Run effective campaigns and optimize KPIs with personalized customer targeting
Personalized customer targeting displays the right products to each customer within your shop strategy
Customer targeting is not a new concept, but today's possibilities in the field of data science have made it increasingly important for personalized customer communication. This is because today, customer interests can be determined in real time using various data sources. Personalized customer targeting is therefore a new form of customer communication in e-commerce that you can use to great effect for campaigns along the customer journey. There are three different levels of personalization in customer targeting: pre-personalization, segment personalization, and 1:1 personalization. Here, you choose whether you want to address all shop customers or only a specific customer group (segment). At the same time, you determine whether you want to base your targeting on overall or individual click and purchase behavior, depending on your shop strategy. This allows you to optimize certain KPIs, such as increasing the conversion rate for specific brands within a segment. Our AI technology provides the basis for this.
Campaign examples for customer targeting along the customer journey
Search Function
Campaign -> Increase brand sales
In addition to top sellers, prioritize a specific brand in the search results list for all shop customers and display the discounted items from this brand first for the "bargain hunters" customer group.
Example: When searching for T-shirts, all shop customers will first see T-shirts from "Tommy Jeans" in the search results list, and the "bargain hunters" segment will first see discounted T-shirts from "Tommy Jeans" at the top of the search results list.
(Personalization level in use: Pre and Segment Personalization with overall click and purchase behavior)
Product Advisor
Campaign -> Sell off discontinued models
Do you use digital product advisors for certain product categories? Then use the results list generated by the product advisor for your campaign to prioritize the display of discontinued models that are available for sale. Provided that these meet the needs and individual preferences of the shop customer.
Example: You want to sell a specific springform pan for cakes from the "Zenker" brand for flat and tube bases, as the new model will soon be available. Provide this information to your baking pan advisor so that this product is prioritized in the results list for customers who have a need for it and whose individual preferences match the product.
(Personalization level in use: 1:1 personalization with entire click and purchase behavior)
Recommendations
Campaign -> Sell high-priced product sets
Want to inspire shop customers in the "high-price segment" to buy a matching product set? Then recommend the matching product set that perfectly suits the interests of the respective shop customer on the product detail page for their selected high-priced product.
Example: A shop customer is interested in bags from "Louis Vuitton." She has already purchased three bags of this type from you. You can recommend an outfit from "Louis Vuitton" that matches the bag to this customer and all other customers who match this segment. The AI calculates individually which outfit in detail is displayed to which shop customer.
(Personalization level in use: 1:1 personalization with individual click and purchase behavior based on segments)
Campaign -> Increase pre-orders for new releases
You want to set up an email campaign to promote pre-sales of a new book release. To do this, identify which shop customers are interested in the new book release. You can do this with our AI. Then send these customers an email with information about the upcoming new book release and offer them the opportunity to pre-order.
Example: The crime novel "The Policeman" by John Grisham will be released soon. You can now send all fans of John Grisham an email about this new book release and increase pre-orders.
(Personalization level in use: 1:1 personalization with individual click and purchase behavior based on segments)
Customer targeting within the framework of various personalization levels for your campaigns
You have the option of setting up personalized customer targeting entirely according to your individual preferences. In order to select the right level of personalization, you need to determine the criteria for your campaign. Personalized customer targeting differs for your campaign in terms of the following criteria:
- Broadcast to all shop customers or a specific customer segment
- Inclusion of overall or individual click and purchase behavior
- Use of all or individual touchpoints for playback
Optimization of basic functionalities
Before you start personalizing your campaigns, you may need to optimize the basic functionality of your touchpoints. This means that if a shop customer enters "T-shirt" in the search box, for example, the search results should show T-shirts and not socks. If your shop customer is on the product detail page, they should have the option to view additional products. This is only possible if the product catalog also includes additional products and the algorithms can access them. Depending on which touchpoint you want to personalize, it should first be examined and optimized. The use of AI brings your touchpoints to an optimal level and at the same time generates a knowledge base for personalization.
Pre-personalization targeting
You want to implement a brand campaign for your online shop. The goal is to increase sales for the "Tommy Jeans" brand in your online shop. To do this, you can include various touchpoints in your online shop. Let's take the results lists after a search entry or a category click as an example. You now have the option of showing T-shirts to all shop customers who search for "T-shirt" using the search function or a menu item, but with priority given to the "Tommy Jeans" brand. This means that all your shop customers are shown T-shirts and are not misled, while at the same time you are prioritizing the "Tommy Jeans" brand. In the background, the entire click and purchase behavior of your online shoppers is also taken into account in order to obtain a preselection of the most popular T-shirts and thus carry out even more accurate customer targeting. You can find more information on the implementation of this use case in the blog article Result Management.
Personalization Targeting Segment
Would you like to start campaigns for specific segments (customer groups)? Then first create segments for your online shop. Our AI technology will help you with this. You can use it todetermine the segments of your choice. Let's take the "bargain hunters" segment as an example. For this segment, you want to display discounted T-shirts from "Tommy Jeans" in the results lists. By linking your segment to segment personalization, this is exactly what will be displayed. The results list contains Tommy Jeans T-shirts for all shop customers, but bargain hunters will see discounted Tommy Jeans T-shirts in the first three positions. The entire click and purchase behavior is also used as a basis here. This allows you to map individual strategies for specific segments. For example, address seasonal buyers at the time of their need, such as customers who buy special sunscreen in the summer. Send an email with new products at the start of the season.
1:1 Personalization Targeting
Would you like to run a brand campaign tailored to each shop customer? In addition to the brand that should be prioritized, you can display the products in the results list that correspond to the individual click and purchase behavior of each shop customer. Example: You want to continue promoting the "Tommy Jeans" brand, but respond to each shop customer individually. Then you can take into account the individual click and purchase behavior of each shop customer. In this case, for example, the shop customer "Elena" would be shown T-shirts from the "Tommy Jeans" brand in the color "pink" and size "M." This gives each shop customer their own individual results list with T-shirts from "Tommy Jeans" in combination with their own preferences. The whole thing can also be combined with segments. If the shop customer "Elena" were a "bargain hunter," she would first be shown the pink, discounted T-shirts in size "M."
Data is the basis of customer targeting
Various data and data sources can be included for customer targeting in e-commerce, such as:
- Click and purchase behavior from the online shop (topics, products, brands, online times, interaction duration, etc.)
- Product data from the product catalog (categories, variants, synonyms, links, etc.)
- Expert knowledge (sales psychology insights and industry knowledge)
- Biographical data from the CRM (weddings, births, memberships, physical measurements, etc.)
- Transaction data from the shop system (order intervals, order value, shopping cart contents, etc.)
- Sociodemographic data from Google Analytics (gender, age, income, marital status, etc.)
However, the minimum scope for successful customer targeting should include click and purchase behavior, product data, and expert knowledge.
Want to use personalized customer targeting for your campaigns?
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