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Failure to personalise shopping experiences costs UK retailers millions

Personalising shopping experiences for consumers would generate an extra 7.8 per cent in revenue for UK retailers, yet many are still failing to do this, according to new research from Webloyalty.

More than half (55.8 per cent) of consumers surveyed by Conlumino, on behalf of Webloyalty, said that they would be more likely to buy from a retailer if they received a personalised shopping experience, whether it be online or offline. Special bespoke deals and tailored advertisements were said to be things that could turn a browser into a buyer, bizreport.com notes.

However, 26 per cent stated that they had never been presented with a tailored offer when shopping. When asked what else retailers could be doing to motivate consumers to use a retailer, 51.8 per cent of respondents said that beacons and location-based campaigns would enhance their experiences. Almost a third (30.7 per cent) felt that technology would make the shopping experience more personal.

The average annual turnover among the top 50 UK retailers is £3.2 billion, according to The Retail Week Knowledge Bank Analysis. That means that, according to the findings in Webloyalty’s survey, an additional £66 million in revenue could be being generated.

Guy Chiswick, managing director for Webloyalty Northern Europe, said: “Personalisation is the future of online shopping. Retailers need to be aware of the appetite within the consumer community and respond to it, if they are to reap the rewards.”

A separate survey, conducted by Rackspace, discovered that 26 per cent of consumers abandon their online shopping basket if an ecommerce site provides impersonalised categories which do not fit their desired items, itproportal.com reports.