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4 Reasons to Use E-commerce Personalization

Syed Balkhi
Syed Balkhi

Personalization is crucial to your success if you own an e-commerce business.

Are you ready to take your e-commerce marketing strategy to the next level? Consumers have rapidly shifted from strictly shopping with physical locations to the wide-open world of the internet. As a result, competition is at an all-time high across all industries. 

We know that it can be challenging to convert new leads, but many business owners also struggle with keeping people interested in their product or service after their first visit. You can retain more customers and increase your conversion rate by adding personalization to various aspects of your marketing campaigns and website design. 

Simply put, personalization is the process of creating custom content for specific customer segments or individual users. This strategy is used on websites, social media, and email to build trust with consumers and create custom sales funnels. 

Let’s take a look at four vital reasons why you need to add personalization to your e-commerce storefront. 

Open the door to new email marketing opportunities

Email marketing is one of the most used channels for communicating with customers. People tend to check their email daily, and sending the right email to the right customer can help you generate more sales and traffic. 

Personalization is used in email marketing in several ways. After you start building your email list, start segmenting your leads based on their interests. These segments will each receive a different campaign that you've designed. The goal is to appeal to the subscribers' pain points while giving them an irresistible offer. 

So if you operate an e-commerce store that sells clothing, you would start by segmenting your list based on clothing type and style. You wouldn't want to send a promotion for your new clothing line for children to a subscriber that's only purchased suits and ties. However, you would want to send that promotion to someone that has purchased accessories for their children on your website. 

Research shows that personalization in email delivers significant results. Businesses that use email personalization tend to see a 26% boost to their open rate. Depending on your audience size, this number could be a massive step up for your small business. 

Show custom offers to visitors 

Targeting customers through email is great, but are you adding personalization to your website? One of the most well-known brands that use this method is Amazon. If you put an item in your cart, you can see similar products that other people purchased in the same area. These offers are designed to appeal to the segment that added the first item. 

Amazon uses an AI program that analyzes consumer behavior to show products that were statistically bundled together without a prompt from the company. Using the compiled data, the company can learn more about its customers and create custom lists of products that appeal to its users. 

You can show custom offers to your visitors by creating popups with exclusive discounts. The key is to structure the popups to appear based on user behavior. For instance, you could create a promotion for first-time customers that only appear to users that haven’t visited your website in the past. 

Similarly, by creating a campaign that gives return users a discount for coming back, you can appeal to two of the broadest segment categories -- new and returning customers. 

There are plenty of different ways you can offer personalized promotions to your website visitors. The key is to understand what your audience wants to see and then deliver. 

Create curated content 

Most successful e-commerce storefronts have a blog on their website. When you consider that 77% of internet users read blog content, it's an obvious choice to increase engagement, traffic, and sales. 

Consumers actively communicate with brands that appeal to their needs and post relevant blog content. The only problem is that not all of your content is going to be relevant to all of your users. 

You can make the most of your blog content by creating curated lists of content from your blog and show them to users on your website, or send out an email series with your most popular posts. 

Personalization ties into this aspect of content marketing because by understanding your target audience, you can send relatable posts to each user, which will help you increase your open rate.

You can improve and refine your personalization efforts by creating buyer persona profiles. Think about the personalities, goals, and pain points of the people who visit your website and create a general profile for each segment of your audience. Once you know how to appeal to your audience, you can look through your content and create custom campaigns for each group of users. 

Reduce cart abandonment

Shopping cart abandonment is one of the biggest problems that business owners and marketers face when operating an e-commerce website. There's nothing quite as frustrating as watching sales go out the door and seeing potential leads leave only to never return. 

Luckily, you can dramatically slow down cart abandonment by using personalization in both your email and social media marketing campaigns. Normally, when a lead leaves your website after adding an item to their cart, they are gone for good. 

You can convince these people to come back and complete their order if you reach out to them with a personalized message. For instance, if someone subscribed to your clothing store, but abandoned their cart, you can send them an email featuring the items they added and an exclusive discount to seal the deal. 

If the person sees that you were paying attention, they may be more likely to come back and complete their order. Why? The main reason is that consumers expect businesses to listen to their needs and work to close the deal. In other words, if you don’t care if they leave, why should they? You can avoid this pitfall by sending out an email series with 2-4 emails over a week. Sending out these emails will help you pull back consumers that would otherwise leave without a second thought. 

Social media retargeting is another excellent personalization tactic. Over 3 billion people use social media, so there's a good chance you’ll catch up to your audience when they check their Facebook or Instagram accounts. Couple that statistic with the fact that 80% of internet users have at least one social media account, and it’s easy to see why this strategy is popular. 

Essentially, retargeting is when your website drops a cookie, also known as a retargeting pixel, on a users' browser when they land on your site. The pixel allows you to show promotions to the consumer on social media if they don't complete their order. As a result, you're able to reduce the number of people that abandon their shopping carts.  

There you have it. These four tips will help you boost sales and engagement on your e-commerce storefront. The key to success, in this instance, is patience. You're not going to see a drastic shift overnight, but working to create personalized experiences for your users will result in more feedback and sales. 

As your business grows, you may have to create new segments to accommodate for new products, features, and content. Building personal connections with the people that frequent your website will help you grow and scale-up as more people subscribe to your email list, shop on your storefront, and interact with your brand across all platforms. 

Image Credit: Carmen Murillo/Getty Images
Syed Balkhi
Syed Balkhi Member
Hello, I'm Syed Balkhi, a 27 year old award-winning entrepreneur with a strong 8 figure online business. I was recognized as the top 100 entrepreneur under the age of 30 by the United Nations. I was born in Karachi, Pakistan. At age 12, my family immigrated to the United States. Ever since I can remember, I have been extremely competitive which makes me hustle at everything that I do.