eCommerce Personalization Statistics Need To Know For 2022

ecommerce personalization statistics 2022

Learn more about the importance of personalization through eCommerce personalization statistics for 2022.

The Future of Commerce report by Shopify is out and eCommerce personalization now stands at the top, front and center of success.

As per Deloitte’s study of retail investment priorities for 2021—digital acceleration is their top priority. But with every business taking to digital to reach their target audience, it is personalization that is helping some succeed more than the others, depending on the level of understanding of consumers they’re able to put to use.

Ecommerce personalization is thriving with new and improved technologies. And if you ask us about the definition of ecommerce personalization, then it varies but the major drivers include:

  • Tailored emails
  • Personalized pop up offers
  • AI powered suggestions/ product recommendations
  • Loyalty programs
  • Omni Channel synchronization
  • Content personalization

Being one of the leading personalized recommendation engines for Shopify stores, team WISER has been keeping a close watch on how the industry is evolving over time. Let’s take a look at some of the numbers below.

Consumers Expect Personalization

You cannot think of personalization as a spare tool in your kit anymore. Because consumers know that you can go that extra mile and deliver them a better experience— and they value such brands. So they don’t just appreciate a personalized experience but expect one from you.

And brands can implement it by starting with strategies such as adding tailored product recommendations to their storefront and then eventually level up with other tactics.

  • 84% of consumers have stated that to earn their business brands need to treat them like a person rather than just a number or target. (Salesforce)
  • 72% of consumers will only engage with personalized marketing messages that align with their interests. (SmarterHQ)
  • 77% of customers expect a hyper-personalized experience. (Netcore)
  • 79% of customers say there is a high probability they’ll engage with any offer if it is tailored to their past interactions with the brand. (Instapage)
  • Back in 2019 only 49% of customers expected personalized communications but today that number has increased to 52%. (Salesforce)
  • For 42% of customers personalized content is highly crucial. (Adobe)
  • For 65% of consumers personalized promotions and offers are the main drivers in a great shopping experience. (Oracle)
  • 16% of customers state that they never pay attention to the additional recommendations by store. (Adobe)
  • When it comes to interest in personalized products—Gen Z tops the charts with 74% among 67% of millennials, 61% of Gen X and 57% baby boomers. (Salesforce)
  • Consumers won’t even stand one lousy experience. 91% of them will abandon any brand that provides a poor shopping experience. (Netcore)
  • 50% of consumers are interested in real-time offers regardless of what they are searching for at the moment. (Oracle)
  • If you’ve a loyalty program then you can leverage 52% of global consumers because they have stated—they want tailored offers according to their personal information from their loyalty account. (Oracle)
  • 38% of consumers wish to increase their frequency of online shopping and visiting stores with great shopping experiences. (Harvard Business Review)
  • Out of 3 consumers 2 are ready to share their location details with any app to be aware of their latest deals, events, or when near the store. (Adobe)
  • 31% of customers want their shopping experience to be much more personalized than the current one. (Instapage)

Build better customer relationships with personalization

Customer retention is the biggest reward of ecommerce personalization. If you ask any marketer amidst the rising cost of acquiring new users— customer retention is a crucial metric to follow.

As you can see from the stats, when you show the customers that you know them and go the extra mile to provide them a personalized experience, it makes all the difference.

According to 98% of marketers if you want to improve the bond with your customer you must have personalization. (Evergage)

If you’ve products or services that automatically learn about customers preference then 31% of customers would highly be impressed with it. (Accenture)

  • 44% of customers are more likely to turn into a loyal customer to a retailer that provides personalization. (Netcore)
  • 43% of companies with hyper personalization witnessed more growth in customer retention. (Adobe)
  • 28% of users state personalization has made them purchase products they never intended to buy and whereas 26% of them have purchased something more expensive than their budget. (Netcore)
  • 52% of brands have stated that they can compete with Amazon only by delivering better customer experience. (LiveClicker)
  • 55% of users have stated they love receiving relevant product offers via emails. (LiveClicker)
  • 77% of customers have selected, referred, or paid more for brands that offer a personalized experience or service. (Instapage)
  • 80% of users are more likely to purchase from brands that offer personalized experiences. (Instapage)
  • Customers who have experienced personalization from brands shop 3x more frequently from the. (Epsilon)
  • 75% of customers are more convinced to purchase from retailers that recognize and remember them by their name and purchase history. (Instapage)
  • 44% of customers are more likely to be a brand’s regular customer after a personalized shopping experience. (Instapage)

Drive more revenue with personalization!

Tracking customer retention will help you to know about your current situation as the customers but you cannot analyze the revenue with it. Personalization has been a reliable strategy in boosting more conversion rates and generating more revenue.

So as you invest more time and resources in personalization— you’ll witness better results. Because that’s what we’ve noticed from these stats.

  • Having a documented personalization strategy has helped 79% of organizations exceed their revenue goals. (Instapage)
  • Brands with hyper personalization strategy have witnessed 8x ROI on marketing spend along with a sales lift of 10%. (Deloitte)
  • Out of every 10 marketers, 9 of them have reported a return of minimum $1-2 for each dollar spent on personalization. And out of 43% have received a minimum $6 in return of every dollar spent. (Adobe)
  • Thanks to personalization 88% of brands have seen considerable growth in their business results. (Aberdeen)
  • 98% of retailers implementing personalization have witnessed an increase of AOV and 97% of them have seen an increase in revenue per user. (Netcore)
  • Personalized shopping cart recommendation has played a huge part in 92% of shoppers buying from them. (Instapage)
  • Brands who adopt hyper-personalization techniques have seen growth in their revenue by 17%. (LiveClicker)
  • Companies that have mastered personalization can see 6% to 10% of growth rate. (BCG)
  • Out of every 5 retailers 3 of them have witnessed an AOV rise by 10% after personalization. (Netcore)
  • If you offer personalized experiences 80% of consumers are more likely to purchase from you. (Epsilon)
  • Out of every 10 retailers 9 of them have seen a 4x growth in their ROI by personalizing their CX. (Netcore)
  • Because of poor personalization and absence of adequate trust $756 billion is lost every year. (Accenture)

eCommerce personalization is growing for businesses to improve

Personalization can increase your revenue and conversion rates but that doesn’t mean it is perfect. It is still in a growing phase as to how it can improve things further for the ecommerce industry. So if you are behind trends and want to catch up then you should use this opportunity to learn as well!

96% of retailers have faced a few challenges in implementing personalization efforts, involving IT bandwidth, and problems in aligning every internal team. (Netcore)

Out of 10 every 2 retail executives have recognized themselves to have advanced digital capabilities. (Deloitte)

41% of retail executives have expected that their ecommerce platform is moderately personalized and only 13% of companies say they can provide an entire personalized experience. (Netcore)

3% of companies are investing more than $5M every year on personalization with the maximum spending range being between $250,000 and $700,00. (LiveClicker)

74% of marketers have admitted that personalization must be the first priority in every organization. (Evergage)

That’s why at WISER, we’re enabling Shopify eCommerce stores to implement personalization with the help of 24/7 support. Our success managers also help them understand the different recommendation strategies to set up what is only the best for them!

Is personalization invading the privacy of users?

With personalization in action, privacy is still a concern for most of the shoppers. Yes, they love the idea of spending less time in deciding the right product for them but when they feel this feature is at the cost of their privacy they might skip a heartbeat.

61% of customers have mentioned that they’ve lost control over the usage of their personal data which is a significant rise from 46% in 2019. (Salesforce)

86% of customers are worried about their data privacy and 79% of them think that companies know way too much about them than they should. (SmarterHQ)

49% of shoppers only fill in the important details while sharing personal data. (Adobe)

With the death of third party cookies, businesses will need to find more first-party data collection solutions. This is where having a personalization engine like WISER comes in as well to help, taking in data that only an internet user has shown an intent to share.

Level up your personalization efforts in 2022

Personalization was a buzzword a few years back and today it’s a necessity for every brand. So when you see that a trend is no longer just a trend but part of our daily lives it’s your sign to implement it!

It’s the one strategy that can make or break your success in a market where Amazon has made personalization a ‘regular’ thing. And now, it’s easier done than before.

Install the WISER app on your Shopify store to start personalizing the shopping experiences of your visitors.

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