Personalization Best Practices for Engaging Online Experiences
Upcoming SlideShare
Loading in...5
×
 

Personalization Best Practices for Engaging Online Experiences

on

  • 3,315 views

Slides from an American Marketing Association (AMA) webinar re: how to implement online personalization techniques - pitfalls, opportunities, best practices.

Slides from an American Marketing Association (AMA) webinar re: how to implement online personalization techniques - pitfalls, opportunities, best practices.

Statistics

Views

Total Views
3,315
Views on SlideShare
3,312
Embed Views
3

Actions

Likes
4
Downloads
122
Comments
0

2 Embeds 3

http://suiteb2b.wordpress.com 2
http://www.slideshare.net 1

Accessibility

Categories

Upload Details

Uploaded via as Adobe PDF

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

    Personalization Best Practices for Engaging Online Experiences Personalization Best Practices for Engaging Online Experiences Presentation Transcript

    • Personalization Best Practices for Delivering an Engaging Online Customer Experience Carlos Carvajal, Sr. Director of Marketing, Baynote April 28th, 2010
    • Agenda • Personalization 101 • Common Pitfalls • Always Right Personalization • Real-World Use Cases & Results
    • What is Personalization? Personalization is a strategy for delivering a customer experience that is always personal, relevant and convenient EXPLICIT IMPLICIT • Profile-based • Behavioral-based • Segment-based • Context-driven • Rules-driven • Collaborative Filtering
    • Many Ways to Personalize… Implicit Product Recommendations Content Recommendations
    • Many Ways to Personalize… Explicit Customization Role-based
    • Many Ways to Personalize… Channels & Content
    • Personalization Benefits Increase: • Conversions • Engagement • Revenue • Customer Insights • Customer Lifetime Value
    • Common Personalization Pitfalls
    • Four Common Personalization Pitfalls 1.Must Build a Comprehensive Customer Profile First 2.Create Rules to Target Content Based on Customer Preferences 3.“Ultimate Personalization!” 4.Personalization is Really Hard to Get Right
    • Pitfall #1: Must Build A Comprehensive Profile First… Brother Uncle Husband Engineer CEO Father What to recommend???
    • Pitfall #2: Create Rules to Target Content…
    • Pitfall #3: “Ultimate Personalization!”
    • Pitfall #4: Personalization is Really Hard to Get Right Approval & Deployment BI, Analytics & MV Testing • New issues with priority • Too much noisy data • Missed deadlines • Rear-view mirror • Out-of-sync with market • Guess work Re-design Re-launch Re-platform Annually Quarterly Monthly Development & QA Tuning, Merchandizing & Editing • Too many projects • Manual & costly • Conflicting priorities • Top 5% most popular only • Expensive • Expert bias Too Slow, Too Expensive
    • Personalization in 2001 – Learn From the Past Source: ‘Web site personalization’, IBM 2001
    • Always Right Personalization
    • Always Right Personalization http://www.baynote.com/resources/videos/snowboard/video.php
    • Always Right Personalization “By understanding who you are and your shopping history… I can accurately predict which products you are currently interested in.” VS. “What are you looking for?” “Many customers who came before you liked this beginner snowboard…”
    • Collective Intelligence Powers Always Right Personalization Combination of Social and Cognitive Science Sell 1 of many Crowds are free Invisible Crowds Niche segments Crowds > Expert Actions > Words Micro projects Crowds reduces cost Whole > Sum of parts Real-time trends 7 deadly biases Real-time feedback But how? Aligned incentives?
    • Respond to Changing Customer Needs in Real-Time Approval & Deployment BI, Analytics & Observes Automatically MV Testing • New issues with priority • Too much noisy data Emergent Patterns • Missed deadlines Automatic Adjustments Real-time • Rear-view mirror • Out-of-sync with market • Guess work Re-design Re-launch Re-platform Annually Quarterly Monthly Use Collective Intelligence Development Little IT Involvement & QA Tuning & Merchandizing • Too many projects • Manual & costly • Conflicting priorities • Top 5% most popular only • Expensive • Expert bias
    • Three Principles for Achieving Always Right Personalization 1.Focus on Context First 2.Understand Customer Intent Through Engagement 3.Like-Minded Peers Know What They Like Best
    • Principle #1: Focus on Context First Brother Uncle Husband Engineer CEO Father What to recommend CONTEXT DRIVES RELEVANCE ?
    • Principle #2: Understand Intent Through Engagement
    • Principle #3: Like-Minded Peers Know What They Like Best
    • Putting it All Together… …page refers, links, entry trails, queries, page sizes, mouse movement, negative experience, virtual bookmarks, time spent, exit trails…
    • Real-World Use Cases & Results
    • Use Case: Personalized Landing Pages Known context Unknown context
    • Use Case: Personalized Search The crowd knows “insight” is really the LG Incite phone.
    • Use Case: Dynamic Navigation • Real-time as trends emerge • Based on aggregated visitor behavior • Brings content to the navigation level Popular content in category
    • Use Case: E-Mail Personalization Transactional Email Promotional Email 4x Conversion Rate
    • Use Case: Video Recommendations 21% Increase in Video Starts
    • Use Case: Recommendations Across Content Types Most Popular, Related, Content  Video, Email…
    • Use Case: Social Personalization Items shared by friends drive recommendations based on your preferences What I‟m cooking You Might Like today
    • Use Case: Identify Customer Trends Identify Trends Before They Happen Find Gaps and Optimize Product Mix
    • Use Case: Merchandising & Targeting Controls Select Action Select Product Select where product should be shown
    • Personal Profiles Serve as Filters and Constraints Personalized store
    • Personalization Best Practices Known Contextual Recommendations Personalized Contextual Recommendations Context Unknown Most Popular Products Personal Recommendations Unknown Profile Known
    • Real World Results: Bluefly Results: 300% lift in sales in Q4 „09 Profile • $84M High fashion discount eTailer • 50K SKUS, 350 brands Challenges • Low inventory per item • Constant turnover of product • Needed real-time solution “By making recommendations more relevant from a time perspective, we knew we would get a lift, but we had no idea it would be this much" – Marty Keane, SVP ecommerce
    • Real World Results: TurboTax Results: • 35% increase in site search conversion rates within weeks Profile • 73% increase within a year • 14M taxpayers • Award-winning support site Challenges • Taxpayers unable to find answers • Manually hard-coding content recommendations in results • Rapidly changing content & seasonality “The results were so overwhelmingly positive that it became a no-brainer.” Chris Jones, Web Analytics Manager
    • Baynote in a Nutshell Company • Pioneered real-time recommendations using collective intelligence in 2005 • 200+ web sites use Baynote today Technology • Collective intelligence foundation • Breakthrough UseRank® patents Solutions • Real-time personalization, targeting and recommendations • SEO and SEM – peer-driven • Search optimization – re-ranking by engagement • Email & video recommendations • Insights - Merchandising, Testing, Reporting
    • Key Takeaways 1. Avoid Common Pitfalls • Build a comprehensive customer profile first • Create rules to target content… • Personalization is really hard to get right 2. Best Practices for Success • Understand customer intent thru engagement • Use Collective Intelligence to respond to changing customer needs in real-time • Personal profiles serve as filters & constraints 3. Start Simple… • Identify high-value personalization use case: landing page, e-mail, product detail page • Define clear success metrics and plan for results within 8-12 weeks • Use customer insights, run tests, adapt
    • Thank You for Your Participation! Contact Information • E-mail: carlos@baynote.com • Twitter: @Baynote To Learn More About Baynote • www.baynote.com • www.baynote.com/blog Continue the Conversation on Twitter: #AMABaynote