<p>However, Black Friday has become well established as the Super Bowl of ecommerce. It’s a time when familiar online sales strategies show their worth and new ideas get a chance to prove themselves. And with so many sales and new customers to gain, the stakes get higher every holiday season. &nbsp;</p><p>But this year, as with so many other things, Black Friday will be different. The 2020 edition of the official start of holiday shopping will be unlike years past. COVID considerations mean that traditionally crowded stores can’t be crowded at all, calling into question if we’re even going to see a bump in brick-and-mortar sales. Add reasonable and widespread reservations about going out at all and you’ve got a recipe for a Black Friday like we’ve never seen before. &nbsp;</p><p>This is going to be the year when Black Friday becomes primarily known as an online event. &nbsp;</p><h3><strong>E-normous sales, traffic and opportunities&nbsp;</strong></h3><p>Black Friday 2020 is going to be an acceleration of a switch that was already very much underway. The explosion of online sales, particularly from mobile devices, is old news and the numbers become more impressive every year. Analysts expect 2020 online holiday season sales to reach nearly $200 billion in the U.S. alone.</p><p>This represents an incredible 33% year-on-year increase from 2019. &nbsp;</p><p>Part of this boost is a natural continuation of strong trends that were already well in place before the COVID outbreak but a significant part of this year’s expected increase is the result of adaptations made to deal with the pandemic. This year, with physical stores operating at limited capacity or even closed altogether, online traffic is expected to rise in early November, climb steadily and remain at impressive levels throughout the last two months of the year. In other words, instead of a high peak spread over four or five days, this year’s sales graph will look like a huge mountain spread over eight or nine weeks.</p><p>There’s a lot at stake here for any brand active in the online space. This unusual situation requires a new approach to reaching ecommerce customers. That’s where the quality of the tools in your digital marketing arsenal come into play. &nbsp;</p><h3><strong>A time for AI tools to shine &nbsp;</strong></h3><p>In addition to being a critical sales period for retailers, Black Friday events are also a showcase for online marketers and the optimized campaigns they create for the highest-traffic periods. In particular, digital strategies and AI-driven functionalities have a golden opportunity to demonstrate the power of a data-driven approach to customer engagement. &nbsp;</p><p>Of course, these marketing tools are available all year, but Black Friday is an ideal time to think about client communication from a new angle. It also represents the perfect time to benefit from integrating all available AI-driven solutions to automate key sales and marketing activities in a rather tight window of time. The possibilities for the implementation of the right tools are endless and adjusting them to the needs of your customers helps to create even more new opportunities. &nbsp;</p><p>Want to succeed on Black Friday and beyond (and keep up with competitors)? Be sure that you make the most of these capabilities made by possible by AI algorithms: &nbsp;</p><figure class="image"><img src="/uploads/black-friday-strategy_6c9769906d.png" alt="Graph presenting main 6 AI-driven Synerise products connected by lines with a Black Friday Strategy"></figure><p><a href="https://synerise.com/cdp"><strong>Customer Data Platform</strong></a><br>This is where the success stories of your Black Friday campaigns begin. A comprehensive data platform that gathers all customer data from every touchpoint in real time is the foundation of optimal communication management at each stage of your Black Friday activities. Thanks to this knowledge, you will have insight into changes in customer behavior, which will enable you to build personalization scenarios with unprecedented precision.</p><p><a href="https://synerise.com/loyalty"><strong>Customer Loyalty Platform</strong></a><br>Black Friday is a real test for your Loyalty Management Process. Even with higher than normal traffic flows and website activity, AI algorithms can let you predict your customers’ expectations by building effective engagement tactics, including custom promotions, gamification and more. This opens up unlimited possibilities in attracting new customers and reactivating existing ones, increasing the frequency of their purchases and building brand loyalty.</p><p><a href="https://synerise.com/personalization"><strong>Hyper Personalization</strong></a><br>With marketing messages everywhere, getting customer attention during Black Friday can be a big challenge. Creating attractive promotions is not enough to stand out from the noise. The key move now is to provide the best offer for the right group of customers based on their unique purchasing preferences and needs in real-time to reach your customers with a persuasive offer before others do.</p><p><a href="https://synerise.com/marketing"><strong>Marketing Platform</strong></a><br>A unified, seamlessly integrated data management platform helps in more ways than you can count.&nbsp; Imagine one simple interface to manage each communication channel. Key tools such as dynamic content, email marketing, push notifications, mobile campaigns and more are now under your full control so you can engage in a precise and quick dialogue with your Black Friday audience.</p><p><a href="https://synerise.com/automation"><strong>Workflow Automation</strong></a><br>Black Friday is also about the speed of operations. With automated workflows, it’s easier to take advantage of small windows of opportunity. With shoppers easily able to search from virtually unlimited options and find other offers, being able to respond quickly can make the difference between a conversion and a missed chance at expanding your customer base.</p><p><a href="https://synerise.com/analytics"><strong>Behavioral Intelligence &amp; Analytics</strong></a><br>You always have to be better than you were last year. No matter if you’re just starting your Black Friday activities or you are experienced in this field, constant measurement of the effectiveness of your actions informs decisions about how to improve. Build custom metrics that provide visibility into everything from sales statistics to fully automated personalization processes. Without statistical insights into where you are, you can’t effectively plan for where you want to go.</p><h3><strong>Fine tuning your Black Friday tactics</strong></h3><p>Although you probably already know what your customers like best and any Black Friday top tactics list will not surprise you much, think carefully of the real campaigns you can execute by having at your disposal AI-driven tools.</p><p>Take a look at proven methods that may still inspire you during this year's Black Friday sales and marketing activities. You can never stress the importance of the small things enough, so don’t overlook these building blocks of success!</p><h4><strong>Waiting all year round</strong></h4><ul><li>The biggest fans of Black Friday promotions wait for this time all year, so recognize this enthusiasm and do everything to make customers feel taken care of in a special way. Sales and promotions targeted at specific groups using segmentation is always a winning strategy. First time buyers? Second time? Seniors? Students? Mothers? Make people feel like part of a special group along with the discounts on products that respond to these unique requirements.</li><li>Prepare a competitive offer beyond just providing well-discounted products at the right time. Use product recommendation solutions to present your offer in the form of set of products adapted to current pandemic lifestyles and restrictions.</li><li>Create and deliver messages with mobile in mind. A sub-optimal loading time always&nbsp;translates into lost customers who don’t feel like waiting for more than three seconds&nbsp;so measure it constantly. Also, real estate is precious on small screens so keep fields&nbsp;&nbsp;to be filled in short and to a minimum while keeping content focused on where a customer is on their conversion path.</li><li>Don’t ignore the role of email. Yes, social media has a cool factor that email never had but&nbsp;email is still the preferred communication channel for the clear majority of customers.&nbsp;Use it to get a head start by letting customers sign up in advance for alerts on Black Friday&nbsp;deals and details. Send out a campaign blast and be sure to follow up on clicks and opens&nbsp;to move recipients along a custom path you can create.&nbsp;Email is also the perfect medium for sharing discount codes in exchange for signing up for a newsletter or other message. Also, email can be a great way to engage customers through&nbsp;gamification and rewards - the expectation of a prize is just the thing that will drive your&nbsp;open rates through the roof.</li><li>Encourage undecided shoppers and take control of abandoned carts and churn rates.&nbsp;Remember that saving even a modest fraction of abandoned carts can have a major impact on your sales. Set up email alerts to be sent, for example, thirty minutes after a product is left behind along with a link bringing them back to finish the transaction.</li><li>Use the power of exit intent pop-ups or pop-overs. Although they are no one’s favorite&nbsp;thing to see on a site, they’re so common because they work. Use them to detect a user’s&nbsp;intent to leave your site to complete transactions, sign-up forms or anything else.&nbsp;Getting even a small response to “Are you sure you want to leave?” can provide big results.</li></ul><figure class="image"><img src="/uploads/exit_popup_2_21b014dc7d.png" alt="Exit Intent Popup on mobile screen encouraging you to complete the purchase and use an additional 20% discount on the entire current basket"></figure><ul><li>Implement the element of surprise and exceptional customer experience into to your Black Friday strategy. Everyone likes getting something extra, so extend your Black Friday offer by offering not only a discount but also other additional benefits. For each purchase, add an additional gift in the form of an online concert ticket or give the opportunity to donate part of the purchase income to charity. In this difficult time for everyone, there will surely be those who will gladly support others in need.</li></ul><h3><strong>The first always wins</strong></h3><ul><li>Nobody likes to stand in line waiting to make a purchase. Transfer this dynamic to online shopping as well. Avoid the overload in traffic you expect during Black Friday and inform your clients this year that they have this unique opportunity to pre-order the same discounted products before the actual Black Friday. Of course, specify the time frame in which such an order will be possible to place.</li></ul><figure class="image"><img src="/uploads/image_3845d4c375.png" alt="Example of an email message encouraging to join pre-order Black Friday sale with the use of 25% discount code valid for 2 days"></figure><ul><li>No list like this is complete without a reminder to create a sense of urgency. Countdown clocks, “limited time”, “only XXX left!”- it’s all about the fear of missing out and giving customers a reason to buy now. Classic strategies are classics because they get results. Always create a sense of urgency to boost sales.</li><li>Upsell, cross-sell - just sell! Taking advantage of the opportunity to sell more items or a more expensive item is another classic must-have in any successful ecommerce operation. Both of these strategies work well through offering combinations of complementary items at a discount.</li><li>We all know social media is a big deal and dedicated offers directed at your channels are a must. Reward your social media fans and convince them that loyalty always pays off. Offer limited-time discount codes, competitions or any other kind of engagement can get a great response when it’s clear that your page on this or that site is the only place brand fans will find it. Start a dialogue and keep it going through your social media team.</li></ul><h3><strong>Summary</strong></h3><p>With Black Friday just around the corner, now’s the time to put the finishing touches on your strategy for riding the biggest retail wave of the year. Take a careful look at the tools you’re using and consider if have all the technical capabilities that next-level marketing requires.&nbsp;</p><p>On the other side, make sure all of your customer-facing content uses the material, language and strategies that are and will continue to be standard for Black Friday success, even in this strangest of years.&nbsp;</p>

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This is a set of inspirations for this year's Black Friday online sales strategy. Check if you already know everything about the best Black Friday tactics and the impact of the AI-driven tools on getting the best possible results.


A different kind of Black Friday 2020 | Synerise

This is a set of inspirations for this year's Black Friday online sales strategy. Check if you already know everything about the best Black Friday tactics and the impact of the AI-driven tools on getting the best possible results.

A different kind of Black Friday 2020

<figure class="image"><img src="/uploads/image_(5)_8532eff319.png" alt="Synerise new Partnership with Cleora - logotypes"></figure><p>Cleora is a general-purpose model for efficient, scalable learning of stable and inductive entity embeddings for heterogeneous relational data. The framework embeds entities in n-dimensional spherical spaces utilizing extremely fast, stable and iterative random projections, which allows for unparalleled performance and scalability. The tool can embed extremely large graphs &amp; hypergraphs on a single machine.&nbsp;</p><h4>Types of data which can be embedded include for example:</h4><ol><li>Heterogeneous directed and undirected graphs,</li><li>Heterogeneous undirected hypergraphs,</li><li>Text and other categorical array data,</li><li>Any combination of the above.</li></ol><blockquote><p>At Synerise we believe that sharing knowledge and showing innovation in the open-source Cleora framework will help many companies to develop amazing, faster solutions in the AI field. – <a href="https://synerise.com/about/team"><strong>Barbara Rychalska</strong></a><strong> – AI Research Scientist at Synerise.</strong></p></blockquote><figure class="image"><img src="/uploads/cleora-pic_5744952aa5.jpeg" alt="Isometric picture contains microprocessor and a big eye on triangle"></figure><h4>Key technical features of Cleora embeddings</h4><p>The embeddings produced by Cleora are different from those produced by Node2vec, Word2vec, DeepWalk or other systems in this class by a number of key properties:</p><ol><li>Efficiency - Cleora is two orders of magnitude faster than Node2Vec or DeepWalk,</li><li>Inductivity - as Cleora embeddings of an entity are defined only by interactions with other entities, vectors for new entities can be computed on-the-fly,</li><li>Updatability - refreshing a Cleora embedding for an entity is a very fast operation allowing for real-time updates without retraining,</li><li>Stability - all starting vectors for entities are deterministic, which means that Cleora embeddings on similar datasets will end up being similar. Methods like Word2vec, Node2vec or DeepWalk return different results with every run,</li><li>Cross-dataset compositionality - thanks to stability of Cleora embeddings, embeddings of the same entity on multiple datasets can be combined by averaging, yielding meaningful vectors,</li><li>Dim-wise independence - thanks to the process producing Cleora embeddings, every dimension is independent of others. This property allows for efficient and low-parameter method for combining multi-view embeddings with Conv1d layers,</li><li>Extreme parallelism and performance - Cleora is written in Rust utilizing thread-level parallelism for all calculations except input file loading. In practice this means that the embedding process is often faster than loading the input data.</li></ol><h4>The key usability features of Cleora embeddings from the end-user perspective can be summarized as: &nbsp;</h4><ol><li>Heterogeneous relational tables can be embedded without any artificial data pre-processing,</li><li>Mixed interaction and text data sets can be embedded with ease,</li><li>The cold start problem for new entities is easily solved,</li><li>Real-time updates of the embeddings do not require separate solutions,</li><li>Multi-view embeddings work out-of-the-box,</li><li>Incremental embeddings are stable with no need for re-alignment, rotations or other methods,</li><li>Extremely large data sets are supported and can be embedded within seconds/minutes.</li></ol><h4>Key competitive advantages of Cleora:</h4><ol><li>More than 197x faster than DeepWalk,</li><li>~4x-8x faster than <a href="https://ai.facebook.com/blog/open-sourcing-pytorch-biggraph-for-faster-embeddings-of-extremely-large-graphs/" target="_blank" rel="noopener noreferrer nofollow">Pytorch-BigGraph</a> depends on use case</li><li>Star expansion, clique expansion, and no expansion support for hypergraphs,</li><li>Quality of results outperforming or competitive with other embedding frameworks like <a href="https://ai.facebook.com/blog/open-sourcing-pytorch-biggraph-for-faster-embeddings-of-extremely-large-graphs/" target="_blank" rel="noopener noreferrer nofollow">PyTorch-BigGraph</a>, GOSH, DeepWalk, LINE,</li><li>Can embed extremely large graphs &amp; hypergraphs on a single machine.</li></ol><p>Synerise it's positioning Cleora at the top together with tech giants. The quality of results outperform or are competitive with other embedding frameworks. &nbsp;The scientific paper with the details will be published in 2 weeks.<br>The source code of the solution is already available on the&nbsp;<a href="https://github.com/Synerise" target="_blank" rel="noopener noreferrer nofollow">Synerise GitHub account.</a>&nbsp;</p><blockquote><p style="text-align:justify;"><i>A strong confirmation of the innovation of Cleora’s algorithms is that we use them as a part of the Synerise AI Growth Ecosystem.&nbsp;We’re leading the way not only in observing the reality happening around us, but in making a real contribution to science and&nbsp;in&nbsp;the process of creating it.</i><br><i><strong>Jacek Dąbrowski - Chief Artificial Intelligence Officer at Synerise.</strong></i></p></blockquote><p style="text-align:justify;">Cleora is used by Synerise for internal purposes, working together with&nbsp;<a href="https://www.linkedin.com/pulse/synerise-terrarium-massive-scale-in-memory-storage-built-krolewski/" target="_blank" rel="noopener noreferrer nofollow">Terrarium DB</a> processing billions of datapoints in real-time and solving multi-modal challenges which involves graph data. Cleora algorithm is flexible and can be applied to different segments of the market, inter alia: retail, banking, and telco behavioral data at scale (billions of entities, trillions of interactions). Cleora is also&nbsp;used&nbsp;in input embeddings&nbsp;in&nbsp;<a href="https://synerise.com/papers/efficient-manifold-density-estimator">EMDE (Efficient Manifold Density Estimation) that was&nbsp;also created&nbsp;by the Synerise Team.</a></p><p style="text-align:justify;">&nbsp;</p><p style="text-align:justify;">Read our previous news: &nbsp;<a href="https://synerise.com/press/news/synerise-wins-elevator-lab-program-raiffeisen-bank">Synerise wins the Elevator Lab Program &gt;&gt;&gt;</a></p>

Artificial Intelligence company Synerise, one of the fastest growing in CEE, known for their AI Growth Ecosystem is open sourcing Cleora AI project – a machine learning tool that enables faster and hyper-easy production of graph embeddings for big graphs. 

Synerise releases Cleora AI framework as open-source | Synerise

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Synerise releases Cleora AI framework for ultra-fast embeddings in large graphs as open-source 

<p>Representatives from Synerise were the only ones to present two scientific publications during the conference, approved and recommended by the conference jury during an <a href="https://sigir-ecom.github.io/organizers.html">e-commerce workshop organized by scientists from companies including Alibaba, Zalando, Amazon, Rakuten, Apple, WalMart, eBay and YouTube. </a>The solution prepared by the Synerise team consisting of Jacek Dąbrowski, Konrad Gołuchowski, Barbara Rychalska, Dominika Basaj turned out to be the best of all submitted during the competition.</p><p><a href="http://global.rakuten.com/" target="_blank" rel="noopener noreferrer nofollow">Rakuten</a> is one of the most well-known Asian companies in the e-commerce segment in the world today, often referred to as the "Japanese Amazon", with a combined revenue of $12 billion and 14,000 employees, operating in almost 30 countries, including in the US, UK and France. It is also the main global sponsor of the FC Barcelona football club.</p><p>The Synerise team used their latest achievements in the field of artificial intelligence, including their proprietary EMDE algorithm, an efficient method of density estimation on differentiable manifolds in recommendation systems. This method allows scientists to represent data from unsupervised learning methods for different modalities (user interactions, text, image, audio) in a common, unified format.</p><blockquote><p><i>“As a company, we rarely take part in competitions related to our technical specialization. However, we take on those challenges which, in our opinion, are able to effectively change the paradigms within artificial intelligence and revolutionize its dissemination. We are very proud of this recognition, but we’re even more proud of the opportunity to present Polish technological thought in an international arena. I am glad that Poland has its representatives in such an important group, and we do not limit ourselves only to being a subcontractor of larger brands. We’re leading the way not only in observing the reality happening around us, but in making a real contribution to science and in the process of creating it.” -&nbsp;</i><a href="https://synerise.com/about/team"><strong>Jacek Dąbrowski </strong></a><strong>- Chief Artifical Intelligence Officer at Synerise.</strong></p></blockquote><p>Synerise is currently one of the most famous and innovative Polish companies operating in high technology sectors crucial to the economy, such as big data and artificial intelligence. The company boldly invests in its own data processing products and artificial intelligence solutions. Synerise’s customers are well-known and innovative brands operating in Poland and around the world. The company has been recognized in many prestigious competitions, including by EY Accelerating Entrepreneurs as one of the 30 most promising high tech companies in the world, and in annual global competitions by Microsoft. <a href="https://synerise.com/about/science">Synerise is known for strong cooperation with scientists from numerous Polish and foreign universities</a>. The president of Synerise is Jarosław Królewski, co-owner and chairman of the Supervisory Board of Wisła Kraków, lecturer and graduate of the AGH University of Science and Technology in Krakow.</p><p>SIGIR is one of the most prestigious conferences in the world and is at the forefront of events in the field of information processing systems. The history of the conference dates back to 1978.</p><p>&nbsp;</p><p>Read our previous news about <a href="https://synerise.com/press/news/synerise-partners-with-hycom">new Synerise partnership with Hycom.digital &gt;&gt;&gt;</a></p>

Jacek Dąbrowski - Head of AI in Synerise during Rakuten Data Challenge 2020

jacek-dabrowski-during-rakuten-data-challenge-2020

Read about how the Synerise Team defeated all participants in the annual competition organized by the Rakuten Institute of Technology and win the Rakuten Data Challenge. 

Synerise wins the Rakuten Data Challenge | Synerise

Synerise Team Wins the 2020 Rakuten Data Challenge!

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Discover articles connected with Artificial Intelligence to find out more about our key technology and its development

 Artificial Intelligence - Blog Category | Synerise

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<p><strong>Segmentation is the key to your company’s success&nbsp;</strong>Segmentation allows you to create groups of clients who share a common trait. This allows you to better understand their needs and select appropriate marketing activities. Be warned – well-prepared segmentation is difficult. It should go beyond the templates that fit everyone and create groups based on individual criteria. If you put in the right about time and effort, you can reap huge rewards. Let’s see how others have done it.</p><h3>SwayChic</h3><p>SwayChic, an online store offering women’s clothing, challenged itself to increase revenues from existing clients with optimized email campaigns. After preliminary tests, the company divided its clients into segments based on collected behavioral data.</p><p>Among many indicators, the company chose two that they believed were essential to carrying out a successful campaign. The first was how the time the message was received influenced client behavior. They created three groups to which messages were sent at 5 AM, 10 AM and 5 PM. This made it possible to discover that in their case campaigns sent in the evenings are usually the most opened.</p><p>The second aspect was the shopping story. Here the sample segments consisted of people who in the past have made one purchase, three purchases or have not bought anything for a long time. This allows the company to differentiate a few non-active clients and address them with suitable campaigns to re-engage them.</p><p>The effect? The company carried out 12 optimized email campaigns to the appropriate client segments with these results:</p><ul><li>OR Increased by 40%;</li><li>CTR doubled;</li><li>profit from each campaign tripled.</li></ul><h3>Doggyloot – segmentation has no limits</h3><p>Doggyloot is an online shop for dog owners. Instead of sending campaigns to human customers, they are addressed to … pets, even sending them birthday greetings. Personalization is based on the dogs’ data, not their owners’. Here registration is useful – you need to ask one simple question – how big is your dog? This short answer allows you to prepare more accurate email campaigns.</p><p>It is known that a Rottweiller needs different products than poodles. The offer of a huge bone will not work for a 5-pound dog. This simple procedure allowed an increase in the CTR in the group of owners of big dogs by 410%, compared to the CTR in campaigns dedicated to all dogs. An even better result was achieved by the campaign concerning dogs’ birthday greetings – here CTR increased by 750% and daily sales of products to selected breeds jumped by 16%.</p><h3>Johnny Cupcakes – quality counts</h3><p>Johnny Cupcakes – a confectioneries chain and the owner of an online store with T-shirts and accessories, had over 80,000 client email addresses. In their campaigns, each subscriber always got the same message and so it was not a very efficient operation. The owners realized that they needed to make tailored campaigns and so they began to collect information from social media profiles and used to it create customer segments based on common characteristics.</p><p>This simple step had these results:</p><ul><li>CTR increased by 42%;</li><li>conversion increased by 123%;</li><li>income from the campaign increased by 141%.</li></ul><h3>Eventful</h3><p>Eventful is a service that allows clients to search for and keep track of upcoming events, such as festivals, concerts, films, etc. Here segmentation was based on personalizing emails based on customer interest in a particular artist. They used information collected through cookies. This data was used to create a recommendations system based on demonstrated interests and preferences. In addition, they created a system of event notifications adjusted to visitor interests. These changes had the following results:</p><ul><li>reactivation of unused accounts increased by 400%;</li><li>OR increased by 26%;</li><li>CTR increased by 97%.</li></ul><h3>Intermix</h3><p>Intermix – This fashion store for women divided their clients into three segments. They analyzed their past buying behavior, the average value of purchases, email opening rate and clicks on links within them. In this way they created segments:</p><ul><li>VIP – clients spending the most, following the latest trends in fashion;</li><li>Outlet customers – who are motivated to purchase by special sales;</li><li>Customers of certain brands – which are characterized by loyalty to specific brands, but also pay attention to prices.</li></ul><p>Using these three segments, they could send relevant messages with the right offers to the right customers. So the VIP group received invitations to exclusive events and meetings with designers, while the other group received a 30% or 15% discount. These actions&nbsp;<a href="https://synerise.com/blog/10-solutions-for-online-store-that-increase-sales">increased the store’s annual revenue&nbsp;</a>by 15%.</p><h3>See the results of segmentation for yourself</h3><p>Analyzing these examples, we can see that proper segmentation is the path of the increased sales. But do not forget that every business is unique and demands its own strategy. This means creating segments that are unique to the needs of a particular industry.</p><p>It is important to ask a lot of questions and work in the team. This will help you to choose a small group of data which you should focus on. Remember that the number of segmentation criteria should have up to 5-7 conditions to be successful. Hence, it is important to include only the most important indicators that will draw the most important conclusions. In the process of the selection criteria, and the analysis of very large databases, BI systems that will be equipped with modules for automatic segmentation of clients are invaluable.</p>

<p><strong>Segmentation is the key to your company’s success&nbsp;</strong>Segmentation allows you to create groups of clients who share a common trait. This allows you to better understand their needs and select appropriate marketing activities. Be warned – well-prepared segmentation is difficult. It should go beyond the templates that fit everyone and create groups based on individual criteria. If you put in the right about time and effort, you can reap huge rewards. Let’s see how others have done it.</p><h3>SwayChic</h3><p>SwayChic, an online store offering women’s clothing, challenged itself to increase revenues from existing clients with optimized email campaigns. After preliminary tests, the company divided its clients into segments based on collected behavioral data.</p><p>Among many indicators, the company chose two that they believed were essential to carrying out a successful campaign. The first was how the time the message was received influenced client behavior. They created three groups to which messages were sent at 5 AM, 10 AM and 5 PM. This made it possible to discover that in their case campaigns sent in the evenings are usually the most opened.</p><p>The second aspect was the shopping story. Here the sample segments consisted of people who in the past have made one purchase, three purchases or have not bought anything for a long time. This allows the company to differentiate a few non-active clients and address them with suitable campaigns to re-engage them.</p><p>The effect? The company carried out 12 optimized email campaigns to the appropriate client segments with these results:</p><ul><li>OR Increased by 40%;</li><li>CTR doubled;</li><li>profit from each campaign tripled.</li></ul><h3>Doggyloot – segmentation has no limits</h3><p>Doggyloot is an online shop for dog owners. Instead of sending campaigns to human customers, they are addressed to … pets, even sending them birthday greetings. Personalization is based on the dogs’ data, not their owners’. Here registration is useful – you need to ask one simple question – how big is your dog? This short answer allows you to prepare more accurate email campaigns.</p><p>It is known that a Rottweiller needs different products than poodles. The offer of a huge bone will not work for a 5-pound dog. This simple procedure allowed an increase in the CTR in the group of owners of big dogs by 410%, compared to the CTR in campaigns dedicated to all dogs. An even better result was achieved by the campaign concerning dogs’ birthday greetings – here CTR increased by 750% and daily sales of products to selected breeds jumped by 16%.</p><h3>Johnny Cupcakes – quality counts</h3><p>Johnny Cupcakes – a confectioneries chain and the owner of an online store with T-shirts and accessories, had over 80,000 client email addresses. In their campaigns, each subscriber always got the same message and so it was not a very efficient operation. The owners realized that they needed to make tailored campaigns and so they began to collect information from social media profiles and used to it create customer segments based on common characteristics.</p><p>This simple step had these results:</p><ul><li>CTR increased by 42%;</li><li>conversion increased by 123%;</li><li>income from the campaign increased by 141%.</li></ul><h3>Eventful</h3><p>Eventful is a service that allows clients to search for and keep track of upcoming events, such as festivals, concerts, films, etc. Here segmentation was based on personalizing emails based on customer interest in a particular artist. They used information collected through cookies. This data was used to create a recommendations system based on demonstrated interests and preferences. In addition, they created a system of event notifications adjusted to visitor interests. These changes had the following results:</p><ul><li>reactivation of unused accounts increased by 400%;</li><li>OR increased by 26%;</li><li>CTR increased by 97%.</li></ul><h3>Intermix</h3><p>Intermix – This fashion store for women divided their clients into three segments. They analyzed their past buying behavior, the average value of purchases, email opening rate and clicks on links within them. In this way they created segments:</p><ul><li>VIP – clients spending the most, following the latest trends in fashion;</li><li>Outlet customers – who are motivated to purchase by special sales;</li><li>Customers of certain brands – which are characterized by loyalty to specific brands, but also pay attention to prices.</li></ul><p>Using these three segments, they could send relevant messages with the right offers to the right customers. So the VIP group received invitations to exclusive events and meetings with designers, while the other group received a 30% or 15% discount. These actions&nbsp;<a href="https://synerise.com/10-solutions-for-your-online-store-that-will-increase-sales/">increased the store’s annual revenue&nbsp;</a>by 15%.</p><figure class="image"><img src="/uploads/eb1d4a9a8ed04155ad620d8e6877dab6.jpg"></figure><h3>See the results of segmentation for yourself</h3><p>Analyzing these examples, we can see that proper segmentation is the path of the increased sales. But do not forget that every business is unique and demands its own strategy. This means creating segments that are unique to the needs of a particular industry.</p><p>It is important to ask a lot of questions and work in the team. This will help you to choose a small group of data which you should focus on. Remember that the number of segmentation criteria should have up to 5-7 conditions to be successful. Hence, it is important to include only the most important indicators that will draw the most important conclusions. In the process of the selection criteria, and the analysis of very large databases, BI systems that will be equipped with modules for automatic segmentation of clients are invaluable.</p><figure class="image"><img src="/uploads/6f3f299667f74039809bb1e32534dd52.png"></figure>

Segmentation presented as a visual pie chart with accumulated data

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Segmentation is the key to success. It allows you to better understand customers needs and select appropriate marketing activities. See how others have done it effectively.

How Segmentation Can Boost Your Profits | Blog | Synerise

How Segmentation Can Boost Your Profits

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<p>Synerise cooperates with Orange Polska, the market leader in mobile telecommunications, internet and data transmission, by supporting their digital transformation and providing customers with the best experience of using modern technologies. Synerise solutions help Orange acquire and retain satisfied customers, driving an increase in the share of digital channels in overall sales.</p>

<p>Building better customer experience and growth in e-commerce</p>

Case study

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<p>A high degree of flexibility, the possibility of implementing multiple omnichannel scenarios and fast time-to-market give the chain an advantage in digital channels.</p>

<p>increase in the average basket value when containing recommended products</p>

<p><strong>LEROY MERLIN implements digital innovation with Synerise</strong></p>

Retail case study

<h3><strong>Before you start</strong>&nbsp;</h3><figure class="image"><img src="/uploads/image_7e2283c8ea.png" alt="Blue squares, charts and client icon "></figure><p>The process should start even before the actual integration goes ahead. Take a closer look at your website and the <a href="https://synerise.com/papers/multi-modal-embedding-recommender">AI solution</a> you will be using, in order to know how to better plan the implementation.&nbsp;</p><h4><strong>1.&nbsp;&nbsp; Analyze products on the website&nbsp;</strong></h4><p>It’s a good practice to analyze product frames on the website. This will help you speed up the whole integration by preparing an appropriate product catalog (the source of e-commerce product stock). Pay attention to information about products that you already have on the website — maybe apart from the title and price there are some special labels like “eco-friendly”; stars with product ratings; special prices for club members, etc. After you define this, you will know what information should be included in the product catalog and so the frame with recommendations will visually fit the website layout.&nbsp;</p><h4><strong>2. &nbsp;Verify the website structure&nbsp;&nbsp;</strong></h4><p>You can also examine the website in terms of places to put recommendations. Areas like the home, product or category pages are obvious but perhaps there is a better space to add recommendations such as in the drop-down menu or on a landing page which describes one of the brands you sell? <strong>Each website should be analyzed individually to find the places where recommendations can be added to enhance the customer experience.</strong> It will also help you to plan the implementation because you will know how many campaigns will need to be prepared.</p><h4><strong>3. Obtain basic knowledge about the </strong><a href="https://help.synerise.com/ai-7-days/"><strong>AI solution&nbsp;</strong></a></h4><p>You will learn about any platform once you start using it, but it’s important to know earlier about the range of services it offers. You need to go deeper by getting to know the requirements of each AI product offered. That will indicate what you will need to prepare on your side, making it easier to better plan the integration. As a result, you will get an idea of what you should focus on to implement campaigns that you are planning, and what should be provided in the short and long term.&nbsp;</p><h3><strong>Integration</strong></h3><figure class="image"><img src="/uploads/image_9063727d97.png" alt="Product attributes like name, price, color, link, image, category, season"></figure><p>Since you already have a concept in mind of what you want to achieve, all you have to do is take action. Start by carefully planning the steps of the integration and providing events and a product catalog.&nbsp;&nbsp;</p><h4><strong>4. Add custom attributes in the product catalog&nbsp;</strong></h4><p>The <a href="https://help.synerise.com/developers/product-feed/">product catalog</a> is the source of information about your products, which should contain basic data like their titles, images, links and prices. But it’s recommended practice to add more attributes, which will provide more details about each product. Thanks to more detail, you will be able to filter your recommendations in a more advanced way. Those attributes can be universal, like ratings, or strictly connected to a specific industry, like seasons for fashion, or energy consumption in the home appliance industry.&nbsp;&nbsp;</p><h4><strong>5. Include unavailable products in the product catalog&nbsp;</strong></h4><p>If your website includes products which are currently unavailable or which can be bought offline only, add them to the product catalog anyway but with the information that they are out of stock. Then such products will not appear in the recommendation’s frame, but you will be able to show recommendations on a product page. In other words, you can recommend similar products which are available, and which may interest your customers and convince them to make a transaction.&nbsp;</p><h4><strong>6. Provide events as soon as possible&nbsp;</strong></h4><p>AI models need data to learn, so don’t wait with <a href="https://help.synerise.com/developers/web/event-tracking/">event integration</a>. Even if you have to enhance the product catalog (see previous point), provide events for better recommendations. The more of them you add, the more accurate the models will be. Another thing which may be helpful is the import of historical transactional events - it will also allow you to get more appropriate results faster.</p><h3><strong>Campaign implementation&nbsp;</strong></h3><figure class="image"><img src="/uploads/image_7c292b6ce4.png" alt="Zero page results showing recommendation on pages where customers don’t view products"></figure><p>Preparation is a crucial part of integration but now it’s time to finally put into practice the data you’ve provided and create campaigns. Let's look at how to do just that.&nbsp;</p><h4><strong>7. Give recommendations at every step of the customer journey&nbsp;</strong></h4><p>To enhance the customer experience, <a href="https://synerise.com/blog/perfect-customer-journey-based-on-ai-recommendations">add recommendations at every step of the customer journey</a>.&nbsp;</p><ul><li>Put <a href="https://synerise.com/blog/bestsellers-vs-personalized-recommendations">personalized recommendations</a> on the home page where customers will be displayed products best suited for them, instead of the same set of products for everybody.</li><li>When customers go to the categories page, show them personalized recommendations tailored to the current category, placed above or below the list of products.</li><li>On the product page, add similar or visually similar recommendations near the main information about the product.</li><li>When a customer adds a product to the cart, add cross-sell recommendations in the pre-cart pop-up to increase the cart value.</li><li>Finally, when customers get to the shopping cart page, add cart recommendations to interest them in additional products.</li></ul><h4><strong>8. Enrich pages where customers don’t view products&nbsp;</strong>&nbsp;</h4><p>You can also help customers by implementing personalized recommendations on pages where they usually do not see any products, like 404 pages, zero search results, empty carts, pages with campaign rules. This gives you more opportunity to attract customer attention with offers specifically tailored to them.</p><h4><strong>9. Go beyond the website&nbsp;</strong></h4><p>So far, we have covered recommendations for most places on the website, but you should go beyond this and use other touchpoints to promote recommended products. Use emails to send personalized offers when the user ends the session, offer complementary products after they buy something, or show similar products based on the last seen item. Send web push messages that link to a landing page with products chosen for the customer. Transfer personalized products to a remarketing platform so that your customers get better suited advertisements.</p><h3><strong>Effectiveness</strong>&nbsp;</h3><figure class="image"><img src="/uploads/image_7efd25046a.png" alt="Violet KPI icon from squares and triangles"></figure><p>Once your recommendation campaigns are up and running, you have to know how they perform. Being able to measure progress towards your goals is key. You should know how and what you want to measure, even in the implementation phase, to be sure you have everything needed beforehand.&nbsp;&nbsp;</p><h4><strong>10. Set your KPI&nbsp;&nbsp;</strong></h4><p>Decide what you want to check. Revenue? Conversion rate? Average order value? CTR? Be specific in your choice of indicators, limit the number of <a href="https://synerise.com/blog/how-to-choose-and-track-right-KPIs-in-marketing">KPIs</a> you choose to focus on and make sure that you collect all the data needed to count them. Set your goal and regularly <a href="https://help.synerise.com/docs/analytics/">check the results</a> so that you will be able to detect any anomaly.&nbsp;</p><h4><strong>11. Use a control group</strong></h4><p>How do you know if your KPIs are good? You should be able to compare them, but compare to what? To a different time period? A lot of conditions can influence results. To isolate one factor (recommendations) and measure it, you should create a <a href="https://synerise.com/blog/control-group-in-marketing-campaigns">control group</a> – randomly selected users who will not get any recommendations. Thanks to doing this, you will be able to compare two groups - people who see a recommendation and those who don’t. Based on that, you can check the effectiveness of AI campaigns.&nbsp;&nbsp;</p><h4><strong>12. Prepare A/B test&nbsp;</strong></h4><p>If you’re not sure which recommendation will be better on the product page - similar or visual recommendations - or you’re wondering if you should put the product frame higher or lower on the category page, you don’t have to guess. Just prepare an <a href="https://synerise.com/blog/ab-tests-your-way-to-read-customers-minds">A/B test</a>. After a selected time period, you can check the results of each campaign, including its CTR, revenue, number of transactions and products bought, conversion rate and more. Knowing which campaigns perform better helps you to make the best business decisions.&nbsp;</p><h3><strong>Cooperate</strong>&nbsp;</h3><p>The tips above will give you a head start but integration is a process, during which you will learn what can be changed, what else you need and what works best for your customers. With your business knowledge and the experience of the integration team who will support you, you will be able to truly elevate the experience of your customers. Remember, that cooperation is the key to success.&nbsp;</p><p>&nbsp;</p>

Shopping basket with AI icon and plus icon which represent AI recommendations in ecommerce

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Here’s what you should pay attention to in any AI implementation journey, in order to uncover the most value for your business. Check the best practices!

How to boost AI product recommendations in e-commerce - best practices! | Synerise

How to boost AI product recommendations in e-commerce - best practices!

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