, let customers know why you need it and the context in which it will be used. This will increase the likelihood that they will provide the information and help you optimize their customer experience.
Personalizing the eCommerce customer experience is crucial to growing your business. Schedule a free site audit with Virid, and we'll give you a report full of insights to help you optimize your site for growth.
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