A comparison carried out by moevenpick-wein.ch shows that intelligent product recommendations significantly improve the success of an online shop.
Screenshot of recommendations on Moevenpick-Wein.ch
Mövenpick Wein has been using the product recommendation system Prediggo Intelligent Cross Selling (Prediggo for short) in its online shop since November 2009. The system uses an ontology-based filter which takes into account several criteria such as the visitor’s browsing history, previous transactions, product data, or current interests. This means that customers are shown selected product recommendations that are tailored to their preferences. An A/B test was used to measure visitors’ responses to intelligent and random product recommendations in order to test the effectiveness of the “thinking” system.
Intelligent vs. random product recommendations
The previous product recommendation system, which was not based on Prediggo, used simple logic whereby wines were selected from the same category at random.
Over a period of two weeks, visitors to the online shop were divided alternately into “Prediggo users” and “non-Prediggo users” and received either intelligent or category-based product recommendations accordingly.
More marketing, more sales, more success
The test results impressively prove the benefits of intelligent product recommendations. From a total of 230 additional products sold due to recommendations, around 200 product sales can be attributed to Prediggo recommendations. The additional sales achieved by using this system are eight times higher compared to the random method. The A/B test clearly proves the superiority of intelligent product recommendations. Or, as a maths teacher would say, “quod erat demonstrandum” (Q.E.D.).
Owners of online shops face a challenge
The use of mature recommendation systems improves the shopping experience, helping customers to find the right offer at the right time and in the right place. Intelligent product recommendation systems, such as the Prediggo system used by Mövenpick Wein, increase online sales in the long term and are paid off in a short time.
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