Personalization tools are necessary for you to take your website to the next level of success. Behind every successful ecommerce site, there is a strong personalization engine tool to support it. This is such a great investment into your business, but it’s important to make sure that you invest in the right tool for your business. Reading on, you can learn everything that you need to know about these tools and how to select the right one for your business.
What are Personalization Engines?
By now, you probably understand the basic concept of personalization. But what are personalization engines? These are tools that apply context about the individual users and what their specific circumstances are in order to tailor, select, and deliver messaging to them. This involves delivering messaging such as content, special offers, and various other types of interactions through digital channels. The point of these personalized interactions is to increase your conversion rates, improve customer satisfaction, and your marketing effectiveness.
Understanding How Personalization Engines Work
Personalization engines work by AI engines and basic algorithms. All of the biggest names in ecommerce use a personalization engine to help them out in giving each user a unique experience. There are different algorithms that play a role in the personalization engine. One algorithm is the collaborative filtering, which watches browsing behavior and compares that to the browsing behavior of other similar visitors. An example of this is when you get “Customers who bought ____ also bought ____” recommendations.
Another algorithm is the session-based similarity. This is an algorithm that examines the path that the visitor took. This means looking at the order that you consume content. The machine learning will compare your path to other similar visitors and uses this information to recommend other relevant content. This can be great for giving visitors a simple nudge into the sales funnel. Content similarity is another algorithm that will scan the copy and category of any content that is browsed, then recommends similar types of content.
A final algorithm is the popularity or trending models. When you visit sites and you get “trending” topics or products, this is what this algorithm does. The algorithm determines what is important and trending, and then promotes this as the important products. This can generate more interest for those products.
Benefits of Personalization Engines
Why should you use personalization engines for your website? Some of the top benefits of personalization engines include:
- Adding AI engine to your website could potentially boost your conversions by around 51%.
- When customers experience relevant content on your website, this keeps them on your website and will reduce your bounce rates.
- Allows you to self-nurture and quietly guides your visitors down the sales funnel.
- Personalization is great for helping your visitors learn more about your brand and helps them do better research.
Personalization engines are exactly what you need to be more successful with your website. Through personalization tools like a personalization engine, you can improve conversion rates and attract more attention to your brand.