One of the main challenges of running an E-commerce business these days is standing out from the crowd. With so many online retailers, customers have more choices than ever, meaning smaller companies can struggle to get noticed.
Thankfully, you don’t have to sit back and wait for customers. Instead, you can be proactive and enhance your business strategy. Personalization is an excellent choice, particularly if you already have a subscriber and customer list (even if each one is relatively small). But how can you start personalizing your E-commerce brand? Here’s how.
Why Does Personalization in E-Commerce Matter?
Consumers are savvier than ever, and they’re exposed to ads constantly throughout the day. So, for an ad or post to stand out, it has to speak to the customer directly.
Sometimes, personalization just means it speaks to a user’s current situation (e.g., I need X product to solve my problem). In other cases, it can mean speaking to the customer by using their name and some basic information about them. For example, if you have users submit their birthdays when signing up for your email list, you can send a personalized message on their birthday.
But how much does personalization matter? According to data, users are six times more likely to engage with an email if it’s personalized to them directly. Alternatively, users who see a generic email with standard text are two times less likely to click on it.
Overall, personalization works because it makes customers feel seen and respected. They’re not just a number on a spreadsheet.
How to Implement a Product Personalization Strategy
Technology has made personalization easier than ever. However, you can’t just press a button and develop a customized marketing campaign. There are some critical steps involved, such as:
Step 1: Do Your Research
First and foremost, you must understand your audience if you’re going to connect with them. For example, if you’re selling kids’ books on Amazon, you need to know which topics parents want their children to read about since they’re buying them. Similarly, if you’re trying to reach working professionals, you need to know their pain points so you can reach out with a customized, tailored solution.
Also, keep in mind that researching your audience isn’t a one-time practice. At first, you may have a general idea of what your customers want, but over time, you need to refine your campaign based on data. Analytics programs can enhance your marketing strategy and ensure you get more clicks and higher sales with each new promotion.
Finally, consider where your leads are coming from. Will you find most of your new subscribers from social media or search engine results? When someone clicks on an ad or a link, what do they expect to see from your business? Knowing these answers can help you create more compelling content that resonates with your audience.
Step 2: Segment and Curate Your Lists
One mistake many small businesses make is taking a “one-size-fits-all” approach to email marketing. So, rather than generating targeted emails for different groups, they send a single mass email to everyone on their list, whether the message is relevant or not.
Instead, segmentation can yield some incredible benefits. Best of all, many modern email marketing platforms offer automated tools to speed up this process. Here are some segmentation tips:
- Retarget Then Remove – If a subscriber has never engaged with your emails, give them one last chance to take action before removing them from your list. Retargeting can be quite effective as it pushes the user to do something. Then, if they’re still inactive, remove them so you have a more accurate subscriber count.
- Try A/B Testing – As you curate your overall subscriber list, test multiple versions of similar emails to see which ones get the most engagement. For example, if you’re selling eco-friendly diapers, one email can highlight the product’s sustainability, while another highlights how it’s good for the baby’s skin. This data can help you refine future campaigns.
- Use Surveys to Your Advantage – Surveys can help you gather valuable information about your subscribers and customers. For example, you can send a survey to discover what kind of email content each user wants to receive. From there, you can segment everyone accordingly without any guesswork.
- Craft a Killer Welcome Email – Data shows that the first email you send has the highest open rate, so take advantage. Think of this email as your one chance to close the deal. If you don’t have a compelling pitch, you’ll lose a subscriber, even if they don’t remove themselves from your mailing list.
Step 3: Create Loyalty Programs
Customers love loyalty programs, especially those that offer amazing perks and benefits. Best of all, you can use customer data from a loyalty program to refine your overall strategy.
To start, you can send curated discounts and deals to everyone within the main program. Not all users will claim every deal, so when they do, you can put them into a different segment based on that action. For example, if you’re selling cosmetics, some customers may use discounts on hair products while others focus on lipstick and mascara. From there, you can segment each user so they mainly see messages regarding the products they buy most.
Step 4: Make Personalized Recommendations
As you get more customers, you can use their shopping data to curate better marketing campaigns. For example, if someone buys a product, you can recommend accessories or similar products to enhance their user experience. Alternatively, if someone buys a product they’ll need again (e.g., diapers or cleaning materials), you can send reminders when it’s time to refill.
These kinds of recommendations can not only help boost sales but also show customers that you’re interested in creating a long-term relationship. Many businesses stop communicating after a sale, so continuing that communication can lead to more sales in the future.
If you are unsure what these recommendations are, Amazon is a great example. Once you have added a product to your basket, they will also recommend other products that are related to the one you have added to your basket. It will also suggest products when you are viewing one product that is similar to that one. Implementing this with your e-commerce business will help drive even more sales to your website.
The Bottom Line: A Customized Experience Works
As an E-commerce business owner, standing out from the crowd is challenging but more than possible. With the right tools and proactive strategies, you can build a stronger bottom line and increase customer satisfaction.