Lowe’s leans into personalization to boost conversions

The news: Lowe’s plans to roll out a personalized website experience to all customers by the end of 2026, per Modern Retail.

How it works: What shoppers see on their homepages will be tailored based on the data Lowe’s has on them, including location and browsing and purchase history. For example, one widget—which is already live—suggests DIY projects based on local weather conditions. Even the layout of the page could differ from customer to customer: Lowe’s is using modular content blocks that can be rearranged or customized based on shoppers’ behavior.

Lowe’s is also aiming to get smarter with product recommendations. “If you bought an appliance, we’re not going to serve you up an appliance again, because you’re not going to buy another refrigerator,” Joe Cano, senior vice president of digital commerce, told Modern Retail. Instead, the retailer would offer up complementary product ideas, like water filters, faucets, or other kitchen upgrades, or recommend a different project.

Early tests have been promising, Cano said, with improvements in engagement and conversion. The retailer plans to gradually add more personalized sections across its site as it moves toward a fully individualized experience.

Personalization by the numbers: When done effectively, personalization can be a meaningful driver of sales and loyalty.

  • 83% of US shoppers say that a personalized experience is important when determining where to shop, according to a report from Amperity.
  • Two-thirds prefer retailers that recognize them, their preferences, and previous purchases when shopping online or in-app.
  • 63% say their favorite retailers are those that remember their preferences and purchase history across online and in-store channels.

However, there is a gap between what retailers are promising and what they actually deliver. One in three shoppers say retailers often get personalization wrong, which could indicate underlying issues related to data accuracy and collection. The majority of consumers—57%—say that even among companies that claim to personalize, the experience feels generic, showing that retailers need to do more to enhance the customer experience.

Implications for retailers: On paper, delivering a wholly personalized experience for online shoppers could increase sales, engagement, and loyalty. But retailers’ personalization efforts are only as good as the data they have on hand, which could make it more difficult for Lowe’s and other brands in categories with infrequent purchase rates to collect enough information to materially upgrade the customer experience.

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