Personalised product recommenders – we have all seen them whilst browsing our favourite online stores – they are usually always on a websites homepage, product page and/or basket page. They are far from a new trend.
Amazon, for instance, is a great example of utilising product recommenders to boost conversion. In fact, 35% of their total revenue is generated from their tactical use of AI-driven product recommenders. They are the upsell and cross sell kings!
Although, the majority of us know that product recommenders are not the newest trend of ecommerce personalisation, they are indeed one of the most beneficial, especially in terms of boosting conversion rate.
Recently, the brick and mortar stores of the UK have been allowed to reopen. Footfall on the highstreet across the nation has risen. It is still known that online shopping is and will continue to remain favoured by many. However, the question that is circling the ecommerce world at the moment is: how can an online store replicate the same customer experience that can be achieved in a physical store? Our latest blog discusses this topic in more detail.
A physical store comes equipped with retail professionals that are there to assist the customers. They can easily suggest and recommend products based on listening to the customers wants and needs. Product recommenders are a way of doing this virtually. They recommend products to your customers based on their behaviour when they are on the site. This not only improves user experience, but maximises conversion as well.
Data driven pProduct recommenders are a vital part of every ecommerce business, throughout this blog we will discuss;
- The different types of product recommenders
- Best practices (with live examples)
The Key Differences Between Standard Recommenders and AI Driven Recommenders
Many stores have product recommenders. But many do not understand the differences between a standard product recommender and AI-driven product recommenders. Different ecommerce platformsstores use different types of product recommenders.
We have found that product recommenders that work based on data, in real-time and on the individual are much more effective than generic recommenders. Standard recommenders can sometimes find that they are irrelevant and not personalised enough to convert.
Below is a table that discusses the key differences between the two – take a look and see which you think would be most beneficial:
|Marketplace Standard Recommenders||AI-Driven Real-Time Recommenders|
|Limited to product page, shopping page and category listing page||Can be placed anywhere on your website from homepage through to basket and order confirmation email|
|Limited to previous purchase behaviour to determine which products to show||Looks at individual behaviour, previous purchases and behaviour, trends within customer segment and trends across the website|
|Default settings and product selection for first time visitor as no previous history available||Tracks on site behaviour plus analyses trends in first time visitor segment and provides product, category and brand recommendation based on that data insight|
|Can only be placed at top or bottom of page||Can be placed in any area of real estate on the page. AI determines which recommender to show and where on the website for maximum conversion|
|Limited rules as to criteria of what shown – show what others who bought this item also bought||No limit to the criteria of what products are shown. Can be based on item value, cross sell, up sell, complete the look, gender, previous search history, location etc. The list is endless|
|Repeat products seen in recommenders throughout the site||An advanced AI engine knows what products are being shown to who and where and ensures no two recommenders are shown in a single user journey and there is no duplication of products recommended|
|Fixed recommenders and recommendations regardless of user profile||Recommenders change with every click of the user journey to ensure they are always relevant to the customer.|
|Limited to the website alone||Can also be used across email campaigns and included in order confirmation, abandoned basket email and customer renewal campaigns|
The more personalised and relevant a website is throughout the whole customer journey the more return you will see. Moreover, it has been proven that a personalised customer journey is what people are looking for nowadays. Of course, every ecommerce store wants happy customers, as we all know that a happy customer equals a loyal customer.
Which areas of your site to include product recommenders to maximise conversion
Product recommenders can be placed anywhere but they are critical on the key buying pages of your customer’s journey. PureClarity allows you to personalise any part of your site. You name it and we will be more than happy to personalise it!
Many of our clients are reaping the benefits of using our AI-driven personalised product recommenders. Here’s three main areas of a site that we believe work particularly well for maximising conversion:
The homepage is an ideal place for your product recommenders to sit. You want to wow your customers as soon as they enter your site. If you display products that are suitable for them based on their interests, likes and previous shopping habits then you are in for a sure win.
Right, Llet’s see this in action. Our client Comfy Homes, a Yorkshire based home furnishings retailer, continues to reap the rewards of AI-driven product recommenders.
When the first lockdown hit back in March 2020, Comfy Homes stores were forced to close. With now a heavy reliance on selling online, the company understood the importance of understanding their customers shopping behaviours.
Their main concern was the ability to offer the same high level of CX that they offered in-store online. With PureClarity’s help they have been able to increase their conversion rate through cross selling and upselling of products, offer a personalised and unique customer journey, and monitor and track their customers shopping behaviours through our built-in analytics.
Comfy Homes have a large product range. They wanted to be able to showcase their products as soon as their customers entered their site – so adding product recommenders to their homepage was a no brainer. Adopting the use of automated AI-driven product recommenders have meant that their customers buying process is much easier and quicker.
Comfy Homes set up three recommender campaigns to appear on the homepage:
- One to showcase the products that are trending,
- Best sellers,
- And products they may also like based on their previous visits.
These products change in real-time so any person shopping online will see the latest products within that category that are relevant to them.
The basket page is a great place to add product recommenders. The basket page is one of the last hurdles before the customer commits and checkouts the product. Including product recommenders could not only increase your conversion rate but also increase your average order value.
Harry Hall, a client of ours, specialises in equestrian products and insurance policies.
Since using PureClarity the results they have seen have been fantastic:
- 10% increase in overall conversion
- 17.5% increase in revenue driven by the use of PureClarity product recommenders alone
One place in particular that Harry Hall has introduced AI-driven product recommenders is on their basket page. Below you can see personalised product recommenders they are currently using on their site.
The purpose of this was to cross-sell and up-sell as many products as possible. They wanted to show complementary products to increase average order and their conversion rate – and with no surprise it works brilliantlyked!
A product page is not complete without some great product recommenders to advertise similar products, products that compliment this one, and/or allow opportunity for a cross-sell or upsell.
Widdop provides us with a great example of how adding product recommenders to a product page can increase conversion, average order value, and overall online revenue. Below you can see that Widdop decided to implement PureClarity’s AI-driven recommenders to their product pages.
They ran one set of recommenders called ‘people who bought this product also bought’. The overall goal of this campaign was to increase conversion and average order value. An advantage of having a large product range means that there is plenty of choice for the AI engine to choose from as complimentary products.
We all know that people trust people. Encouraging your customers to take the same path as another customer is easily done through cross-selling.
- Average order value has increased by 5%
- Monthly revenue has increased by 22%
- Pages that featured AI recommenders saw a 3% conversion rate higher than all the other pages across the site
Get in touch with PureClarity today
We consider ourselves as experts in personalisation – especially with product recommenders. Let us help you increase your online conversion rate.