Online shopping has changed significantly over the years. Customers once visited e-commerce websites primarily to search for products, compare prices and place orders. Today, expectations are evolving. Shoppers increasingly want online stores to understand their preferences, recommend relevant products and make the buying process easier.
This shift towards personalised shopping is becoming an important part of the future of e-commerce. Instead of presenting every visitor with the same products and offers, businesses are using customer preferences, browsing behaviour and purchase history to create more relevant shopping experiences.
Research highlights the growing importance of this trend. According to Qualtrics XM Institute's 2025 report on consumer preferences for privacy and personalisation, 82% of surveyed consumers in India prefer buying from companies that tailor experiences to their wants and needs. McKinsey's 2021 personalisation research also found that 71% of consumers expect companies to deliver personalised interactions, while 76% feel frustrated when these expectations are not met.
1. Product Recommendations That Understand Customers
One of the most familiar forms of personalisation is product recommendations. When customers browse an online store, they may see suggestions based on products they have previously viewed, purchased or shown interest in.
For example, someone shopping for fitness equipment may receive recommendations for sportswear, water bottles or other related products. These suggestions help customers discover relevant items without having to search through an entire catalogue.
2. Personalised Offers Instead of Generic Discounts
Traditional online promotions often present the same discounts to every customer. Personalised shopping allows businesses to make offers more relevant to individual interests and buying patterns.
A returning customer who regularly purchases skincare products, for instance, may be interested in a new product in the same category. Another customer might respond better to a seasonal offer or a discount on a product they previously viewed.
The objective is not simply to offer more discounts, but to communicate products and offers that are genuinely useful to each customer.
3. Artificial Intelligence Is Changing the Shopping Experience
Artificial intelligence is making personalisation more accessible and sophisticated. AI-powered recommendation systems can analyse customer behaviour and identify patterns that help businesses suggest relevant products.
Other applications include shopping assistants that answer product-related questions, personalised search results and automated customer support.
Capgemini's 2025 consumer research found that 71% of consumers wanted generative AI integrated into their shopping experiences. This indicates growing interest in AI-assisted shopping, although businesses still need to ensure that these tools are useful, accurate and easy to understand.
4. Customer Data and Privacy Must Go Together
Personalisation depends on understanding customers, but collecting and using personal information comes with responsibility. Shoppers may appreciate relevant recommendations while still expecting businesses to protect their data.
PwC India's Voice of the Consumer Survey 2024 found that nearly 80% of Indian consumers prioritised data protection, while 65% appreciated personalised experiences using their data.
5. Why Personalisation Matters for Small Retailers
Personalised shopping is not limited to large e-commerce companies. Small retailers can also build stronger customer relationships by understanding their audiences, communicating consistently and recommending products based on genuine customer interests.
An independent online store allows retailers to build their own brand identity and maintain a more direct relationship with customers. Platforms such as factori.com help retailers establish their own online stores without requiring coding or developer support. With access to a product catalogue and support for backend activities such as packing and shipping, retailers can focus more on promoting their stores and understanding their customers.
Ultimately, the future of e-commerce will not be defined only by how many products a website offers or how many discounts it provides. It will increasingly depend on how well businesses understand individual shoppers and create experiences that feel relevant, convenient and trustworthy. Retailers that combine useful personalisation with responsible data practices will be better positioned to build lasting customer relationships.
References & Further Reading
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Qualtrics XM Institute – Consumer Preferences for Privacy and Personalisation, 2025
https://www.xminstitute.com/research/consumer-privacy-personalization-2025/ -
McKinsey – The Value of Getting Personalisation Right – or Wrong – Is Multiplying
https://www.mckinsey.com/capabilities/growth-marketing-and-sales/our-insights/the-value-of-personalization-right-or-wrong-is-multiplying -
Capgemini – 71% of Consumers Want Generative AI Integrated into Their Shopping Experiences (2025)
https://www.capgemini.com/us-en/news/press-releases/71-of-consumers-want-generative-ai-integrated-into-their-shopping-experiences/ -
PwC India – Voice of the Consumer Survey 2024: India Perspective
https://www.pwc.in/industries/retail-and-consumer/voice-of-the-consumer-survey-2024india-perspective.html