Why Should You Offer Customized Products?

Source: www.vans.com

More and more companies offering their products online are turning towards providing customized products to their customers. This is a good method of increasing the potential value to clients and, at the same time, a way to generate bigger revenue.

In the world of unified products or services, customers have started to look for something different — items that can be alternatives to the same pieces found at shops all around the world. Now wonder why e-companies have found customization as another way of earning money. The strategy of product customization is now popular among such big brands like Vans or Nike. For example NikeiD website offers the possibility to adjust products to the needs and preferences of customers — and products like bikes, computers, handbags and shoes among others.

The popularity of customized products online

Tailored products are the trend which cannot be ignored or skipped by entrepreneurs. As it was shown in a survey conducted by Bain&Co among over 1,000 users, around 25% of customers are interested in online customization options. What is more, 10% of them have already tried tailored products until now. Another giant, Moody’s, estimates that only in the United States, 25% of all clothes and shoes purchases include products that have been customized (for example, in 2014 the purchase was estimated to be $45 billion).

Taking into consideration the above mentioned numbers, more popular brands have decided to provide their customers with products that are not unified — clients are able to choose the colours and decorations on their clothes or shoes. Since people like to differ, such a move can be beneficial for both the recognition of a brand and the financial side of running a business. For example, the case of Nike shows that after the introduction of NikeiD customization option, the company’s online business has tripled since 2004.

Why to customize?

The answer to this question seems to be simple. Customization has become an important trend especially in case of brand-name companies as it makes customers active. In the past, buyers were perceived as passive participants being offered to buy the same products almost in every country, which did leave them only with the choice on whether to buy or not to buy an item. Now, as the tendency of making recipients co-creators of a brand is more popular, the presence of tailored products is also making more sense. Especially that the customization process makes potential buyer communicate with the brand — choosing all the elements and creating their products helps to boost communication level and increases the prospects that a customer will make the right final decision — they will buy the product in the production of which has got involved.

As it has been proven by psychologists, the process of making things on our own, makes us to get more attached to these objects. It leads to the feeling of psychological ownership of an item, which translates into the expression of having a thing without its legal ownership. This mental phenomenon is responsible for making people value more only the pieces they have constructed or created by themselves. And this feeling can probably be transferred into a greater attach to a brand and its products.

Customization trends

Taking all the above mentioned facts into account, we can distinguish a number of trends that are going to be vital in the case of the presence of online customized products. First of all, customers are going to pay more for tailored products. It is a fact that buyers pay more for products that have been created by them in comparison to non-customized items. The first one of them is perceived as more valuable and for this reason is more expensive.

Secondly, customization seems to be more appealing to women. This tendency is reflected in different shopping habits among both men and women. The latter ones are more focused on experience, whereas men-on mission. Therefore, it will be a good move to direct the customization option, especially for women.

Last but not least, the process of products creation cannot be too demanding. If customers are expected to devote too much time or focus on too many steps, customization may be perceived as inconvenient and its tailoring will become annoying.

Giving customers a possibility of creating their own products may become a great strategy for those online companies who are willing to increase the level of interaction with their potential buyers and help them to build a group of loyal customers. If the whole process is built around several steps only, it is a chance for a company to succeed and help to achieve greater revenue.

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