Most Online Shoppers Purchase Additional Products Based on Merchant Recommendations
Seventy-six percent of shoppers report purchasing additional products based on merchant recommendations at least once in a while, with 21 percent doing so some or all of the time.
These findings were gleaned from a recently published report on how consumers use personalized product recommendations. The survey was conducted by the Chicago-based e-commerce consulting firm the e-tailing group and commissioned by MyBuys, a Redwood City, Calif.-based provider of personalized product recommendations.
The survey polled 1,000 consumers online in April and May. The consumers had annual household incomes of more than $50,000 and shopped online at least two to three times a month.
Merchants are doing a better job with PPRs, according to the survey. Forty-nine percent of those surveyed said that all or some of the time suggested products are tailored for them versus 40 percent in 2008. However, when merchants call out specific recommended products tailored for the consumer’s needs, only 43 percent of respondents find it very or somewhat valuable.
While PPRs aren't a prerequisite for shopping on a site, 43 percent said they expect merchants to consider past purchases when making recommendations, and 20 percent expect them to follow their browsing patterns. What's more, while most shoppers take it in stride, 28 percent of respondents said they get very to somewhat annoyed when PPRs aren't relevant.
Top-line findings from the study include the following:
- suggested products are more tailored to customers most of the time;
- shoppers purchase more often when they see PPRs;
- recommendations play a valuable role beyond shopping, including convenience and time savings, while also aiding selection;
- customer expectations continue to evolve — customers expect their browsing patterns and past purchases to be factored in to a merchant’s personalization strategy;
- shoppers expect to find PPRs throughout the site and via post-order communication; and
- integrated ratings lend credibility to PPRs.