by Kezia PutraliApproximate read time: 6 minutes
The old adage, “Time is Money” is more relevant now than ever. People’s attention spans are becoming shorter and shorter as more products and services compete for their attention. From social media sites to news channels, they understand the importance of delivering the most relevant and engaging content to grab and keep your attention. They are optimized to not only get the largest audiences but also to engage them for longer durations.
This behavioral shift is reflected in the rise of companies such as ByteDance, the parent company of the video sharing app Tik Tok. When was the last time you heard Millennials or Gen Z discuss watching a sitcom on TV or Netflix? Yes, we heard crickets too. Tiktok videos are so popular precisely for their shorter, easier to consume form as compared to lengthier forms of entertainment that require a longer time commitment. Combine that with people’s natural propensity to prefer things that take less time, shorter checkout lines, no wait at the DMV (jackpot?) or finding the exact shoes you have been looking for as soon as you walk into a store, we like to be efficient with our time. This behavior very much applies to their online shopping and overall online activities.
To adapt with this widespread consumer trend, personalization is a solution for you to satisfy your customer preferences while saving them time. Not convinced yet? Let’s start with a study by Hubspot
. According to studies about personalized Call-To-Actions (CTAs) towards web-visitors, “personalization based conversion rates outperform other default versions by whopping 202%”.
This form of CTA is also known as the smart CTA which tailors the content towards various information about the visitor. This automatically contributes towards boosting your conversion rates and increasing revenue. Further studies by HubSpot also reveal that smart CTAs perform better than average conversion rates at 25-45%. Wondering how and where to get started? Here are some suggestions.
This is how BoffinAI may come in as your top personalization solution and some reasons why personalization is a perfect-fit for you
1. Noise Minimization and Increased Competitiveness
Picture yourself baking a cake. Your enthusiasm to bake that cake will be inversely proportional to the number of steps. You may call it a wrap by step 8 and place an online order from the neighbourhood bakery. This also applies to your customer’s shopping experience.
When hundreds or even thousands of products are shown to them, the desire to find the right product will be inversely proportional to the time it takes for them to sift through irrelevant and unrelated products. With personalization, you can develop precision and efficiency towards their browsing experience. Applying a sophisticated targeting strategy can help reduce the tendency of visitors to bounce.
2. Reminder and Conversion Rates
Have you ever received an email from Amazon reminding you about items left unpurchased in your online shopping cart or ‘saved for later’? According to SalesCycle
, nearly half of all abandoned cart emails are opened and over a third of clicks lead to purchases back on site.
When left to independently make purchasing decisions, people often develop doubts and second thoughts which delays their purchase. With personalization, you can appeal to your visitors by targeting the right products at the right time. They can feel more secure, convinced and re-engaged to purchase your products and services.
3. Building Meaningful Customer Relations
Deliver an optimal shopping experience to your shoppers and they will appreciate it. Personalization indirectly raises awareness in your current or potential customers that their needs are being met. This subconscious strengthening of their trust will translate to more return visitors and word of mouth referrals.
A study by Forrester
indicates that, “77% of consumers have chosen, recommended, or paid more for a brand that provides a personalized service or experience.” When recommendations match people’s needs, their barrier to follow through with a purchase reduces leading to increased checkout rates. Paired with smart product discovery, you can also increase the average order value (AOV) while promoting discovery of relevant products from your inventory. Please drop us a line
to learn more about smart product discovery.
4. Preparing for the Future
Many big companies have made head-starts in personalizing their services using their data. A research by McKinsey & Company
determined that “personalization leaders have found proven ways to drive 5 to 15 percent increases in revenue and 10 to 30 percent increases in marketing-spend efficiency.” Our advice to e-commerce merchants is to join this inevitable progression to keep up with consumer behavior that demands tailored content. This should also be a key consideration in building a core structure to your marketing strategies.