Personalize that point-and-click experience
With practically anything you could imagine becoming available with the click of a mouse and same day delivery, online shopping has become the preferred way to buy. Online sales are predicted to reach $523 billion in the next five years.
This has impacted brick and mortar retailers across the country, several of which reported the closure of 100 or more of their stores including American Eagle, Macy’s, Men’s Wearhouse, and Walgreens.
Online purchasing can be simple, but even the most spendthrift shopper gives pause when entering personal information into an online form and clicking ‘submit.’ Where does all of that information end up? You might be surprised to learn that only 34% of retailers monitor purchasing trends in real-time and that only 37% of the data collected is used for their buying and planning.
Online shoppers, however, seem to expect that the data should be used to tailor their subsequent shopping experience. Product recommendations, promotions, and offers based on previous purchases, along with members-only discounts and free shipping are only a few of the perks customers have come to expect for their brand loyalty.
Infosys, a business consulting firm, polled consumers who have experienced personalization and found that 67% were highly in favor of personalized coupons, 62% were in favor of individualized promotions or offers, and 58% were in favor of product recommendations based on previous purchases. Overall, 86% said that personalization plays a role in their future purchasing decisions.
Remarkably, 89% of shoppers who reported visiting or interacting with a retailer’s social media channel reported that it had an impact on their purchasing choice. Social media has even taken over the “try it then buy it” mentality with 96% of consumers expecting retailers to inform them of new products and only 59% discovering them via personal research. This stresses the importance of a consistent and appealing branding message across a website as well as the social media profile.
The benefits of personalized shopping are obvious for the consumers as they can find new products more easily and receive coupons, and personalized offers, but the benefits for the business are boundless with increasing profit, online traffic, and brand loyalty.