18. december 2017
BIG DATA - big opportunities
For a long time, big data has been used for focusing the effort towards potential consumers and has thus created sales in the short run, but your data can so much more than that. By using data to adapt the consumer journey in the webshop to each customer, it creates extra value for them. This may result in more loyal customers and increased sales – also in the long run.
For a long time, e-sellers have used their data to focus the effort on the Internet towards potential customers by performing targeting and retargeting. The purpose is to target the consumers who have previously visited their webshop, remind the consumers of what they have placed in the basket but not yet bought and other methods which will help increase the turnover in the short term.
The tactic step has been to use data to catch the next purchase by targeting interested consumers. But the time has come to change the question from how you can use data to help yourself to how can you use data to help the customers – and thus increase the turnover in the long term through satisfied and loyal customers.
Get to know your customers
By asking the question "how can your data create extra value for the consumers?" you bring focus on the long-term strategy which can help creating loyal consumers since this approach demonstrates that the value gained by the consumers is your number one priority.
Today, the consumers expect to be the centre of attention in the shopping experience and that offers, news and recommendations in your webshops are targeted at them personally. They know that e-sellers have all the information necessary to guide each individual customer through the consumer journey and thus increase the value of the shopping experience – and they require that you make use of it.
What you want, is what you get
Because the consumers are aware of what you can do with the data you have on each individual customer, they consider it to be a major source of irritation to receive recommendations of irrelevant products or impersonal offers.
If you present your customers with impersonal material, they fell that you take them for granted and will soon be looking for other e-sellers who make better use of their data and therefore know the customers better. It is therefore important that you e-sellers show your customers that they are important and that you make an extra effort to know them and their needs - and thus create increase value for them.
Stof & Stil increases the conversion by 15%
One of the companies which Hesehus has helped to use its data to deliver the best customer journey is Denmark's largest fabric and design company Stof & Stil with webshops in Great Britain, Norway, Sweden, Germany and Austria. On the basis of Stof & Stil’s webshop data, recommendations for the consumers were implemented under the various product lists and the individual products in collaboration with Raptor, a global expert in behavioral recommendations. Based on the data obtained by Stof & Stil, the most popular products in the individual categories are shown and the customers are recommended on what to buy together with the product they are looking at. The recommendations are based on which products are the most selling and what other customers have bought together with the product in question.
After the implementation, split tests are performed and the use of big data certainly paid off. Stof & Stil’s intelligent use of data increased the conversion by entire 15% and the basket size was increased by 4%. At the same time, the rejection percentage dropped and the result was a general increase in the average duration of sessions. All figures from the split tests also showed that the new use of data was well received by Stof & Stil’s customers and they were pleased with the extra value provided by Stof & Stil by guiding them through the webshop to the best purchases.
“It is great to see how the use of big data has created extra value for our customers and has made us able to guide the consumers even better through the customer journey. Furthermore, an increased conversion of 15% shows that big data is definitely worth working with in the future".
Josephine Hagger, E-commerce Manager at Stof & Stil
Would you also like to use your data more and gear the consumer journey in your webshop allowing the customers to feel that they gain extra value by shopping in your webshop?
We would like to invite you for a cup of coffee or we can visit you for a non-binding talk. Please contact CEO, Lars Hedal, at +45 40 25 50 83 or write to hedal@hesehus.dk
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