Reports that Website Personalization Does Not Always Provide
|(New York, NY - October 14, 2003)
-- Jupiter Research, a division of Jupitermedia Corporation (Nasdaq:
JUPM), today announced that according to a new report from its Jupiter
Research division, only 14% of consumers say that personalized offers
or recommendations on shopping Web sites lead them to buy more often
from online stores, and just 8% say that personalization increases
their repeat visits to content, news or entertainment Web sites. This
is in contrast to the majority of consumers who stated that basic site
improvements would make them buy or visit Web sites more often -- 54%
cited faster-loading pages and 52% cited better navigation as greater
incentives. The report outlines why personalization efforts on Web
sites often fail and suggests other alternatives.
Based on interviews with dozens of companies and a recent Jupiter
Research executive survey, the new report "Beyond the Personalization
Myth: Cost Effective Alternatives to Influence Intent" finds that
building and operating a personalized Web site can cost four or more
times more than operating a comparable dynamic site. Yet most sites
that have deployed personalization have realized inadequate returns on
their investments. According to Matthew Berk, Research Director at
Jupiter Research, "Most Web site personalization projects fail to
deliver real business benefits. Our industry has always assumed that a
personalized Web site was a better one, both for the visitor and the
site operator. Our research has found that this is not the case."
According to the report, for every intended benefit tied to a
personalization-related agenda, site operators can select from many
other tactics to achieve the same goals, at far lower cost. "To drive
key business metrics, most sites are better off focusing on the
basics, like usability, information architecture and making key tasks
easy for users to accomplish," said David Schatsky, Senior Vice
President at Jupiter Research.
The complete findings of this report are immediately available to
Jupiter Research clients online. For more information about this
report or Jupiter Research's Site Technologies & Operations research
service, please contact Kieran Kelly at 1-800-481-1212 or e-mail
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