How to Boost Revenue with Product Recommendations

By Kate Orchard

August 21, 2020


Product recommendations are an excellent way to enhance the customer experience by tailoring content specifically for each individual and helping users find what they want. And the better the customer experience, the more conversions and revenue you’ll drive. According to Accenture, 91% of consumers are more likely to shop from a brand that remembers them and provides relevant product recommendations.

SiteSpect’s next-generation product recommendations solution allows you to A/B test and personalize any aspect of your product recommendations, giving your users truly customized experiences. Personalized product recommendations account for 26% of ecommerce revenues, according to Invesp, so with optimized product recommendations in place, your business is bound to see a boost in conversions. Here are some tips to drive revenue with product recommendations.

Determine Your Algorithm

Although product recommendations are generally considered revenue-drivers, it’s important to determine the right algorithm(s) for your brand. Three popular algorithms to consider include Popular, Complementary, and People Also Like. If your brand is not as experienced with product recommendations, you can try running a campaign with multiple variations, where each variation serves a separate algorithm, to determine which works best. Don’t be surprised if various parts of your website respond best to different algorithms. The most effective product recommendations on a PDP might not be the same as the cart page, as users will visit each page during distinct phases of their journey. Finding the right product recommendations algorithm or algorithm combinations for your brand will be the key to your success.

Test, Test, Test

While it’s crucial to find which algorithm is best for your product recommendations, the testing doesn’t stop there. You should A/B test every piece of your product recommendations, from page location and layout to image size. All of these factors will have an impact on your user experience. A/B test different layouts, sizes, and positionings for your product recommendations to see what your customers prefer. Every aspect, including the number of product recommendations shown, which product details are displayed, and how you add a recommended product to cart can have an effect. It’s important to make product recommendations noticeable and accessible, but not intrusive. And similarly to the algorithms, if you have product recommendations on both your product page and your cart page, be sure to A/B test these things for each page—don’t assume what works in one location will work everywhere. A/B testing the look-and-feel of your product recommendations will provide a better customer experience and encourage more engagement.

Add a Personalized Touch

Once you’ve figured out the correct algorithm(s) and look-and-feel for your product recommendations, it’s time to see where you can personalize these product recommendations. Personalization is an important part of any website, but personalized product recommendations can have a huge impact on your business. In fact, 75% of consumers are more likely to buy an item if it is delivered in a personalized product recommendation. While personalized product recommendations depend on certain information about the customer, you can still apply them to new and returning users alike. For example, you might draw from a customer’s past purchases and individual behavior to make personalized product recommendations for a returning user. For new users, you would look at behavior patterns from your overall customer base and even items often purchased together. Personalized product recommendations will take your customer experience to the next level and drive revenue for your online business. 

To learn more about SiteSpect, visit our website.

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Kate Orchard

Kate Orchard

Kate Orchard is a Manager of Customer Success at SiteSpect, where she consults SiteSpect users on their optimization and personalization road maps and projects. She is based in Boston.

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