
Personalized product recommendations enhance discovery by surfacing items that align with real-time behavior and past interactions, often helping shoppers find what they didn’t even know they wanted.
When strategically placed across the shopping journey, they improve session quality, reduce friction, and drive core KPIs like conversion rate, average order value (AOV), and retention. And with the right tools, they can do all this without requiring constant manual effort. We’re here to show you how.
What Are Personalized Product Recommendations?
Personalized product recommendations are dynamic pods, or modules, that display ideal-fit items based on a variety of factors, like a shopper’s interests, intent, context, and behavior. These modules show up across the ecommerce experience — from the homepage to the checkout page.
The products contained within pods aren’t just relevant, they’re attractive. Attractiveness is a newer and more effective measure that reflects how likely a product is to lead to a conversion, based on behavioral signals rather than just keyword overlap.
Why “Attractiveness” Beats Mere “Relevance”
Traditional engines stop at relevance. As in, did the product text match the query? Constructor trains on clickstream signals to predict a product’s likelihood to convert for each shopper. We call that score Attractiveness, and it’s what powers double digit lifts customers see in conversions after switching to Constructor Recommendations.
How recommendation engines work
Generally speaking, modern recommendation engines rely on artificial intelligence (AI) and machine learning (ML) to interpret large volumes of clickstream data. Through identifying patterns, the engine can suggest products that are timely, context relevant, and more likely to convert.
At Constructor, we ingest 100% of the onsite clickstream, not just a handful of events (i.e., every search query, facet click, add-to-cart, bounce, filter applied, etc.). That data flows through models that optimize for the KPI you select, resulting in products that are ranked by affinity and business impact, not just keyword overlap.
The more data the recommendations engine ingests, the more it adapts. It learns from group behavior, user behavior, and other data, continuously refining what it shows to automatically deliver hyperpersonalized experiences.
When using a top-tier recommendation engine, one that surfaces the right products to the right people at the right time, retailers drive other important metrics as well, like boosting revenue, padding AOV, and saving merchandising teams valuable time.
Types of recommendation strategies
Depending on where shoppers are in their journey — and what the business wants to prioritize — different strategies can help guide the next click, boost AOV, and support a more satisfying experience.
Here are three of the most common recommendation strategies:
- Cross-sell recommendations suggest complementary products to what’s already in the cart or being viewed (think: dog shampoo alongside pet brushes or batteries next to electronics). These add-ons feel natural and helpful, and they can meaningfully increase AOV
- Upsell recommendations encourage shoppers to consider a higher-value version of what they’re browsing (e.g., highlighting a premium skincare set instead of a single cleanser). The key is offering upgrades that align with the shopper’s intent, not just bigger price tags
- Similar product recommendations offer alternatives to what a shopper is currently viewing. These are useful when a specific item is out of stock or when a shopper might want a slightly different style, size, or feature
Petco is using both cross-sell and upsell recommendations here: recommending a higher priced cat harness than what the user is viewing as well as complementary products.
Each of these strategies contributes to a more satisfying shopping experience. And when used in the right context, they create more opportunities for conversion.
Learn more about the foundational building blocks of a complete ecommerce recommendations strategy here.
Where to place personalized product recommendations
Even the best personalized product recommendations won’t drive results if they’re located in the wrong part of your site. Strategic placement is what turns personalization into performance — and shows shoppers the right items when they’re most likely to act.
Here are four high-impact placements to consider:
- Homepage & Landing Pages: Welcome returning shoppers with personalized picks based on past behavior or category preferences. This helps immediately re-engage users and reduce bounce
- Product Detail Pages (PDPs): Support upsell and cross-sell strategies with modules like “You may also like” or “Complete the look.” These recommendations offer relevant alternatives or add-ons, increasing both conversion rate and order value
- Email Campaigns: Keep the experience going post-website session. Use browsing history or cart contents to serve personalized follow-up emails that re-engage shoppers and recover abandoned purchases
- Cart & Checkout: Highlight small, relevant add-ons, such as accessories, refills, or last-minute essentials. These impulse-ready suggestions can offer a low-lift way to boost order totals without adding friction
Basically, for recommendations to convert, they should be placed in locations that align well with the shopper’s journey and intent. Learn more about the most effective and common placements for ecommerce recommendations here.
Why Personalized Recommendations Matter for Both Merchandisers and the Bottom Line
Personalized product recommendations reduce guesswork, improve efficiency, and support growth across every part of the customer journey. Here’s what makes them so powerful in practice:
They boost conversions
When shoppers see items that align with their tastes, they’re more likely to act. Personalized recommendations based on behavior and preferences help remove friction from the buying process, which is why shoppers who interact with them convert at significantly higher rates than those who don’t.
They increase AOV
Upsell and cross-sell strategies — like suggesting a complete skincare set instead of a single cleanser or showing matching accessories for a product already in the cart — lead to larger basket sizes without disrupting the experience. These add-ons feel relevant, not pushy.
They improve customer retention
As shoppers return, their interactions continue shaping the experience. The more behavioral data the system collects, the more accurately it can surface products that align with evolving preferences, which encourages repeat visits and deeper engagement over time.
They reduce cart abandonment
Well-placed recommendations in the cart or at checkout — like refills, commonly bundled items, or even a lower-cost alternative — can re-engage a wavering shopper and keep them moving toward purchase.
They save time for merchandisers
With AI-powered recommendation engines, merchandisers no longer have to build static lists for pods, manually refresh collections, or rely on assumptions. Instead, the system dynamically adapts recommendations to shopper behavior and business goals in real time.
Driving More Results Through Merchandising Automation
Ecommerce automation refers to the use of software to streamline ecommerce operations (think: product discovery, PIMs, fulfillment, etc.), cutting manual effort and errors. When applied to merchandising, that same automation keeps rankings, promotions, and recommendations in sync with real-time data.
Here’s how automation makes recommendations smarter:
- Seasonal Adjustments: Recommenders can automatically shift to cold-weather products in winter or highlight new arrivals during a key sale window. There’s no need to reprogram every pod manually
- Inventory Awareness: When products are low on stock (e.g., only XS remaining), those items can be buried, while overstocked items get surfaced more prominently to accelerate sell-through
- Behavioral Trends: If a product starts gaining traction with a certain customer segment, the system can identify and expand its visibility with lookalike audiences
Still, automation isn’t a black box. Merchandisers maintain control. Merchandising tools like those from Constructor give teams the ability to review AI suggestions and set business rules, prioritize brand storytelling, and fine-tune promotions before changes go live. And because every recommendation is backed by live clickstream insights, merchandisers can manage by exception. It’s the best of both worlds: scalable, data-driven AI with merchandiser oversight.
Recommendations as part of a unified “Search to Sales” strategy
Product recommendations work best when they’re integrated, not siloed. The most effective ecommerce teams treat personalized recs as part of a broader search and product discovery strategy, not a standalone feature. This is because all solutions strengthen each other.
Behavioral signals from on-site search queries provide valuable context that helps refine recommendation accuracy. And then data from Recommendations can power both the Search experience —adding products a shopper might not have explicitly searched for (but are still highly attractive) — in addition to the entire on- and offsite product discovery journey. Behavioral signals are responsible for powering everything from an AI shopping agent to sponsoring listings, personalized email content, enriched attributes, and more.
Over time, this creates a more fluid, intuitive shopping experience, one that guides customers from curiosity to conversion without dead ends or disconnects. By thinking of recommendations as part of a unified “search to sales” strategy, ecommerce teams can achieve stronger engagement and more consistent revenue lift.
Personalized Recommendations, Proven Results
Across the shopper journey, personalized product recommendations drive the outcomes that matter most: higher conversion rates, larger AOV, and stronger loyalty. They also support a smoother, more efficient workflow for merchandisers. Instead of maintaining endless boost/bury lists, teams manage by exception, stepping in only for strategic tweaks and campaigns.
Whether you’re looking to save hours each week, beat aggressive KPIs, or sharpen your product discovery strategy, a well-trained recommendation engine can help you get there.
Ready to see how it works in practice? Check out our Guide to Recommendations for proven strategies, success stories, and a closer look at the tech behind these results.
Frequently Asked Questions
What are some implementation strategies for personalized product recommendations?
Successful implementation starts with high-quality customer data (i.e., prioritizing first-party data). It’s more accurate, privacy-compliant, and helps build shopper trust. From there, selecting the right recommendation engine is key. Look for proven results, easy integration, and strong support. Over time, continue refining the algorithm by incorporating user feedback, inventory changes, and performance insights. Tailoring your approach to actual customer behavior — not assumptions — is what drives real results.
What challenges should we consider when implementing recommendation technologies?
Data privacy is often the first hurdle, especially when complying with evolving regulations across different regions. Beyond that, teams may struggle with algorithm complexity, particularly when merchandisers want transparency and control. Maintaining accuracy and relevance is another ongoing challenge, especially with changing inventory, fast-moving trends, or seasonal demand. The most effective way to manage these moving parts is to work with a technology partner that’s not only skilled in international security and compliance, but also how to strike a balance between automation and human oversight to drive tangible results for enterprise retailers.
How can we measure the effectiveness of personalized product recommendations?
A/B testing different recommendation placements and formats can help identify what works best so you can optimize your recommendation strategies for long-term gains. Treat optimization as an ongoing process, not a one-time setup. Recommendation strategies should evolve as shopper behavior does.
Plenty of retailers are already seeing success. For instance, Petco used Constructor’s platform to achieve a 13% lift in site conversions by personalizing product discovery at scale. Grove Collaborative saw a 20.07X ROI from their personalized search and recommendations experience. Bonobos also saw a 92% increase in recommendation-driven conversions after switching to Constructor’s platform, thanks to more relevant and personalized suggestions. These examples show how personalized recommendations can move the needle across different industries and use cases.