8 examples of personalization done right

If 2024 taught e-commerce leaders and marketers anything, it's that customer personalization is no longer a "nice-to-have" – it's now a baseline expectation.

The numbers tell a compelling story. Over 70% of customers expect personalized shopping experiences, and if businesses fail to deliver, 76% won't hesitate to switch to a competitor.

Clearly, this shift goes beyond meeting customer preferences. Instead, it’s about eliminating frustration and fostering genuine connections with shoppers. In fact, 71% express dissatisfaction with impersonal shopping experiences, and 50% actively seek real-time offers based on their browsing habits.

How are companies rising to meet these evolving customer expectations? Here are eight examples of how businesses across industries leverage personalization to satisfy growing demands.

1. Digital inclusion for the elderly

Personalized user experiences are at the heart of accessible technology, and generative AI is playing a central role in this effort. By adapting to individual needs in real-time, these advancements break down barriers that may have excluded certain groups from fully participating in the digital world.

For older adults, in particular, AI-powered adaptive learning tools simplify tasks that might have otherwise felt overwhelming. For example, imagine a virtual assistant patiently helping someone set up an email account or book a doctor's appointment online - not just offering instructions but tailoring them to the user's pace and comfort level in real-time.

This empowers older adults to navigate digital spaces confidently and independently, creating a more inclusive and equitable environment where everyone, regardless of age or experience, can benefit from technological advancements.

2. Turning casual browsers into revenue

Personalization doesn't just drive inclusion – it also addresses one of the biggest challenges businesses face online: turning casual website visitors into actual buyers.

Many websites attract thousands of daily users, but only a small fraction – typically 2%-3% – are ready to purchase. The rest are window shoppers, exploring options without a clear intention to buy.

This begs the question: how do businesses convert serious buyers without overwhelming them while keeping casual visitors engaged?

My sister and co-founder, Gonca Gülser, experienced this issue firsthand while working with a popular car listing website. She collaborated with the team to leverage machine learning analyzing users' actions in real-time.

This approach uncovered distinct patterns that differentiated buyers from casual browsers, enabling them to create personalized experiences for each group:

1. Buyers received an ad-free, streamlined shopping journey to simplify their decision-making
2. Casual browsers were shown targeted, relevant third-party ads

This dual approach effectively addressed user needs while transforming missed opportunities into substantial revenue gains, boosting the car listing website's profitability.

Fun fact: This use case served as the spark that inspired the creation of Quin AI. Witnessing the potential of machine learning, we set out to develop the world’s first platform dedicated to helping businesses respond to user behavior in real-time. Our goal was clear: to empower companies with the tools to deliver smarter, more intuitive, and highly personalized customer experiences that drive meaningful engagement and growth.

3. Combining generative AI with human support for better conversions

Here's another great example of real-time personalization in action. A leading telecom company faced a significant challenge transitioning their prepaid customers to postpaid plans. These low conversion rates were limiting their growth potential.

To address this, the company turned to generative AI to analyze customer behavior and pinpoint the individuals most likely to consider upgrading. However, the AI didn't stop there. It also identified customers who might require additional information or reassurance, flagging them for personalized follow-ups from human agents. This allowed agents to address specific concerns more effectively and provide timely, customized support.

The results were impressive: conversion rates jumped from 5% to 20%, while call center costs dropped. This success highlights how generative AI can seamlessly integrate with human touchpoints, enhancing the customer experience while improving operational efficiency.

4. Redefining online beauty shopping with generative AI

Building on how generative AI is transforming user experiences, let's explore how e-commerce stores, particularly in the beauty sector, use this technology to improve their customer journeys.

Sephora is blazing the trail in this department with its "Virtual Artist" tool. This analyzes each customer's unique facial features, allowing users to virtually try on makeup such as lipsticks or eyeshadows. It also delivers tailored product recommendations based on skin tone and style preferences, creating a deeply personalized shopping journey.

The "Virtual Artist" tool enhances customer confidence by bridging the gap between in-store and online shopping, enabling shoppers to make well-informed decisions from the comfort of their homes.

5. AI-powered product recommendations for easier navigation

Sticking with e-commerce, let's explore how generative AI is used to enhance popular online marketplaces like eBay. This household name is home to 2.1 billion active listings, so it's no wonder they turned to gen AI to make the shopping experience more intuitive and personalized for its users.

eBay's AI system analyzes its customers' real-time browsing habits to identify what they're most likely interested in. This more intelligent approach to targeting has made a big difference, increasing the number of people clicking on recommended items by nearly 16% and boosting purchases by over 30%.

6. Designing products that truly reflect individuality

Elsewhere, Nike's 'Nike By You' platform exemplifies how generative AI elevates the online shopping experience by placing creativity directly in the hands of customers. The AI generates tailored combinations by collecting inputs such as favorite colors, preferred materials, and desired styles, effectively bringing each customer's vision to life. This highly personalized and interactive process transforms a routine purchase into a collaborative and engaging experience, deepening customer connections and fostering lasting brand loyalty.

7. Retargeting success on key shopping days

While companies like Nike use generative AI to inspire creativity, others leverage it to reengage shoppers. For example, Tommy Hilfiger partnered with Quin AI to optimize its Valentine’s Day campaign, targeting users who had abandoned their shopping journey. By analyzing real-time customer behavior, the brand identified users with a strong interest in sweatshirts and re-engaged them with personalized incentives that hit the mark. This approach successfully reignited interest, resulting in an impressive 166% increase in conversion rates.

8. Driving membership growth with tailored messaging

Last but by no means least, KIKO Milano, a global cosmetics brand, also worked with Quin AI to elevate its loyalty program sign-up strategy. Instead of relying on blanket discounts, the AI pinpointed key moments when users were most likely to sign up and delivered personalized messaging that highlighted the program’s unique benefits, such as early access to new collections and customized product recommendations. This targeted, value-driven approach created a sense of exclusivity, resulting in a 1.92% increase in daily sign-ups!

Is your business ready to embrace the future of customer engagement?

As these examples demonstrate, hyper-personalization powered by generative AI is a surefire way to meet evolving customer expectations. The era of one-size-fits-all is over. Success now belongs to businesses that deeply understand their customers and act in real-time to meet their needs.

So, the real question isn’t whether to invest in personalized user experiences but rather how quickly you can implement them to drive meaningful results. Are you ready to unlock the potential of generative AI for your business? Book a demo with Quin AI today to witness the effectiveness of personalization firsthand.