How many SKUs does your store carry? Chances are its in the hundreds, if not thousands. You probably planned it like this—give the customer all the options they could possibly want and it will increase sales, right?
Too many options overwhelm customers—according to Accenture, almost 40 percent of shoppers have abandoned a store to buy from another website because they were overwhelmed with too many options. Even if they don’t leave, you’re not in the clear—almost 75 percent of customers get frustrated with irrelevant products.
To mitigate this, you need to segment your audience and deliver real-time custom shopping experiences tailored to the individuals wants and needs.
Pretend you’re an ecommerce clothing store and have two shoppers, Suzy and Dan. Suzy is a middle-aged working woman looking for smart clothes to wear to the office, and Dan is a millennial shopping for school clothes on a budget.
With successful audience segmentation and personalization, their entire customer experiences are different. Suzy will see ads for professional clothes on Facebook, and when she clicks one will be taken to a dynamic web personalized with product recommendations on her last purchase. Dan, on the other hand, will see ads for sale items on Instagram, and when he clicks on them will be taken to a personalized website sales page.