Retail Best Practices for Targeted Merchandising and Personalization

Posted Thursday, August 23, 2012 in Marketing by Susan Aldrich

What are the Benefits of Targeted Merchandising?

Merchandising is the practice of maximizing sales by leveraging product design, packaging, pricing, display, and most importantly, selection. Targeted merchandising selects content (including products and offers) for consumers based on traits such as consumer context or behavior, or based on rules set by merchandisers. Targeted merchandising improves the customer experience and merchant results.

Targeted merchandising has four big benefits:

  • It improves the customer experience by optimizing the customer’s time, and engaging the customer with the most relevant and interesting content.
  • It maximizes retailers’ scarcest resource: customer attention.
  • It increases retailers’ chief goal: revenue.
  • It improves margin by automating the promotion of all items in the catalog, not just the most popular.

When content is automatically selected based on customer behavior, targeted merchandising can triple the conversion rate and drive significant revenue (as much as 20 percent). Read more from my blog:


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