AI-Driven Personalization: Insights from Levi’s Brazil’s Success Story
Sara Richter, Chief Marketing Officer, SAP Emarsys
Over the past six months, there’s been a notable shift towards AI-driven personalization from retailers who are striving to meet customers’ expectations and foster loyalty amid dynamic economic conditions. Our recent research shows that the majority of marketers (88%) view AI as essential to boosting customer engagement.
Marketers who are responsibly deploying AI are already experiencing impactful benefits, including increases in customer engagement (78%) and customer loyalty (75%). Take Levi’s Brazil for example. Levi’s Brazil partnered with SAP Emarsys and Driven.CX to gain deeper insights into customer preferences and behavior, with a goal of incorporating automation strategies to boost sales.
Prior to the partnership, Levi’s Brazil was limited with generic customer emails that lacked personalization. Levi’s Brazil also wasn’t gathering first-party data from customers to better understand their online activity and shopping habits.
Now, Levi’s Brazil has created an omnichannel strategy that is already seeing incredible results, with automations from SAP Emarsys contributing to more than 30% of online sales in just the first six months. By integrating Welcome, Abandoned Browse, Abandoned Cart, Back In Stock and Price Drop automations, Levi’s Brazil is catering to customers more effectively and reclaiming sales opportunities that otherwise may have been missed.
In the next six months, AI adoption will only continue to grow for marketing teams, as nearly three-fourths of marketers (72%) are already increasing their AI investments to continue driving customer engagement.
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This study was conducted in Fall 2023 as the fourth annual installment of a grocery ecommerce study that Ipsos has conducted since 2020. This study was designed to differentiate between three different fulfillment methods of obtaining grocery orders: In-Store Pick-up, Curbside Pickup and Delivery.
The approach was 2-pronged:
- Step 1: Ipsos conducted a 7-minute survey of 1,200 Americans to understand which elements of grocery pick-up and delivery are most important to consumers. The survey was conducted October 25, 2023. A Key Drivers Analysis was conducted to identify the top drivers of “Likelihood to Use Brand Again for grocery ecommerce” using Ipsos’ proprietary Ipsos Bayes Net (IBN) modelling technique.
- Step 2: Ipsos then deployed their panel of trained mystery shoppers to measure brand performance across a specific set of elements related to grocery pick-up and delivery. Roughly 33 mystery shops per method (In-store Pick-up, Curbside Pick-up, Home Delivery) were conducted for each qualifying retailer. Retailers were only shopped for methods they offered, so in some cases sample was redistributed appropriately across offered methods. Geographic representation was ensured across 4 regions (West, Midwest, Northeast, South). Mystery shops were fielded between October 23 – November 17, 2023. The relative importance of each service element ascertained from Step 1 was applied as a weighting factor to the Mystery Shopping results.
For a full copy of the results or to participate in Ipsos’ next ecommerce study (coming Fall 2024), contact Silvana Daehn at silvana.daehn@ipsos.com.
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At Ipsos Channel Performance, we partner with our clients to understand their shoppers and how they shop. We measure the execution of brand promises. We drive compliance and sales conversion. We improve performance across all sales and service channels – physical, contact center, and digital – and help deliver profitable growth. Learn more.
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Contact: Silvana Daehn
Email: silvana.daehn@ipsos.com.
