The Benefits Of Product Recommendations For Your Ecommerce Business


Product recommendations are customised recommendations that are sent by ecommerce businesses to their customers based on their demographics, past purchases, browsing history on the business’s website, etc. You can give recommendations on your website or through email. Product recommendations are useful for your ecommerce business irrespective of its size.

In this post we shall explore the benefits that product recommendations have to offer you and your customers:

Higher Traffic For Your Website

Giving personalised product recommendations to each user improves their shopping experience, which encourages them to visit your website frequently. The positive experience of your existing customers ensures you positive word-of-mouth and reviews, drives more new visitors to your website, and improves your reputation.

Help To Send Relevant Content To Each Customer

Sending multiple recommendations for irrelevant products can get you blacklisted by customers. This not only results in you losing customers but also damaging the reputation of your brand. Personalised recommendations can let you know the preferences of each of your customers for your products and offers, and customise content for them accordingly. This can help increase customer satisfaction.

Better Engagement With Customers

Keeping customers engaged is important for ecommerce brands to reduce bounce rates. Customers buy from a brand when they feel valued by it. Product recommendations are a great way for you to build personal relationships with your customers. You can use them to not only encourage customers to make purchases with your brand but also to help them to buy the right products. This enhances customer experience to a great extent and improves their engagement with your brand.

Rise In The Average Order Value And The Number of Items Per Order

You want your customers to purchase more and more with you, and product recommendations can help you with that. The more accurate your recommendations are the greater number of items your customers will purchase from you. This also means an increase in the average order value, which is the average amount of money spent by one customer on one order.

More Repeat Purchases

It is not enough for you to just attract a customer once to your brand. Customer retention is very important for the growth and continuity of your business, which is where product recommendations come in. When you continuously recommend relevant products to each customer, the number of times they purchase with you increases and ensures you loyal customers.

Increased Revenues

Higher customer satisfaction automatically results in higher revenues for your business. By giving relevant recommendations of different kinds like that of products similar to recently-viewed items and past purchases, related items such as accessories for recently-bought items, “customers who bought this product also bought”, etc. you can ensure an increase in the number of items bought by each customer, the satisfaction levels of customers, and, in turn, your revenues.

Lower Cart Abandonment Rate

Cart abandonment rate is the percentage of your customers who added your products to their shopping cart and left without purchasing them. When a customer is about to leave your cart, you can give them recommendations for products that are similar to those in the cart which they may be interested in. This can help you to decrease the abandonment rate.

Increase In The Time Spent By Customers On Your Website

The greater the number of relevant products your customers find to shop on your website, the better will be their experience of using it and the higher will be the amount of time they spend browsing and buying products on it.

Better Optimization Of Inventory

You can know as well as predict customer preferences using product recommendations. Recommendations help customers to know exactly what to purchase. This in turn can help you to know the demand for each of your products beforehand, and how much inventory you will need to keep up with it.