Using recommendation engines for ecommerce personalization

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Take control of what your ecommerce customers see using a targeted product recommendation engine.

Using a recommendation engine, you can deliver personalized experiences to increase adds-to-basket, cross-sell and become more customer-centric. This is especially valuable for brands with large product catalogs because the algorithm based feature acts as a data filtering tool, showing site visitors more of the available products—and the most relevant products—naturally integrated with the customer journey.

Recommendations are a valuable element in ecommerce personalization

Product recommendations can shortcut the decision-making process and there is significant value in using it as part of your personalization strategy:

  • Economic - Recommendations consistently perform well, with up to  6% uplift in total digital top-line revenues when a range of techniques are implemented.
  • Emotional - survey data shows 73% of consumers value recommendations, which use biases and heuristics (intuitive ways to generate quick, approximate answers) to help with decision making.
  • Efficiency - A brand using recommendations, integrated with segmentation and other personalization software becomes a tool for merchandisers to do their jobs better, and more efficiently, bringing data and customer experiences together to make their lives easier and their impact on the brand greater.



    Product recommendations

The essential role of the merchandiser to balance the recommendation engine

In our recent webinar ‘curation and automation’, we looked at why product recommendations are so powerful; how you can use customer psychology, recommendation strategies and customer segments together to address core business needs in a scalable way. But working out which strategy your brand needs the product recommendation engine to drive, that needs the merchandiser’s touch - their expertise is supported, not replaced, by automation.  Not least, because the algorithms work on past behavior, and can’t introduce new ideas: this is where the merchandiser shines.

The merchandiser can also limit the recommendation engine according to brand strategy, using controls such as pinning, promotion and templates to shape your recommendations.  

By understanding your visitors’ behavior, including how they interact with your brand, what they’re looking to achieve, as well as the psychology behind the decision-making; you merchandisers  use recommendations to help customers purchase and in turn, deliver increased revenue for your business. By using different recommendation strategies, merchandisers can support different business goals and play to a variety of different visitor needs.

As a place to get started, you can incorporate proven tactics which provide concrete first steps and quick ROI wins. Techniques such as product recommendations and social proof, and personalizations using rules or templates can all be used for scale and value. In our latest report ‘Getting started on the path to personalization’ we have outlined the simple steps you can take, especially in the face of competing priorities, lack of resources and pressing timescales.

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