Does this sound familiar?
A customers goes into to a local retail store (POS). The customer browses in the gentlemen’s department. A friendly sales assistant approaches him and offers his help, which the customer readily accepts. Bearing the customers wishes in mind, the sales assistant shows him other similar products until the customer has exactly what he wants. In e-commerce this is called “item-2-item recommendation” or a recommendation engine.
The customer leaves extremely satisfied with the excellent sales service and returns to the same shop within a few weeks.
The sales assistant immediately recognizes his customer. He greets him in a friendly manner. Without the customer even saying a word, the sales assistant shows him to the men’s department and points out further offers that are likely to be of interest to him. In e-commerce in this case we talk about relevance and personalization.