CleverTap Report Reveals: eCommerce Companies Boost Sales 7x with Real-Time Personalization

Mountain View, California, & Mumbai, India – February 20, 2024 – CleverTap, the comprehensive engagement platform, unveiled its latest industry data-science report titled ‘Navigating Personalization: A Balancing Act for eCommerce.’ The report underscores the significance of tailored personalization strategies in diverse eCommerce applications. Drawing insights from analyzing 500,000 messages across 43 global eCommerce entities, CleverTap’s findings shed light on the efficacy of personalized approaches.

The study indicates that eCommerce enterprises implementing use-case tailored personalization observe six times more purchases than the industry average, and seven times more than those employing generic, one-size-fits-all strategies. These revelations, along with other key findings, offer valuable guidance to eCommerce marketers aiming for enhanced organic conversions and increased app engagement.

CleverTap’s assessment of personalization spans three channels: email, push notifications, and in-app messages. The report introduces four levels of personalization (L1 – L4) and advocates for a balanced integration across these levels to maximize effectiveness. The levels range from basic demographic targeting to real-time data utilization for immediate, highly relevant messaging based on current behaviors and events.

Businesses categorized as Striving, Steady, and Stellar exhibit varying degrees of personalization and corresponding outcomes. Striving businesses, focusing on limited personalization and high message frequencies, fall short of industry benchmarks by 77%. Steady businesses, prioritizing advanced personalization levels over frequency, surpass industry benchmarks by 74%. Stellar businesses, mastering a blend of all personalization levels, outshine industry benchmarks by 500%, translating to nearly seven times more purchases compared to Striving businesses.

Stellar businesses excel in leveraging basic demographic personalization for broad engagement while also deploying more sophisticated levels for targeted conversions. By prioritizing behavior-based and real-time messaging, they avoid intrusive communication and focus on guiding customers towards conversion events.

Jacob Joseph, VP – Data Science at CleverTap, emphasized the importance of a comprehensive approach to personalization, stating that while any level of personalization yields some benefits, a strategic mix of techniques can elevate eCommerce brands from average to outstanding, resulting in performance surpassing industry standards by sixfold.