The potential of existing customers
With Predictive Analytics you can easily identify customer needs, and improve your products and services according to them. Such improved product portfolio will be a strong base for making a chain of continuous offers targeted to existing customers. Making a connection between the product and the customer, and vice versa, enables advanced forecasts about which products are suitable for certain customers, and which customers are likely to purchase which products. This leads to identifying the best product to recommend to each client and track the path of purchase.
Just as I said in one of my previous articles How To Calculate ROI for Mobile Stores?, in CERAiT blog, selling to existing customers is easier, and requires less expenses, than constant acquiring of new customers. Recognizing their sales potential can heighten conversion rates, and at the same time lower their cost. This approach maximizes the value of existing customers, saves your money, and increases your revenue and profit.
When a customer fills his shopping cart, an abundance of opportunities arises for making his cart fuller, by recommending more relevant products. Predictive Analytics detects cross sell and up-sell opportunities, and quickly identifies the next best product to offer to the specific customer. The result is obvious: customer purchases more products, and the value of the purchase increases accordingly.
Creating satisfied customers and building long-term relations with them in eCommerce is possible, and presumable, with advanced and fully customizable online selling platform, that incorporates intelligent Predictive Analytics module with state-of-the-art Dashboard, to support managers in making important decisions.
Predict Customer Behavior and Increase Sales
Data input is one of the strengths of advanced Predictive Analytics systems. They are able to easily gather and integrate data from multiple sources, and systems: web, email, campaigns, social media, CRM, ERP, transactions. Furthermore, they can identify the main factors that influence customer behavior and satisfaction. They track paths to purchases in real-time, understand them, and perform analysis that are very fast and accurate. Quick detection of customer churn alerts you, and your system gives you suggestions how to prevent customer churn.
Like this, you are in charge of making high quality decisions, upon high quality information received from your system. You get a complete vision of prospects who can be turned into satisfied customers. The Predictive Analytics system identifies and gives you the picture of the best customer profile, so you can make precise and detailed segments in no time, based on provided customer profiles.
By understanding the customer profile you will know how and when to launch campaigns according to customer needs. In addition to that, you will be able to plan and automate campaigns, and make offers more relevant. Your system will predict and help you improve response rates of every marketing campaign. Conversion and quality of service are likely to improve as a result.
For creating customer profiles, Predictive Analytics takes into account geographic, demographic, attitude, and behavior data, so your offers can be very precisely targeted, resulting in increased revenue, and lower costs. Also, the very important parameter, ROI (Return on Investment), will show significant increase.
Predictive Analytics is agile in analyzing demand. Determining customer behaviors, anticipating demand, and then adjusting the pricing policy helps your business to withstand all market changes, successfully fight all fluctuations, and achieve optimized stocks and high sales.
To summarize all that is said above: Predictive Analytics is a strong, smart, useful, and in modern eCommerce, unavoidable, and inseparable segment, that identifies opportunities in order to reflect an increase in sales, revenues and profits (the main goals of any business).