Digitec Galaxus
Personalized product recommendations in the online shops
Digitec Galaxus saw 40% more click-throughs on product pages after adding Google's Recommendations AI
Problem
Digitec Galaxus runs two online stores in Switzerland and wanted each visitor to see relevant products. Its personalization team looked for ways to get more value from its data.
Approach
In 2019 the personalization team, known as Team Darwin, became an early adopter of Google's Recommendations AI. With help from the Google Cloud team, it added the tool to the shop's own recommendation framework. The tool uses product data such as name, category and description, plus user events, to predict what a customer may want. The recommendations appear on the homepage, on product detail pages and in newsletters.
Results
Takeaway
An external recommendation model was added to an existing in-house framework with little effort. The retailer's own product owner credits it with more product-page click-throughs and links it only as a likely factor to sales growth.
Categories
- Size
- Large enterprise
- Industry
- Retail and e-commerce
- Business function
- Marketing and sales
- Innovation type
- Product and service innovation
- AI technology
- Recommendation and personalization
- Adoption
- Off-the-shelf tool or platform
- Evidence
- Company's own claim
Sources
Source summaries
Google Cloud's customer story describes how the Swiss online retailer Digitec Galaxus added Recommendations AI to its shops in 2019. It quotes the company's Product Owner for Personalization as reporting a 40% increase in click-throughs on the product page. The page carries no date; the Internet Archive first saved it on June 8, 2021.
Full details are in the original sources.