Today, customers can choose from a variety of online shops to buy the desired products. So how can a retailer stand out from the competition? Experience shows: Personalized offers increase the conversion rate and make the customers happy - but only if they really suit him and his shopping behavior. Florian Lüft is responsible for business development at Apptus Technologies DACH. In this interview he explains how a commerce intelligence solution helps retailers to make every customer the best possible offer.
Can you briefly explain how the Apptus Technologies platform works?
Apptus is one of the leading specialists in the commerce intelligence field. The principle is actually very easily explained – we analyze user behavior on a website in real-time for our customers, match it with the history of other users based on various parameters and then deduct what should be relevant to the user who is currently surfing the website. We subsequently enter this knowledge into the respective relevant contents on category pages, onsite banners, in recommendations, searches and even in navigation using an automated, self-learning solution. This is best illustrated with an example: a widespread belief is that pants best match a soccer jersey. This would actually stand to reason, but how many fans really need a pair of pants? Would it not be better to ask what is most likely to prompt the current fan to purchase another article? Would a second jersey or fan scarf not be a better recommendation for some customers? This is exactly what Apptus finds out via a mathematical algorithm.
In this case, data is evaluated in real-time, to where customers are already shown personalized content during their first visit to the online store. Content can thus be precisely matched to the respective needs and purchase probability significantly increased with a current visitor. Shop managers receive comprehensive reports – also in real-time – including a recommended course of action to further optimize the performance. The unique aspect about Apptus technology is that it carries out all tasks automatically and constantly learns new things through analysis. This keeps costs for shop managers at a minimum and lets them focus on further growth of the shop. This software can be integrated into all current shop platforms with manageable expenditure.
What shop areas be personalized with this type of solution?
An automated solution like Apptus does not just personalize a specific area; it also tailors all optimization features to the individual shop visitor. This includes all areas that contain content such as search, navigation, product details, recommendations, promotions, banners, online advertisements, category pages and also landing pages of course.
This is a completely automated process. On the one hand, the shop visitor receives a personalized recommendation that is tailored to the customer based on the analyzed data. On the other hand, online vendors can adapt the search function to the searcher’s practices and thus personalize product, content and sales searches. A so-called faceted search in which search results are narrowed down by means of faceted classification helps to effectively target user requests to their interests and move those facets that are relevant to current users to the top. Through the autocomplete system, users ultimately receive recommendations on automated completion and similarity search. The “Did-you-mean“ function also enables automatic notification of possible alternatives.
The comprehensive operation of all optimization features with one solution is an essential component. In a current analysis with our customers, we discovered that overall optimization can only be done via the interaction of the various features. It varies by industry sector which feature depicts the biggest share in the optimization.
What advantages does this type of commerce intelligence solution offer retailers?
The main advantage right off the bat is this: thanks to higher relevance, Apptus verifiably increases the conversion rate and other KPIs, which leads to an increase in sales overall. Within a few short months, online retailers can improve performance.
Apptus provides online retailers the chance to adapt any content of their shop to the individual customer’s interests. If desired, the software automatically determines which products are relevant and learns from each new shop visitor’s searches. Apptus thus provides a competitive advantage right from the moment of implementation. Customer satisfaction is also improved thanks to customized and relevant content for each shop visitor. When the customer receives recommendations that are tailored to his or her interests, it has a positive impact on the online store, since satisfied customers remain longer on a website and are more interested when they don’t have to spend time searching for their favorite products. After all, emotions play an ever-increasing role in buying and selling. If a customer had a positive experience with an online store and experienced positive emotions, it is more likely that he or she will return to the respective web pages on their next virtual shopping trip.
Apptus has just won its first customers in the German-speaking market. How is the customer feedback so far?
The E-Plus Gruppe and the Swiss Möbel Pfister AG are among our current customers in the German-speaking area. Apptus was able to already achieve early successes with both customers since installation. Möbel Pfister AG in particular appreciates that the conversion rate and order volume can be significantly increased via the search and recommendation engine. The Swiss also feel confident that they are able to get one step closer to One-to-One-Commerce with the help of Apptus eSales, since this software can be integrated into their digital landscape without difficulty. E-Plus Deutschland has chosen Apptus as its partner, because it is important for visitors to find the right article at any time at the right price and tailored to their interests. We were ultimately able to win the E-Plus Gruppe’s business, because we were able to offer the most compelling solution for an individualized customer experience. We see very big potential in the German-speaking market, since German online retail is growing very rapidly and strongly. Germany is among the Top 5 ecommerce countries. This is why we also want to expand our business in German-speaking Europe, which we will succeed in, given the current negotiations and conversations with potential customers.
Interview: Daniel Stöter; iXtenso.com
