A Situation - Page 7
January 15, 2001
Let's take a look at a typical (though fictional) Web site -
ACME Lawnmowers. These guys have a regular ol' Web site, database
driven, but without any other dynamic content. Sales have been
good, but they have been watching new fangled companies spring up
that offer fancier Web sites, and post large sales results.
(Companies like e-Lawnmowers, MyLawnmowersOnline, etc), and want
to get in on the revolution.
Note: As an aside, this scenario is often more typical
than we imagine. Many "old staple" companies are watching high-tech
online-only companies spring up with high-tech schemes of luring
customers. Thus, this situation is ideal for a case study.
After determining the need for personalization, let's examine
what types we may need by first looking at why other
companies are doing well, and why we're not. First of all (after
examining log files and data mining results), it seems that
customers often leave the site after they get to the checkout
page. That's one key area. Second, customers often add multiple
lawnmowers to their shopping carts (though hardly any buy more
than one at a time) and spend much time "browsing around" before
moving to the checkout page. Finally, repeat visitors often follow
the same trail, going to specific sections of the site, and
neglecting others.
Let's examine the third problem first, as it is probably the
simplest to address. This seemingly provides an obvious solution
— provide the users the ability to customize their views of
the site, and allow them to easily get to or view their favorite
sections. We'll examine this issue further in the next step.
The first problem, dropped shopping carts, is a bit more
difficult to find a solution for. How do you stop customers from
leaving once they hit the registers (aside from lowering prices)?
Well, one way traditional (brick and mortar) stores have
combatted this, is by enticing the customer with a bevy of other,
possibly related, goods at the checkout. For instance, remember
the last time you went to a grocery store? Remember all the
little items by the registers, such as candy, magazines and shaving
cream? These are all (mostly) things that all people love, so
they stick around.
Note: We may be exaggerating here (customers in brick and
mortar stores don't leave the register because they've made up
their minds already, usually), but the reasons do apply, however
subconsciously to the customers.
Another way to fight this is by streamlining the process. The
faster a customer can get through the checkout, the less time
they have to change their minds. And the time that is spent
waiting, can be better used to further entice or provide
information to the buyer.
Finally, the issue of "browsing around." The most common reason
behind this (even in brick and mortar stores) is that a customer
is not sure what they want. They wander around either comparing
things, or finding something that sparks their interest. This one
can be taken care of in multiple ways — let's find out more.
Everything you Need to Know About Personalization: Part 2 - Page 6
Everything you Need to Know About Personalization: Part 2 - Page 6
Step 1 - Making Customers Happy - Page 8
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