eCommerce is a fast-growing industry which is constantly evolving. Its competitive nature means marketers must be on the ball when it comes to stayi
eCommerce is a fast-growing industry which is constantly evolving. Its competitive nature means marketers must be on the ball when it comes to staying ahead of trends and delivering the best possible service to their customers. eCommerce businesses which don’t adapt to changes in the industry will quickly find themselves left behind as customers flock to other more flexible brands.
Utilising customer data is an essential component of running a successful eCommerce company. Between determining which demographic is most interested in your brand, to learning the likes and dislikes of your current customers, obtaining and analysing customer data has many benefits for your business. Here, we investigate the importance of customer data in eCommerce.
What are customer analytics?
Customer analytics are a process used by companies to analyse and track data relating to their customers. For example, their typical spending habits or how much time they spend browsing products on your site.
Companies use customer analytics to track user data, which helps them gain insight into the kind of products and services customers want and need. When a brand is armed with this knowledge, they’re able to adapt their offering to suit what the majority of their customers would like to buy.
Tracking user data also allows a brand to provide customers with a more personalised shopping experience, as the analytics will reveal each person’s likes and dislikes. Additionally, customer data can be used to help businesses learn from mistakes they’ve made and work towards creating a better experience for customers in the future.
What is big data and how is it used within eCommerce?
Big data refers to huge data sets which inform patterns and behaviour trends on analysis. Contrary to popular belief, big data is not exclusive to massive retailers who have their own in-house team or who can afford to pay to obtain data. It is actually accessible to even the smallest of businesses.
Online retailers can use big data to monitor customer experiences, which will be a significant factor in how your customers rate your service. For example, big data can reveal how quick your response to a query was or how fast a product was delivered.
It’s common knowledge that it costs less to retain your existing customers than it does to source new ones, so big data can help you improve your customer experiences and retain your current customers.
The eCommerce industry is extremely competitive, so it’s crucial to keep up with marketing trends in order to stay current. Personalisation in the form of recommended products or discounts based on products you’ve viewed or saved could make a customer more likely to want to buy from you. The insights on customer behaviour and demographics provided by big data will enable your brand to incorporate more personalisation.
Things to remember
Customers are often wary of sharing their personal information, particularly online where many scams take place. Put them at ease by giving them control over the data they provide. Be clear about how you will use the data and don’t forget to offer an opt-out option for those who no longer want to share their information.
Offering an incentive to your customers can increase the number of users who are willing to share their data. For example, customers who sign up for a loyalty program or newsletter will have to provide a certain amount of data.
As an eCommerce store it’s important to use the data you have harnessed to your advantage, especially around peak times such as Christmas. With peak traffic expected to hit your site over the festive period make sure your website is looking and performing at its best; site speed, mobile optimisation and smooth checkout processes are a must. Hiring an eCommerce agency will enable your store to meet these targets and stand tall amongst the competition.