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The Power of Personalizaton in eCommerce [Infographic]

The idea behind suggestive selling — or the add-on technique — is that once a consumer is committed to the initial purchase, an additional sale at a fraction of the original price is more likely.

Suggestive sellers use positive phrasing to position an offer to customers:

  • “We have a lovely scarf that matches those gloves. Would you like me to get it for you?”
  • “Since your order qualifies for free shipping, why not add on an additional vacuum filter for $17.95? If you were to purchase it later, you would pay shipping on it, so buying it now is like getting it for half price!”

If there is no clear benefit, as in the above examples, offers are worded in a suggestive manner: “Do you prefer the five year for $25.99 warranty, or 10 years for $49.99?”

The same offline principles apply to suggestive selling online:

  • The suggestion comes after the main commitment to purchase.
  • It should relate to the original purchase and add value.
  • The additional product is less expensive.

Personalized recommendations work across all eCommerce sectors. Amazon.com uses suggestive selling on their product pages — “frequently bought together,” “customers who bought this item also bought” — and shopping cart page.

In the following infographic, Baynote demonstrates how personalization drives eCommerce revenue.

h/t: Kiss Metrics

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