The changing e-commerce landscape
The year 2020 is proving to be a year of unprecedented changes in many sectors and e-commerce is certainly no exception to this rule. The Covid-19 pandemic has made all of us more dependent than ever on online activity and commerce, so it should come as no surprise that e-commerce as a sector is growing rapidly. However, the current rate of expansion has come as a surprise to everyone. McKinsey Quarterly reports that the e-commerce sector has seen a staggering 10 years’ worth of growth in only three months.
How are consumer habits changing?
Consumers aren’t just changing how much they consume. They’re also changing where they do this consumption. McKinsey’s report shows that 75% of customers have changed which brands they buy, which stores they shop at and which websites they visit as a result of the Covid-19 outbreak.
Industry research suggests that already successful sectors are becoming more successful, and those that were struggling before the pandemic continue to struggle. Companies manufacturing semiconductors and personal products continue to boom, while the financial, utilities and energy sectors remain on the decline. The pandemic hasn’t shifted this order but does seem to have accelerated it.
How can you keep customers?
With consumer loyalties changing, retaining existing customers has now become a bigger priority than attracting new business. One of the key tools for doing this is introducing website personalisation. This is one of the trends currently at the forefront of e-commerce evolution, with reporting undertaken by Yieldify stating that 74% of companies surveyed already having implemented a website personalisation strategy. The same survey showed that following the Covid-19 outbreak, retention (58%) has overtaken conversion (55%) and acquisition (45%) as the key aim behind website personalisation strategies.
What is website personalisation?
Website personalisation refers to the ability to offer all visitors to your website a unique one-to-one experience while they view your products. Personalisation takes data from users’ prior visits to your site, taking into consideration length of visit, products viewed, products purchased, customer satisfaction rates and more. It then uses this data to market the products they really want. Personalisation is an ongoing process. The more visits a user makes to your site, the more it can tailor advertising to meet their wants and needs.
How does personalisation differ from customisation?
Website personalisation and website customisation are similar but not identical. Customisation is in the hands of the user. It is up to them to select their preferences. One of the major advantages personalisation has over customisation is the ability to engage effectively with more passive website users.
The advantages of website personalisation
A well-integrated system of personalisation on your website can lead to increased user interaction and convert more visits into purchases. This increased degree of interaction plays into users feeling that your company’s values truly align with their own, which in turn could lead to an increased rate of brand loyalty. As stated above, this helps your all-important customer retention figures.
Personalisation is also easy to scale, so it could be beneficial regardless of your company’s size. As well as personalising your website, you could introduce some degree of personalisation to other marketing channels. Yieldify’s survey suggests that fully 60% of companies surveyed have already adopted personalisation in their email marketing, with a further 30% actively planning to adopt this strategy during 2021.
Challenge or opportunity?
The above statistics suggest that today’s management teams are facing challenges on an unprecedented scale. However, with great challenges come great opportunities! Why not contact our industry-leading team here at Clifford Associates and see how we might be able to help alleviate the senior digital resourcing issues facing your organisation?