eCommerce personalization is a powerful conversion driver for Shopify stores.
Beyond segmentation, some of the world’s top eCommerce companies prioritize tailoring the customer experience for each user.
This is due to the fact that it increases revenue, customer lifetime value, and loyalty. A personalized offer is more likely to attract 70 percent of online shoppers.
While personalization may seem difficult, numerous strategies and apps make it simple for Shopify sellers.
We created this personalized marketing guide for your Shopify store to help you start customizing the customer experience right away.
What exactly is e-commerce personalization?
The term “ecommerce personalization” refers to displaying dynamic content based on customer data such as demographics, intent, preferences, browsing history, previous purchases, and device usage.
You can define audiences and customer segments, personalize content based on implicit and explicit customer data (including third-party data such as weather services), test your personalized content, and fully personalize the customer experience based on user journey tracking.
Why is Marketing Personalization Important?
Marketing personalization entails providing a better experience for your customers. Not only will this improve your customers’ experience, but it will also increase your revenue by 10-30%.
Personalization is also an excellent way to increase the ROI of marketing channels. Personalizing your ads, as well as email, text and unboxing campaigns can help improve the ROAS.
A personalized customer experience increases brand engagement, which can boost other metrics such as organic User Generated Content (UGC), Customer Lifetime Value (CLTV), and even Average Order Value (AOV).
The Benefits of Personalizing the Customer Experience
Personalized marketing is a strategy where brands create a tailored experience for their audience based on the information they gather about an individual shopper, including their demographics, psychographics, behavioural data, and customer intent signals.
While plenty of companies personalize the onsite customer experience, it’s especially effective for Shopify brands. Here are the reasons:
Enhanced Customer Loyalty
It is less expensive to keep existing customers than to acquire new ones and personalization assists brands in the same.
Personalizing the customer experience gives your customers a personal connection, which was once a feature of traditional brick-and-mortar shopping.
Today’s eCommerce shoppers have far more options, so a personal touch can help brands stand out.
Customers are growing familiar with the personalized, tailored customer service they receive on social media and Amazon.
Providing exclusive campaigns and personally recommended products gives customers the personalized experience they seek, which can increase loyalty.
Personalization Saves Money
Personalization is an effective way for Shopify merchants to increase revenue.
It’s also inexpensive. According to recent data, personalization can reduce customer acquisition costs by up to 50% while increasing marketing spend efficiency by 30%.
So, while launching a personalized campaign may cost a little more, your budget will extend further, making this a cost-effective part of your marketing strategy.
However, personalization should not be limited to your social media advertising campaigns; it should be part of unlimited product options strategy that attracts customers and keeps them returning for more.
A higher average order value
Customers receive targeted promotions and products based on their previous browsing behaviour and personal data with personalized offers, campaigns, and recommendations.
This makes the offers far more relevant, increasing sales by providing customers with items they are likely interested in.
Indeed, nearly half of shoppers say they made an impulse purchase after receiving a personalized recommendation from a brand.
More than 20% of shoppers say they spent more than $50 on a single purchase due to a personalized offer, and 7% spend more than $100.
Even more impressive, 85 percent of impulse shoppers were pleased with their purchase, with only 5% returning their items.
Improved Customer Connection
Today’s eCommerce experience is about more than just transactions; it’s about building relationships.
With so many options and competitors, especially online, you can’t win by simply creating products and opening a store. To compete, eCommerce businesses must humanize their brands and cultivate relationships with their customers.
Personalized marketing demonstrates to customers that you value them as individuals. That connection can help you build a stronger relationship in the coming months and years.
How to use customer reviews to personalize your customer’s shopping experience?
Ecommerce personalization necessitates merchants having a thorough understanding of their customers’ wants and needs and implementing touch points that address these throughout the purchasing journey.
Reviews influence consumer decisions and create a personalized experience by displaying relevant reviews from like-minded customers.
Here’s how to incorporate customer reviews into your shopping experience to boost personalization efforts.
1.Begin Talking With Customers
Personalization begins with getting to know your customers. Send review request emails to solicit feedback, listen to what customers have to say, and gain first-party insights into each customer. Use this data to power your product development and respond to customer questions or objections.
2.Highlight Important Customer Attributes in Reviews
The most common reason for returns is purchasing the wrong color, size, or fit (46 percent ). This is especially noticeable in ecommerce because customers cannot physically touch or see a product before purchasing. Give customers a deeper understanding of the products they’re about to buy by using attributes and filters that allow them to find reviews that are relevant to their needs.
3. Make personalized product suggestions
Product recommendations account for 26 percent of ecommerce revenue. You could be losing a lot of money if you don’t suggest potential products to existing customers (and the opportunity to secure long-term customer relationships).
Add reviews to your product recommendation emails or on-site product recommendations to reduce last-minute objections and boost buyer confidence.
4.Include customer feedback in abundant cart emails
Almost 70% of shoppers abandon their shopping carts without making a purchase. For merchants, abandoned carts are a major challenge, but luring customers back is easier when you have social proof.
Incorporate reviews into your abandoned cart emails to create FOMO and give on-the-fence shoppers the push they need to buy.
5.Give the Correct Information at the Correct Time
Customers expect varying levels of social proof and information as they progress through the buying process. At the beginning of the journey, someone may require proof that your product is superior to a competitor’s. In contrast, someone at the end of the journey may simply need a nudge from previous satisfied customers.
Fill the entire sales cycle with reviews, including ads, blog posts, and influencer content during the awareness stage and product pages and checkout pages during the decision stage.
Personalization of e-commerce is not a passing trend. It’s staying with us.
Keep in mind that your customers want a more personalized shopping experience. In exchange, they are willing to share personal information.
You don’t even need to consider the technical aspects of personalization.
You can use simple third-party tools to personalize your visitors’ shopping experience. One of them is Reviewbit.
You can increase conversions and sales revenue with a little personalization in your marketing.