Improving Conversion with Personalized Shopping Experience
Conversion rate is a metric that E-Commerce business owners make a priority, and pretty justifiably. Conversion rate is given by the number of visitors to a website who take a desired action (be that making a purchase, filling out a form and etc.), divided by the total amount of visitors to that website. In other words, this metric seems to effect business revenue directly. Since this specific piece of information mirrors business revenue in some way, there's no wonder why it matters so much in the E-Commerce world, and there's no doubt you should care about it too.
Think about it that way: surveys documenting average conversion rates usually put the figure around 2%. That means that for every 1000 visitors to your website, only 20 would end up purchasing. And while not every visitor is a real potential customer, there are certainly a lot of misses – a visitor who's essentially a potential customer, but was held back from making a purchase. In some cases, the reason behind not purchasing or even abandoning the cart has nothing to do with your business. But in many other cases, it is quite the contrary – there must be something on your website that doesn't match perfectly to a specific users' preferences, which drove them away from landing that purchase.
Luckily, a new approach to increasing conversion rates makes it possible now for you to adjust your website in a way that would match the user's preferences according to their behavior and activity data – say hello to E-Commerce personalization. Website personalization is the process of creating customized experiences for visitors to a website. Rather than providing a single, broad experience, website personalization utilizes advanced machine learning algorithms, which allows companies to present visitors with unique experiences tailored to their needs and desires.
According to Google, 90 percent of marketers agree that user experience personalization is key to improving profitability. In addition, Amazon makes up to 30 percent of their E-Commerce revenue from their recommendation algorithms, which provide personalized recommendations based on user activity. Customers themselves testify they love personalized content, with 62% stating personalization helped them get a better deal, 49% stated it saved them some time and 46% claiming personalization provided them information they didn't have before.
The personalization process can be applied to your website on many levels: It could be the actual, textual content you provide; it could change up your entire website layout and design; it could alter the order by which product and categories are presented; and it could apply manipulations to your purchase page, to help users get more engaged and encourage actual purchases. It could be anything ranging from large scale design changes to the smallest tweaks concerning your "Buy Now" button or last minute promotions and coupons.
In conclusion, web personalization seems to be one for the books. Marketers and E-commerce business owners around the world tend to stick to this technology in order to boost business revenues and profitability. Next time you think of googling "Shopify increase conversions", look up how to implement web personalization instead.
