Personalisation Gap - Why it's Growing Despite the Boom in Ecommerce Demand

The accelerated and sustained growth in ecommerce over the course of the pandemic has widened the ‘personalisation gap’ between customer expectations and retailers’ capabilities. But why is it happening and what can marketers and ecommerce teams do about it?

The Online Boom Hasn't Translated into Enhanced Online Customer Experience

While shoppers’ demands for ecommerce have grown exponentially during the pandemic, the boom in digital hasn’t necessarily translated into enhanced online customer experiences, with personalisation – or lack thereof – a key cause of friction in buying journeys.  

We polled 2,000 UK shoppers who told us that during the last 12months, over half (51%) had experienced more frequent marketing communications which were either impersonal or irrelevant. 

Meanwhile seven in ten (70%) said the branded communications they receive from retailers felt ‘batch and blast’ or generic, despite almost half (49%) saying impersonal interactions would minimise their likelihood of conversion, potentially costing retailers lost sales opportunities and loyalty. 

On the other side of the coin, we also polled over 60 senior UK ecommerce and marketing retail professionals and two thirds (66%) of retailers told us personalisation was a critical initiative in their current operations, while seven in ten (71) felt that personalisation would become increasingly important over the next 5 years.

Lack of Identification Hinders Personalisation Strategies

However, one of the key barriers inhibiting retailers’ and brands’ personalisation strategies is not being able to effectively identify shoppers on their sites. 40% of retail, ecommerce and marketing professionals polled said they could currently only identify between 26-50%, while a further 23% could only recognise a quarter of their site traffic.  

And this challenge was exacerbated by channel and device ‘black holes’; 28% had issues identifying shoppers when they come on site using different devices, and a further 26% struggled to recognise customers moving across sales channels, such as from an app to a website.

Closing the Personalisation Gap

Retailers have already delivered a masterclass in evolution over the course of the pandemic, with innovations and new capabilities being launched at breakneck speed in a bid to stay ahead of the customer expectation curve. But as this data shows, as consumers have moved to a digital-first mindset during the pandemic, their expectations - particularly around personalisation - have in some cases outpaced retailers' capabilities. 

Retailers already recognise personalisation as a critical initiative, but many fall at the first hurdle by not being able to identify a massive proportion of their website traffic, leaving them with blind spots in recognising customers, understanding intent signals, and grasping how shoppers behave between different channels and devices.

Closing this 'personalisation gap' will become an increasingly important differentiator as online competition intensifies. By delivering tailored, one-to-one customer experiences - not only on-site but in inboxes - retailers can see huge incremental gains in digital revenue, whilst driving long-term brand loyalty and advocacy.

Please login or register to add a comment.

Contribute Now!

Loving our articles? Do you have an insightful post that you want to shout about? Well, you've come to the right place! We are always looking for fresh Doughnuts to be a part of our community.

Popular Articles

See all
Top 10 B2B Platforms to Help your Business Grow Worldwide

Top 10 B2B Platforms to Help your Business Grow Worldwide

Although the trend of a Business to Business portal is not new but the evolution of technology has indeed changed the way they function. Additional digital trading features and branding has taken the place of...

Salman Sharif
Salman Sharif 7 July 2017
Read more
7 reasons why social media marketing is important for your business

7 reasons why social media marketing is important for your business

Social media is quickly becoming one of the most important aspects of digital marketing, which provides incredible benefits that help reach millions of customers worldwide. And if you are not applying this profitable...

Sharron Nelson
Sharron Nelson 6 February 2018
Read more
Top 10 Skills to Become a Rockstar in Digital Marketing

Top 10 Skills to Become a Rockstar in Digital Marketing

Technology is continuously evolving, prompting marketers and entrepreneurs to dive into digital marketing to increase brand awareness, reach their target market, and ultimately drive sales and profit. 

Jessica Andriani
Jessica Andriani 7 September 2018
Read more
Top 7 Strategies For Improving Your Tech-Savvy Skills

Top 7 Strategies For Improving Your Tech-Savvy Skills

In today's modern world of technology it is very important to be tech-savvy. Knowing how to use technology is the key to success and great personal future developments.

Jessica Freeman
Jessica Freeman 11 May 2017
Read more
15 Benefits of Hiring an Advertising Agency

15 Benefits of Hiring an Advertising Agency

Business in today’s times has become very competitive, and a good advertising strategy is necessary to give your products the right visibility and stay in the competition. It would be wise to hire an advertising...

Danish Maniyar
Danish Maniyar 12 February 2020
Read more