Most consumers these days love the idea of online shopping, but businesses may not be equally as thrilled by it. Not only are the security risks greater and costlier, but there’s one common occurrence that just doesn’t seem to happen as often in the stores themselves: the full and abandoned shopping cart.
For businesses that rely heavily on e-commerce sales, this can be a major problem. In fact, Fortune reports that 70% of items on average are abandoned by consumers who choose to leave business’s online sites before making a transaction.
Even though e-commerce sales generate about $1.2 million every second for U.S. businesses, it’s clear that businesses are losing a lot of potential sales when a consumer changes their mind halfway through an online shopping experience.
One company based in London is trying to change that.
Yieldify is a two-year-old startup company with $11.5 million worth of investments from Google Ventures Europe and Japanese telecoms company Softbank, according to Business Insider.
Instead of sending out a standard email to potential buyers, Yieldify uses “predictive analytics” to create more personalized responses, Fortune states. By analyzing a person’s browser history, Yieldify can send out more personalized offers in pop ups, followed by emails if the person leaves the website — offers which pertain to the individual’s interests.
Forbes has called Yieldify a “combination of big data and behavioral science.” And although consumers might be more likely to call it “creepy,” there’s evidence proving that the analytics actually work.
Yieldify currently provides software for about 800 businesses around the world, including brands such as Marks and Spencer and French Connection. Between April 2013, when the business began operating, to April 2014, the company’s revenue grew by 480%.