Extensive personalization makes sense?
Zalando is fully focused personalization and shoot far in it. For example, the logistics system has been further developed in this aspect. Zalando therefore has a goal in mind. Customer Value Optimization goes beyond presenting personal offers. The aim is to tailor shipping options to the individual wishes of the customer.
Customer Value Optimization
With extensive personalization, Zalando is an example of putting the customer first in every respect. Customer value Optimization underlies this. Incidentally, this involves more than just taking into account the wishes of the customer. Optimizing customer value is achieved through a combination of factors. You can think of developing the right customer strategy, but also systems, culture and data analysis. It is a total package. Communication with the customer is paramount.
The analysis of data forms an excellent basis for drawing up a strategy with a concrete plan of action. It is important to find out what drives the customer in the purchasing behavior. The preferences, but also the obstacles become clear. For example, an offer that matches the personal preference of a customer is a form of personalization. The removal of obstacles also increases the success rate of conversions. Zalando does that well. In addition to the personal offers, the shipping options are tailored to the individual customer's wishes.
Personalization and repeat customers
Returning customers form a stable base in the world of E-commerce. Whether or not customers return is partly up to you. By making the choice for Customer Value Optimization. In order to have customers return, it is not only the personalization that is important, but also the communication. Contact moments that arise at the right time offer a greater conversion success rate. Cross-selling also plays an important role in this. With this, the customer is beckon beckoned to purchase several articles that are offered at once.
Profitability can be increased by customer retention. In the book 'Loyalty effect' by Frederick Reichfeld you can find interesting information about this. For example, it is shown that 5 percent more customer retention leads to increased profitability from 25% to 95%. In that context, Customer Lifecycle Management is the right way to achieve this. If applied correctly, the road to success is open. Do you want to take this road?
