exceeding customer expectations with personalization - they key to increasing clv
TRANSCRIPT
Exceeding Customer Expectations with Personalization
- THE KEY TO INCREASING CLTV
Jan Soerensen Head of Customer Success at Nosto
Nosto is a Magento Gold Technology Partner providing ecommerce
professionals a complete personalization solution.
nosto.com I [email protected]
“Mission
A little bit about Nosto
Making it easy for retailers to deliver their customers personalized shopping experiences, wherever they are.
2011founded
15K+retailers
60team
5offices
Founded originally by retailers Nosto has developed into a complete personalization solution.
Today trusted by over 15,000 retailers in over 150 countries
A Team of 60 people with 20+ nationalities
Offices in New York, London, Stockholm, Berlin and Helsinki
SOME OF OUR
CLIENTS
Ecommerce professionals aren’t adapting fast enough
to customer expectations.
The traditional ecommerce conversion funnel
of marketing budgets are spent on acquiring
new traffic
90%
The inverted ecommerce conversion funnel
3%Shift your focus to the
that are driving your revenue
3%Shift your focus to the
that are driving your revenue
Shift your focus
Shift your focus
3%Shift your focus to the
that are driving your revenue
The question is:Are you using it to increase CLTV?
In today’s webinar you will learn…
The true power behind personalization
Why personalization is a holistic long-term strategy, necessary to drive a successful ecommerce business
To use personalization to attract, convert and retain ideal customers to generate an effective return on your marketing spend
To exceed customer expectations and increase your CLTV
Agenda
1. Evolved Customer Expectations‣ Why and how do ecommerce
professionals need to adapt?
2. A Proven Solution: Personalization
‣ Why and how does it work?
3. Exceeding Customer Expectations
‣ Using the ACRO model to increase CLTV
• Attract • Convert • Retain • Optimize
‣ Best Practice examples
4. Q&A
Evolved Customer Expectations‣ Why and how do ecommerce professionals need to adapt?
Purchase pathways can be extremely complex
We live in a super-connected multi-device world, driven by
mobile devices…
of people accessing the Internet globally use more
than one device
70%
Customers don’t think about channels
42%
43%
20%
Research online, purchase offline
Check prices online while in store
Of online purchases are picked up in store
43%
44%
71%
Would be encouraged to make a purchase after seeing an item on social media
Feel social media is a good source for product reviews and recommendations
Read peer reviews and recommendations
Customers don’t think about channels
42%
43%
20%
Research online, purchase offline
Check prices online while in store
Of online purchases are picked up in store
Personalization is not fully understood by those who would
benefit most from using it.
A proven solution: Personalization ‣ Why and how does it work?
Personalization is becoming expected, at all touchpoints
43%
42%
42%
Choice was influenced by personalized recommendations/ promotions/deals
Expect to receive real time personalized product recommendations and promotions
Want to receive tailored discount codes based on previous purchases
OTHER CHANNELS
CS / CRM / ERP / ESP
SOCIAL MEDIA
FB / PINTEREST / TWITTER
ONLINE STORE
SEARCH ENGINES
BRICK & MORTAR
3rd PARTY SITES
Analyzing all touchpointsEMAILS
APPS
DESKTOP / TABLET / SMARTPHONE POS / CRM / ERP / IOT
MOBILE / GAMES / TV
GOOGLE / YAHOO / BING
BLOGS / MEDIA SITES
TRIGGERED / NEWSLETTERS
OTHER CHANNELS
CS / CRM / ERP / ESP
SOCIAL MEDIA
FB / PINTEREST / TWITTER
ONLINE STORE
SEARCH ENGINES
BRICK & MORTAR
3rd PARTY SITES
Analyzing all touchpointsEMAILS
APPS
DESKTOP / TABLET / SMARTPHONE POS / CRM / ERP / IOT
MOBILE / GAMES / TV
GOOGLE / YAHOO / BING
BLOGS / MEDIA SITES
TRIGGERED / NEWSLETTERS
Exceeding Customer Expectations‣ Using the ACRO model to increase CLTV
‣ Best Practice examples
The ACRO model
‣ Prospecting Facebook ads
AttractDrive qualified traffic to
your store.
Attract
‣ Display prospecting Facebook ad campaigns to a
predefined demographic based on interests that
match that of your business.
‣ Target potential customers with highly similar
profiles to those of your current customer base.
Did you know?On average, automated, dynamic
product ads generate performance
improvements of more than
400%
How?
compared to static ads
Eton‣ Display best sellers to
prospects. As the items with
the highest proven conversion
rate these are the ones most
likely to cut through the noise.
‣ Target lookalike audiences,
those similar to their current
customerbase, to attract
shoppers who are more likely
to convert.
‣ Display real-time ads that are
dynamically optimized
according to current behavior
and interactions - reflecting
trends as and when they
happen.
The ACRO model
‣ Prospecting Facebook ads
AttractDrive qualified traffic to
your store.
Convert Inspire visitors with
highly relevant products and promotions.
‣ Personalized re-engagement ads ‣ Product recommendations incl.
personalized, best seller, search. ‣ Behavioral Pop-ups ‣ Personalized emails ‣ Email personalization widgets
‣ Display onsite Product Recommendations to guide customers to
the most relevant products based on their unique user behaviour.
‣ Engage your customers in social media by recommending
products picked just for them based on their previous shopping
behavior.
‣ Enable behavioral pop-ups to reduce site abandonment and
create a sense of urgency with time-limited special offers and
one-time discounts.
‣ Personalize your email marketing efforts to speak to each
customer individually
Did you know?Personalization can increase
conversion on average by
65%
How?
Convert
‣ Display onsite Product Recommendations to guide customers to
the most relevant products based on their unique user behaviour.
‣ Engage your customers in social media by recommending
products picked just for them based on their previous shopping
behavior.
‣ Enable behavioral pop-ups to reduce site abandonment and
create a sense of urgency with time-limited special offers and
one-time discounts.
‣ Personalize your email marketing efforts to speak to each
customer individually
Did you know?Personalization can increase
conversion on average by
65%
How?
Convert
Zalando
‣ Visually enticing
‣ Fully personalized based on the
individual customer’s tastes
‣ Self learning; it places more
weight on items, brands and
styles liked in the underlying
algorithms
‣ Ensures that currently hot items
are always displayed
Eton
‣ Mastering the art of cross-selling
‣ Offering brick-and-mortar level
customer service
‣ Offering both alternative and
complementary items to increase
AOV & generate happy customers
that find what they are looking for.
How?
Convert
‣ Display onsite Product Recommendations to guide customers to
the most relevant products based on their unique user behaviour.
‣ Engage your customers in social media by recommending
products picked just for them based on their previous shopping
behavior.
‣ Enable behavioral pop-ups to reduce site abandonment and
create a sense of urgency with time-limited special offers and
one-time discounts.
‣ Personalize your email marketing efforts to speak to each
customer individually
Did you know?Personalization can increase
conversion on average by
65%
Yumi Kim
‣ Displaying personal re-engagement ads to cut
through the noise
‣ Places more weight on items that
have been shown most interest in
by the individual customer
‣ Targeting a specific audience to
maximise ROAS
How?
‣ Display onsite Product Recommendations to guide customers to
the most relevant products based on their unique user behaviour.
‣ Engage your customers in social media by recommending
products picked just for them based on their previous shopping
behavior.
‣ Enable behavioral pop-ups to reduce site abandonment and
create a sense of urgency with time-limited special offers and
one-time discounts.
‣ Personalize your email marketing efforts to speak to each
customer individually
Did you know?Personalization can increase
conversion on average by
65%
Convert
Geggamoja
‣ Increases the likelihood of a
purchase by offering a time-
limited discount
‣ Delights new customers
‣ Allows for re-marketing at a
later stage
How?
‣ Display onsite Product Recommendations to guide customers to
the most relevant products based on their unique user behaviour.
‣ Engage your customers in social media by recommending
products picked just for them based on their previous shopping
behavior.
‣ Enable behavioral pop-ups to reduce site abandonment and
create a sense of urgency with time-limited special offers and
one-time discounts.
‣ Personalize your email marketing efforts to speak to each
customer individually
Did you know?Personalization can increase
conversion on average by
65%
Convert
Golf Discount
‣ Sends out a personalized
newsletter ensuring each
recipient is met with the most
relevant items.
‣ Promotes right products to the
right audience
Produce loyal customers and inspire repeat (return) visits
to your store.
Retain
‣ Order follow-up email ‣ Abandoned cart email ‣ We miss you email
The ACRO model
‣ Prospecting Facebook ads
AttractDrive qualified traffic to
your store.
Convert Inspire visitors with
highly relevant products and promotions.
‣ Personalized re-engagement ads ‣ Product recommendations incl.
personalized, best seller, search. ‣ Behavioral Pop-ups ‣ Personalized emails ‣ Email personalization widgets
How?
‣ Set up automatic follow-up emails which include items
relevant to those items previously purchased
‣ Allow customers to conveniently continue shopping
where they left off by sending out abandoned cart
emails
‣ Give customers a reason to come back by automatically
sending customers who haven’t visited your store for a
while a ”We Miss You” email
Did you know?personalized triggered emails have an
average click-through rate
10xhigher than the industry standard.
Retain
How?
‣ Set up automatic follow-up emails which include items
related and relevant to items previously purchased
‣ Allow customers to conveniently continue shopping
where they left off by sending out abandoned cart
emails
‣ Give customers a reason to come back by automatically
sending customers who haven’t visited your store for a
while a ”We Miss You” email
Did you know?personalized triggered emails have an
average click-through rate
10xhigher than the industry standard.
Retain
Melvin & Hamilton
‣ Offers a convenient way back to
the online store
‣ Reminds customers of interesting
items left in their cart
‣ Recommends other interesting
items based on the shopping
behavior of the individual
customer as well
Retain
How?
‣ Set up automatic follow-up emails which include items
related and relevant to items previously purchased
‣ Allow customers to conveniently continue shopping
where they left off by sending out abandoned cart
emails
‣ Give customers a reason to come back by automatically
sending customers who haven’t visited your store for a
while a ”We Miss You” email
Did you know?personalized triggered emails have an
average click-through rate
10xhigher than the industry standard.
Melvin & Hamilton
‣ Reach back out to customers if
they haven’t been online in 90
days
‣ Offer items the customer has
showed the most interest in, or
pieces relevant to these
‣ Display currently popular items,
enticing the customer to discover
more styles.
Produce loyal customers and inspire repeat (return) visits
to your store.
Retain
‣ Order follow-up email ‣ Abandoned cart email ‣ We miss you email
‣ Prospecting Facebook ads
AttractDrive qualified traffic to
your store.
Convert Inspire visitors with
highly relevant products and promotions.
The ACRO model
Continually improve performance.
Optimize
‣ Analyse your KPIs ‣ Conduct split tests ‣ In-depth analytics
tools
‣ Personalized re-engagement ads ‣ Product recommendations incl.
personalized, best seller, search. ‣ Behavioral Pop-ups ‣ Personalized emails ‣ Email personalization widgets
How?
‣ Continuously analyse your KPIs
‣ Conduct split tests
‣ Use in-depth analytics and reporting tools
to improve your performance
Optimize
Produce loyal customers and inspire repeat (return) visits
to your store.
Retain
‣ Order follow-up email ‣ Abandoned cart email ‣ We miss you email
‣ Prospecting Facebook ads
AttractDrive qualified traffic to
your store.
Convert Inspire visitors with
highly relevant products and promotions.
The ACRO model
Continually improve performance.
Optimize
‣ Analyse your KPIs ‣ Conduct split tests ‣ In-depth analytics
tools
‣ Personalized re-engagement ads ‣ Product recommendations incl.
personalized, best seller, search. ‣ Behavioral Pop-ups ‣ Personalized emails ‣ Email personalization widgets
Congrats! You should now
Understand the power behind personalization
Understand why personalization is a holistic long-term strategy that is a necessity to drive a successful ecommerce business
Know how to use personalization to attract, convert and retain ideal customers to generate an effective return on your marketing spend
Be able to exceed customer expectations and increase your CLTV
Nosto is a Magento Gold Technology Partner providing ecommerce
professionals a complete personalization solution.
nosto.com I [email protected]
Q&A
