Personalization Glossary

A/B testing? Recommendation models? The personalization engine space uses several acronyms that may seem daunting, so we're here to help. You can find definitions to the most common e-commerce customer experience optimization terms here!

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Predictive Analytics Software

In the world of A/B testing and personalization, predictive analytics tools are usually broken down into the following capabilities:

Predictive Segmentation: Automatically identifies and creates meaningful visitor segments characterized by a higher probability to react in a predictable manner to certain events.

Predictive Targeting: Predicts which experience would be most suitable for each visitor segment or individual visitor; suitability is measured by probability to meet certain objectives in a given experience, such as completing a purchase, signing up, etc.

Note:  Predictive Segmentation without Predictive Targeting creates valuable visitor segments but lacks insight into what the best possible experiences might be. Meanwhile, Predictive Targeting without Predictive Segmentation can match ideal experiences to each segment, but segments would have to be manually identified and defined prior to deploying experiences

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