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Online Merchandising with Recommendation Software

Online Merchandising with Recommendation Software

It’s just as easy to display your merchandising efforts online as it is in brick and mortar stores. A personalization engine, though, makes it easier.

It’s easy to see the effort of merchandisers in a brick-and-mortar store if you pay attention. Like products and categories are grouped together. Items that complement each other are display near one another. Sometimes unrelated products are put together for a particular reason. Online merchandising efforts can be just as effective as those found in traditional stores.

Effective Online Merchandising Efforts

If you think of a “big box” retailer, you can visualize the merchandising methods. Each department within the store has a particular quadrant and they have a certain flow from one to the next. Each one has its own set of products but the may relate to products form another area, too. For instance, the batteries you need for your flashlight can also be used in your child’s toy. Those batteries can be merchandised in multiple departments.

Online merchandising seeks to replicate this type of organizational plan in an ecommerce format. Like items are grouped together for easy browsing but it is more difficult to add items that do not technically fit into the product category. If a customer is looking at flashlights, the batteries may not be marketed under the same tab on the site. This is where using recommendation software can make such a big difference.

Recommendation software can take into account your product catalog and the attributes of each item. It can add these to your company’s marketing directives and rule to create personalized product recommendation for your customer. For example, those batteries can be tagged as a recommendation for any item that requires them in order to operate. In this way, products can be cross-marketed and up-sold for a higher average value per order, not to mention the convenience it offers to the customer.

More Flexibility With Recommendation Software

Your business can also use this technology to manage inventory. Slow moving products can become featured items. Overstocks can be highlighted and moved more quickly. Recommendation software gives your business the flexibility it needs to react to the ever-changing market in real-time.

Marketing directives are not the only thing that drives a product recommendation. The customer’s own browsing and shopping actions can be collected as data by recommendation software. This data can be used to create a customer profile that continues to develop with each visit. The software can use this profile to match the customer with items from your product line for a customized list of recommended items.

A recommendation system can make online merchandising even more effective. By using your marketing rules and the customer’s shopping profile, this software can create a dynamic experience each time your customer visits your site. This experience will keep him coming back for more.