Personalised Product recommendations to boost engagement and conversion

- Abhishek Kumar

December 1, 2021

Certainly, your most effective marketing channel is an e-commerce website. The more seamless and smooth your consumers' buying experience, the higher your prospects of growing sales and conversions. Implementing a well-crafted product suggestion with a warm personal touch is certain to provide great outcomes in terms of sales and conversions.

As per a recent survey, e-commerce revenues from shoppers who bought products through recommended products made up for over 26% of its total revenues. It has been proved that personalized product recommendations raise eCommerce conversion rates significantly, besides pushing up the average order value, known in marketing parlance as (AOV), by over 3%.

What is meant by Personalized Product Recommendations?

Personalized product recommendations are a list of product choices that are unique for every viewer or subscriber. These recommendations are curated based on a user's buying and browsing behaviour on online shopping platforms.

How Do Personalized Product Recommendations In eCommerce Work?

E-commerce product recommendations are a result of the process of filtering information. This filtering process makes suggestions on product choices to customers based on their online shopping behaviour such as browsing history,  search queries, and buying history. Due to the massive amounts of data generated in the course of e-commerce transactions,  eCommerce marketers are often at a loss as to what model to adopt that makes the most relevant and personalized product recommendations to shoppers. Still, various e-commerce product recommendation engines make use of this plentiful data to come up with ingenious algorithms to suggest relevant products to potential buyers.  

How Do Personalized Product Recommendations in eCommerce Help?

As an online seller, all you are concerned with is that your business has the profitability to remain viable. Personalized product recommendations help you clock sales figures to do just that. An E-commerce product recommendation engine can boost your conversions by carefully designed algorithms that make the best use of statistics and logic to present the most relevant product recommendations to customers. Here's a useful link if you wish to know more about the best personalization strategies.

An example worth studying for knowing the nuances of e-commerce Recommendations

Let us study the case of Amazon which has, over the years, pioneered personalized product recommendations. Amazon's suggestions and personalized recommendations include the following statements and the product results they throw up:

  • Customers are looking at these Now
  • Customers who bought this also bought these
  • Recently viewed products and recommendations
  • Customers have these in their virtual carts

Thanks to some awesome product recommendation techniques Amazon has developed, it has attained an unassailable lead in the e-commerce space.

So, just like Amazon's personalized product recommendations did wonders for its sales, how can you replicate those principles in your e-commerce business? Here are some cool tips to help you implement your own personalized product recommendation strategy:

  • Show a "suggested products list"  that is based on the shopper's browsing history 
  • Make use of “Frequently bought together” recommendations arrived at by your product recommendation engine backed by an exhaustive analysis of all the products and their relationships in your store’s transactions list
  • If you wish to have your visitors introduced to items they wouldn't otherwise have considered searching, you can Display the “Featured recommendation” and “Recently viewed” suggestions list. This has been proved to work
  • Display “Related items” recommendations to help your shoppers connect the dots and make a product purchase decision
  • “Display peer-generated product recommendations since similarity in tastes partly stems from age and peer group attributes
  • Use past purchase data to tailor product recommendations to your shopper.
  • Show a brand-wise list of best selling items.
  • Send automated personalized emails to complement your eCommerce recommendations.
  • Have special offers for a specific bunch of products.
  • Prominently display the best-sellers across entire product categories – This will surely motivate shoppers to spend more time looking around for items.
  • Ensure that all recommendations are relevant and sent at the most opportune moment. 
  • Inspire shoppers' trust by showing eCommerce product recommendations based on customer reviews and ratings.
  • Curate product recommendations for your shoppers/visitors keeping in mind upcoming holidays/festivals. 
  • Do not forget to append product recommendations to “Cart Abandonment” emails to your shoppers/visitors

What Are The Challenges For eCommerce Product Recommendation Engines?

The most difficult difficulty that recommendation engines are now facing is enhancing the quality of product suggestions. Consumers want suggestions that are relevant to their requirements and that they can rely on. Assume a recommendation engine recommends a product that the customer despises. This particular shopper might end up losing all interest and confidence in the recommendation system, and eventually ignore all recommendations that are thrown up. The primary objective of a personalized product recommendation system is speed, scalability and relevance regarding its recommendations.  So, an ideal product recommendation must be able to show relevant and personalized recommendations in real-time irrespective of how big the product inventory in the e-commerce store is. 


Personalized Product Recommendations In eCommerce: 

In the rapidly digitizing world of today, an average online shopper is increasingly the target of digital advertising on various platforms. When an online shopper searches for a product, countless results appear. But, the thing to understand here is that such a shopper has limited time and even more limited resources to buy everything. Therefore, it is quite logical that when such shoppers visit you, more than 95% of them leave your shop without any purchase. It is in such a scenario that personalized product recommendations in e-commerce come in handy. The most efficient recommendation engines are those that guide customers around a website, providing them product recommendations that are simply too relevant and enticing to overlook or ignore, while also saving them a significant amount of time and effort.

Enalito is delighted to announce our strategic cooperation with ModeMagic, one of the industry's most devoted and excellent firms. Enalito and ModeMagic will collaborate to develop useful ideas and create creative solutions for consumers through upcoming cognitive collaboration services.