While this fundamental shift in buying behavior will be a challenge for most businesses, it's also a major opportunity. Businesses that adapt by collecting and analyzing data that the user openly shares to relevance and personalization into the buying process will have immense opportunity to increase their customer base and drive life-time loyalty.
But businesses have to achieve this with, rather than in spite of, their customers aren't the only ones facing change. While individuals clearly want relevant, personalized information but many are concerned about privacy issues around personal information. Mindset is critical here. Most Amazon consumers expect Amazon to hold their purchase history and to make use of that data in providing recommendations and providing a better, more personalized, shopping experience. But, at least for now, fewer users want social networking sites —like Facebook —to have their credit card data or purchase history. There has to be a clear quid pro quo for the user and a clear connection in their minds between the data and an improved experience. But given the right value-based stimulus, consumers may yield in the interest of taking advantage of the many benefits a relevance-powered buying platform provides.
The bottom line: relevance-powered search has arrived, and it's delivering a better, faster, smarter web experience for everyone involved. Buyers get the information they need and want faster and easier, and sellers have an incredible opportunity to more effectively reach their target audiences, and build life-long customer relationships.
Paul Todd is the Chief Products Officer at Rearden Commerce.
