The importance of analyzing your data in fashion e-commerce

by Bartel

Imagine the following scenario. A customer enters your store. After walking around for several minutes, he stops at the shoe rack and looks at a certain pair of shoes. He takes a look, puts the shoes back and leaves the store. Based off of this, you, the shop manager, could conclude a few things. Maybe he didn't like the shoes. Maybe the price isn't right for him or maybe his size isn't availalbe.

In a physical store, observing customers is easy. Why shouldn't this be the case when you own a webshop?

“Knowledge is power”

It is important that you track what your customers are doing online and where it goes wrong. The slogan “knowledge is power” exists for a reason.

Netflix for example uses customer viewing data to predict which movies and series will be popular. With this data, they start to make their own “Netflix Originals” and it works! By doing this, they ensure that people won’t abandon their account.

Why you should analyse data

Let's start at the beginning. Collecting your customers’ information is important to improve their experience and increase sales. You can do this by personalizing the experience your customers get on your site. Showing products  your customers are really interested in is extremely important, but how would you know what interests them if you don’t use all the data they are giving you?

So what can you do with all that data?

In short: If you interpret your customer data correctly, you can do a lot of things.


First of all, try to understand which habits your customers have by analyzing the data. By noticing changes in those habits, you can change certain things on your website. For example: change popular items or release some new items to fulfill the customer's needs and give them the ultimate experience.


Secondly, you can track when and where customers decide to leave your webshop. The exit-ratio is an important factor that needs to be kept in mind. This reveals on which page people left your site. By adjusting this page, or the faults it has, you can increase the average time people spend on you site. Bounce ratio measures how many people entered your site and left it without going any deeper inside your website. A high bounce ratio means people didn’t find what they were looking for on your website.

You can try to lower the exit-ratio by following the entire customer journey on your website. Ask a friend or relative to purchase something and let them note down every little frustration they had during this process. This will give you some insights in why customers could leave your website. Of course, you’ll need to act on these problems and solve them.

To lower your bounce ratio, you need to make sure that your landing page is relevant to what your customer is after. If you don’t give them what they were searching for, they definitely leave. Further a clear call-to-action is required for your customers to undertake action on that landing page.


Thirdly, you can also track which campaigns work and which don’t. For example: you're advertising on Facebook, but you don’t see any traffic on your website that comes from Facebook. If that's the case, you know that ad doesn’t work for you customers. The opposite is also true, if you’re advertising on Instagram and the number of visitors that come through that link ends up being huge, you know that ad on Instagram is a better one than the one on Facebook and you could consider using a similar one in the future.

This kind of information is crucial for your businesses. It's direct evidence that proves if your ads work or not. By using multiple landing pages you can track in exact numbers how many people visited your website and which ads urged them to do so.


It's important to mention that the use of data must be within the new regulations. On May 25th 2018, the new General Data Protection Regulations (GDPR) will be introduced.  People now have the right to be forgotten. This means a company is obligated to delete any information it has about customers if they ask for it. People also need to give their permission for you to use their information.


We could say that the use of data has become crucial in the digital landscape of today. There are still companies that sell and keep producing products that their customers don’t like. This is one of the main reasons why companies fail. Not using all the data that your customers are giving you is basically the worst thing you could do. Start analyzing your data and try to find out why customers are or aren’t buying your products. That’s the only way you will be able to give your customers the products and experience they really want and deserve.

Quick summary

  • Well interpreted data can increase customer satisfaction and sales
    • Monitor changes in customer habits
    • Track problems with your site
    • Track which ads work and which ones don’t
  • Don’t forget GDPR
Topics:StrategyWebsite Migrations

About Merchandise Essentials

In 2015 Merchandise Essentials consisted out of two young guys with big dreams. Working out of their parents’ living room they started turning those dreams into goals.

The living room became a 600m2 office space with a showroom. The two man team turned into a workforce of more than 30 young and talented individuals who are now designing and producing merchandise for brands and businesses in 43 countries.


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