E-commerce companies can improve their conversion rates using behavioral marketing. But what exactly is behavioral marketing? It’s time to start your research.
Most behavioral marketing information is generalized for all web content. This article is for e-commerce companies. This regularly updated guide will:
- Introduce you to the concept of behavioral marketing
- Explain why behavioral marketing is relevant to e-commerce
- Provide book recommendations for further learning
- Point you towards behavioral marketing e-commerce technology
- And more coming soon!
Let’s get started.
What is Behavioral Marketing?
Behavioral marketing is a marketing tactic that uses onsite behavior data to classify and target website browsers. As it relates to e-commerce, behavioral marketing uses a shopper’s digital body language (such as mouse clicks, time on page, etc.) to better understand their intent to buy and targets them with tailored conversion optimization tools. This results in a more personalized experience for the shopper and an increase in sales for the e-commerce store.
How is Behavioral Marketing Different?
Behavioral marketing is an advanced method of customer or market segmentation. The main distinction between this and other types of marketing is in what data is used. Behavioral marketing uses on-site behavior data. This information can be collected without the shopper registering or logging into your site. By contrast, other types of online marketing will rely on the user to express interest deliberately (filling out an online profile, logging into their account, placing items in their cart, etc.).
Advantages of Behavioral Marketing in E-Commerce
The primary advantage behavioral marketing has in an e-commerce setting is that every user behavior data point can be used. This removes the limitation of only knowing what registered users are up to.
Behavioral marketing allows you to tailor your approach the first time an anonymous user visits your site.
By contrast, other types of marketing will either show the same messages to every site visitor or need to wait for information from the site visitor (like logging in or adding items to their cart) in order to target them.
Disadvantages of Behavioral Marketing for E-Commerce
Behavioral marketing will not drive more traffic to your website. If your KPI is based on traffic alone, this isn’t the strategy for you. But if your KPI is about proving the quality of the traffic you bring to your site or increasing the average order value of your existing traffic, behavioral marketing technology needs to be in your suite of tools.
Behavioral marketing also requires a lot of data processing and analysis. In best case scenarios, you have a technology like Granify that can understand and act on behavioral data in real time.
Books About Behavioral Marketing and E-Commerce
Now that you know the basics of behavioral marketing, it’s time to dig in deeper. The following books are recommended for e-commerce professionals with an interest in marketing and data.
By Dave Walters
This book is the tactical guide to understanding and implementing behavioral marketing in your online marketing strategy. Known as the digital marketing evangelist, Walters delivers information for marketers to get started reviewing their numbers and implementing data-backed customer-centric strategies.
By by Neale Martin
Read Neale Martin’s book if you want to understand why
By Shlomo Benartzi and Jonah Lehrer
Written by a leading behavioral economist, this book talks about how to influence online behavior, contrasting it with offline behavior. Read this book if you want to learn the science behind why certain interface elements can make a huge impact and why others don’t.
Getting The Right E-Commerce Behavioral Marketing Technology
Behavioral marketing requires technology. For behavioral marketing to make an impact, you need to gather, process, and act on massive amounts of data in real time. This technology is fairly advanced, requiring machine learning elements.
You can use this guide to choosing e-commerce CRO software. It goes over the details of how to get your team onboard and efficiently consider the options available to you.
Another resource you can take advantage of is Granify’s free consultations. One of the Granify experts will help you identify how behavioral marketing technology can raise your revenue.
Bookmark This Page!
This page will be regularly updated with more e-commerce behavioral marketing research resources. We specialize in this stuff, so we are constantly looking at new materials that influence the field. When we come across something good, we’ll add it in.