Bog & Idé x Raptor
Bog & idé: Boosting online sales from in-store data
Bog & Idé
Industry: Hobby, Office & Books
Partner: IMPACT
Solutions:
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Up to Total Revenue by Raptor
About
Bog & idé is the largest retailer of books in Denmark.
Their serve book lovers everywhere looking for inspiration or simply those needing a new pen. To do so, they are using Raptor Services’ personalization solution to combine customer data from online channels with data from physical stores. This allows them to recommend the right products free from where the customer search for products.
Furthermore, Bog & idé has developed a tool that allows sales reps to use real-time data from Raptor Services. This feature enables customers to up and cross-sell relevant products when they pick up their Click & Collect purchase in the local bookstore.
Currently, 65% of all online orders are collected in-store making omnichannel an ideal strategy for getting customers to visit more than one platform
Established in 1969 as Bogpa with 36 booksellers, Bog & idé is now operated by Indeks Retail A/S with 125 stores.
A growing online presence represents a significant source of income for Bog & idé. They strive to meet the different needs of different customers, both online and in-store, and as a result, Bog & idé have been awarded the 3rd place for “Best Omnichannel E-Commerce Business” at FDIH’s E-Commerce Awards.
Solution
Recommendations that convert
To optimize users’ experience and customer loyalty with Bog & idé, Raptor delivers personalized and relevant product recommendations. These are engaging, lead to higher conversion rates, and are easy to scale across an entire platform if more channels are connected later on.
It is essential to our success that the expertise from our physical stores is also represented online. Raptor helps us recommend the most relevant products for each individual customer no matter where they enter our site. This is how we connect know-how from local stores with our online presence.
To ensure that every online interaction is as personal as possible, every recommendation from Raptor is calculated in real-time, which means that the customer’s own decisions are helping to shape their individual customer journey.
Take-aways
- As our algorithm continuously learns from behavioral patterns, the performance increases over time. This is because our recommendations become more qualitative and relevant for the individual end-user.
- When we collaborate closely with our customers we understand their individual business needs, and that is the key for both parties to succeed. Therefore, working closely with our customers is what makes the difference, when it comes to performance and Return on Investment.
- Volume of data is essential for any machine learning process. The more data we have, the better the recommendations will become.
Results
Revenue increase from 3.74% to 15.83% in three weeks
Following the initial integration, Raptor gave the algorithm some time to learn from clickstream data, and after the first week, revenue lift had increased from an initial 3.74% to 9.79%.
In close collaboration with the team at Indeks Retail, we started a process to fine-tune and customize the solution on Bog & idé’s online platform.
By doing so, a more advanced synergy between our recommendations and the customer journey on their site was achieved. One week later the revenue lift had increased to 15.83% with Direct Revenue at 5.66%.
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Week 1
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Week 2
Week 3
Revenue by Raptor explained
Revenue by Raptor is defined as the revenue generated directly and indirectly from Raptor modules.
Revenue from customers that click on and buy a product from a Raptor module registers as Direct Revenue, whereas revenue from customers that click a product from a Raptor module and then purchase something else, register as Assisted Revenue. Together they make up Revenue by Raptor.
Raptor helped us realize revenue we otherwise would not have captured. In about 3 weeks we saw our revenue lift go from 3.74% to 15.84% as a result of working with the team at Raptor to optimize our solution.
Timeline and results
Week 1
At this point, Raptor is recently implemented. The modules are on the website, but the algorithm has not yet mined large amounts of data. Therefore, the patterns calculated by the algorithm are less intricated, and the recommendations are less accurate in the first few days after launch.
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Total Revenue by Raptor
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Raptor Assited
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Raptor Direct
Week 2
A week later the algorithm has mined clickstream data and mapped the co-relation between products and user behavior. The modules on the site now recommend products that are much more relevant to the individual user than before.
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Total Revenue by Raptor
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Raptor Assited
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Raptor Direct
Week 3
Just one week after the optimization process, the total Revenue by Raptor had increased to 15.83% of total online revenue, compared to 3.74% Revenue by Raptor two weeks before the optimization. After the optimization process, Direct Revenue increased more than double from 2.37% to 5.66%.
Direct Revenue is a major factor in terms of how the modules are performing on the site. The more products are sold directly from recommendations, the more effective the solution is. The increase in Direct Revenue is also a clear indication that the recommendations are more accurately tailored to meet the needs of the individual user.
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Total Revenue by Raptor
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Raptor Assisted
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Raptor Direct
The great thing about our algorithm is that it improves itself over time based on a continuous stream of user behavior and product affinities, but when you start to actively fine-tune the solution your results will be impossible to beat.
Latest result – Week 25
On September 14 (23 weeks after the 2 week optimization process) 30,8% of all online revenue on bog-ide.dk is affected by Raptor’s modules. 13% of all online revenue is from Raptor Direct revenue.
This is a clear indication that the algorithm is continuously improving its performance. For 23 weeks the performance has increased automatically, which indicates that users increasingly rely on the personalized recommendations to optimize their shopping experience.
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Total Revenue by Raptor
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Raptor Assisted
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Raptor Direct
Raptor Solutions
E-mail & Triggers
Personalized products and content in e-mails and behavioral triggers
Website Personalization
Product- & content recommendations for web and search
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