What does personalization mean? What does personalization mean? Does it refer to the red shoes that follow me wherever I go after I have viewed them in an online shop? We are asking ourselves this question.FrosmoWhen starting the discussion on website personalization, it is common to get confused. Personalization is often associated with retargeting. This is an online advertising method that keeps your product in front visitors who have left your site. This post is aboutPersonalizing the experienceWhile a visitor is visiting your site. These principles are applicable to all websites, regardless of whether they serve media, commerce, or the public sector.
Gartner states that personalization is “a process that creates a relevant and individualized interaction between two people to enhance the recipient’s experience.” It provides insight using the recipient’s personal and behavioral data to create an experience that meets specific needs and preferences. Website visitors have higher expectations of a relevant experience as they increase their data processing options.
The industry will determine the type of product.Business goalsPersonalization costs vary. Retailers see four main factors as top of mind: customer acquisition cost, conversion rates and average order value. Our customerClas OhlsonWe were able to increase their conversion rates by 13% through improvements to the checkout funnel, and 14% in the basket value by making sure people added enough items that they qualify for free shipping.
In principle the personalization process is simple: take data on visitor’s behavior and preferences, run it through a personalization software and see your conversions and customer loyalty go up. It is important to ensure compliance with GDPR.
How can I get started?This is what we’ve all seen at Amazon: Customers who viewed this product also viewed it. Personalization can be done in many different formats, beyond product and content recommendations. It is important to start with your business goals, then think 20/80. Can I achieve 80% effect with 20% cause? The same principles are applicable here as in continuous improvement and plan-do–check-act (Deming Cycle) which were used to manage quality. As a way to work from the beginning, it is recommended that you track and optimize the personalization’s impact and performance.
Next, I will give you two examples from media and retail to show how to go from a business goal to a targeted and personalized experience.
Example of a retail business objective: I want more conversions from my seasonal campaign. Solution: Personalize your experience beyond the landing page. This will allow visitors to continue their journey through the campaigns. Remind them about campaign-specific benefits and call to actions throughout their journey. We see that campaigns often pique the curiosity of visitors, and that when they return to the site it is through the homepage. This page should provide the same personalized experience.
Media Example: I want visitors to my article page through a search engine to read more than one article, and see relevant promotional content. Solution: Use artificial intelligence with targeted promotional messages to choose the best next content.
A word of caution: don’t overdo it. Product recommendations on retail websites are so effective that we sometimes see entire product pages cluttered with multiple types of recommendations. This can reduce the relevance and value of recommendations. You must also optimize for conversions but also consider brand expression and experience.
Here are some key points to help you get started.
- Personalization requires clear business goals
- Start small and adopt a data-driven strategy
- Combine rule-based personalization and machine learning
- Continuously improve and experiment.
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