Read the latest on user expirence, user training and onboarding from members, partners and experts.

Personalization: Conversion Booster, Still Not Used by All

Written by Toonimo


According to a new report in Econsultancy, 38% of e-commerce companies are lagging behind by not integrating some sort of personalization strategy in their marketing strategies.

This number is direct contrast to the impressive boost in conversion rates seen by companies that have integrated some form of personalization.

While the report focused primarily on email as the main channel still being used in personalization marketing, a unique angle to the study is that brands are not integrating this successful marketing tactic across platforms. The question really should be why not? What's to loose? Personalization has already proven itself as the driving force of conversion rate optimization.

For those brands still unsure of its impact, here are some of the main reasons personalization is so successful.

Why is personalization so successful?

Let's review some important personalization statistics and its ROI!

The best personalization campaigns are those that are able to break even a minimal layer of trust with the consumer. It could be as simple as an opt-in or subscribtion but the consumer needs to trust the company at some level.

  • 52% of digital marketers surveyed by Econsultancy and Adobe agree “The ability to personalize web content is fundamental to their online strategy.”  As Big Data becomes more important in 2015, the rich data and granular information will become more critical. Obviously, companies like Amazon and Netflix who are now the leaders in personalization are now the models that so many e-commerce businesses are attempting to model.

  • 41% of those surveyed are focused on providing a personalized web experience for their consumers. At the same time, however the barrier for integrating this strategy is the technical knowledge necessary to onboard easily.

For those companies personalizing customer web experiences, how are they using the data?

  1. Personal data collection

  2. Browser history

  3. Purchase history

  4. On-site behavior tracking

  5. User Preferences

What is the impact on ROI for personalization?

  • 88% of businesses say that social graph personalization has the highest impact

  • 77% found that purchase history is the most important metric in creating a solid personalization strategy

  • 70% of companies have seen an increase in conversion rates as a gauge for testing the ROI of personalization.

While personalization is still a growing trend, marketing efforts need to shift towards the potential of this important conversion tool.