7 Ecommerce Personalization Trends to Know for 2025

Ecommerce personalization has grown beyond just adding a customer’s name to an email. In 2025, the stakes are higher as shoppers expect hyper-relevant, tailored experiences at every step of their journey. From personalized product recommendations to region-specific discounts, brands leveraging these trends will stand out in a competitive market.

In this article, you will learn about the following personalization trends:

• Live Commerce
• Dynamic Pricing
• Voice Search Personalization
• Advanced Geolocation Customization
• Zero-Party Data Collection
• AI-Driven Personalization
• Augmented Reality (AR) Personalization

1. Live Commerce

Live commerce blends real-time video streaming with instant purchasing, creating a seamless shopping experience where customers can engage directly with brands. In 2025, live commerce personalization will push forward this trend further by tailoring live shopping experiences based on viewers’ purchase history, browsing behavior, and regional preferences. Personalized product recommendations, exclusive discounts, and interactive polls will dynamically adapt in real-time, keeping customers engaged and increasing purchase likelihood.

In the U.S., Facebook leads the live shopping space, with 55% of businesses using the platform, followed closely by YouTube (52%) and Instagram (third at 48%), according to Coresight Research. This dominance highlights the growing reliance on social media platforms to drive live commerce initiatives and personalized customer interactions.

Examples:

• Live virtual events: Beauty retailer Sephore hosts live beauty tutorials and makeup demonstrations, providing real-time product recommendations tailored to viewers’ preferences.

• TikTok Shop: Since its launch in the U.S., TikTok Shop has rapidly gained momentum. In 2023, TikTok Shop contributed significantly to the rise of social commerce, with livestreams driving direct purchases through interactive and engaging content. TikTok has positioned itself as a powerful live commerce platform, with beauty and fashion products leading in sales.

• Alibaba’s Taobao Live: During Singles’ Day, the first 30 minutes of livestreaming generated $7.5 billion in sales, showcasing the platform’s significant impact. 

Why It’s Impactful:

Live commerce is revolutionizing the online shopping experience by accelerating the conversion funnel and driving unparalleled engagement. According to McKinsey, conversion rates for live commerce events can reach up to 30%, which is 10 times higher than conventional ecommerce channels.

Additionally:

• Apparel and fashion dominate live commerce, accounting for 36% of livestream event sales, followed by beauty products (7%) and food (7%).
• In the United States, live commerce sales reached an estimated $50 billion in 2023, reflecting the rapid adoption of this shopping format among U.S. consumers. 

2. Dynamic Pricing

Dynamic pricing involves adjusting product prices in real-time based on various factors such as market demand, competitor pricing, customer behavior, and inventory levels. In 2025, this strategy is expected to become more personalized, offering tailored pricing to individual customers based on their purchase history, browsing behavior, and loyalty status. For instance, repeat customers might receive exclusive discounts, while new visitors could be presented with special introductory offers.

Here’s a great visual representation of the difference between static pricing and dynamic pricing by Lucky Orange.

The adoption of dynamic pricing is on the rise among e-commerce companies. A survey revealed that in North America and Europe, 21% of e-commerce businesses were already using dynamic pricing, with an additional 17% planning to implement it in the near future.

Examples:

• Amazon: Amazon is one of the largest global ecommerce platforms, with approximately 300 million active users. The company adjusts its prices more than 2.5 million times a day to maintain a competitive edge by setting prices lower than competitors. Dynamic pricing has been a key profitability driver for Amazon; in 2016, it was reported that this strategy increased profits by 25%. This real-time adjustment allows Amazon to optimize pricing based on demand, inventory, and competitor trends. 

• E-Bikeshop: The UK-based electronic bicycle brand, E-Bikeshop, uses dynamic pricing to ensure its products remain competitively priced against rivals such as ElectricRider and Electric Bike World. By dynamically adjusting prices based on competitor pricing and market demand, E-Bikeshop maximizes sales opportunities while maintaining an attractive value proposition for customers.

• MediaMarkt: German electronics retailer MediaMarkt also uses dynamic pricing strategies to optimize customer experience and revenue growth. The brand leverages techniques such as product bundling, flash sales, and seasonal promotions (e.g., Black Friday campaigns) to align pricing with customer expectations and market trends.

Why It’s Impactful:

Implementing dynamic pricing enables ecommerce businesses to enhance profitability while remaining competitive. Studies suggest that AI-driven dynamic pricing can potentially increase profitability by up to 22%, owing to its ability to adapt to market conditions, competitor activity, and demand. 

Additionally:

• Personalized Pricing: Offering tailored discounts and pricing can boost customer satisfaction and foster loyalty, leading to repeat purchases.
• Market Responsiveness: Real-time price adjustments allow businesses to swiftly respond to market trends and competitor actions, maintaining their market position.
• Inventory Optimization: Dynamic pricing aids in managing inventory levels effectively by adjusting prices to influence demand, thereby preventing overstocking or stockouts.

3. Voice Search Personalization

If you’ve found yourself asking your smart speaker to play your favorite playlist, set a timer while cooking, or check the weather before heading out, then congratulations—you’re already part of the voice search revolution.

In a world where convenience reigns supreme, voice search technology isn’t just a cool feature; it’s becoming a daily necessity. Whether you’re juggling deadlines, cooking dinner, or driving to your next appointment, voice commands simplify tasks that used to require typing, scrolling, and clicking.

It’s clear: voice search isn’t just about asking your device to play music anymore—it’s about making your shopping experience faster, smarter, and, most importantly, personalized.

By 2023, the global value of voice-assistant e-commerce transactions was expected to reach nearly $20 billion, quadrupling from 2021. In the U.S., smart speakers are present in nearly one-third of households, and 27% of U.S. consumers reported making online payments via voice assistants in mid-2022.

While voice commerce offers convenience and a seamless shopping experience, challenges persist, such as the inability to visually inspect products or easily browse catalogs. Despite this, voice commerce is becoming a vital sales channel, particularly for reordering consumables and quick, low-consideration purchases.

Examples:

• The Home Depot: Home Depot partnered with Google Assistant for voice-activated shopping, letting customers add items to their cart and reorder supplies using voice commands. Linked accounts provide personalized suggestions, supporting Home Depot’s Buy Online, Pick Up In-Store (BOPIS) model, where 43% of online orders are collected in-store.
• Walmart: Walmart uses a machine learning-powered voice system for personalized shopping via Google Assistant, Siri, and Google Home. Customers can search, order, and checkout using natural voice commands, creating a seamless and intuitive shopping experience.
• Domino’s Pizza: They have integrated voice ordering via Alexa and Google Assistant, enabling customers to reorder their favorite meals with a simple command. This streamlined system reduces friction in repeat purchases, driving convenience and loyalty.

Why It’s Impactful:

Voice search isn’t just about saving time—it’s about enhancing your shopping experience with smarter, more intuitive interactions.

• Hands-Free Convenience: Whether you’re cooking, driving, or working out, voice search simplifies tasks without interrupting your flow.
• Market Growth: Voice commerce is no small trend. By 2023, voice commerce sales were projected to reach over $19 billion globally. 
• Voice Payments on the Rise: Voice technology is changing not only how people shop but also how they pay. The global voice payments market is expected to reach $14.66 billion by 2030, growing at a CAGR of 10.9% from 2022 to 2030. 
• Repeat Purchases Made Easy: From reordering pet food to stocking up on cleaning supplies, voice search streamlines recurring tasks effortlessly.

4. Advanced Geolocation Customization

Imagine landing on an online store and immediately seeing products, pricing, and promotions tailored to your location. No manual filters, no extra clicks—just a seamless experience designed specifically for you. That’s the magic of advanced geolocation customization.

In 2025, ecommerce brands are going beyond basic location targeting. They’re using advanced geolocation tools to personalize every aspect of the shopping experience: region-specific product recommendations, pricing adjustments based on local purchasing power, and culturally relevant messaging.

For example, an online apparel store might highlight rain jackets for a Seattle-based visitor while showcasing sunglasses to someone browsing from Miami. Shogun’s personalized experiences help merchants create these hyperlocalized shopping experiences effortlessly. 

Examples:

• AutoZone: AutoZone leverages geolocation data to enhance the shopping experience by displaying real-time product availability based on the customer’s nearest store. This approach caters to the time-sensitive nature of automotive purchases, ensuring that customers know what’s available and where they can pick it up immediately. Visitors are shown store details, including operating hours, addresses, and contact information, alongside inventory updates like “1 in stock” to create urgency.

• Dick’s Sporting Goods: Dick’s Sporting Goods uses its website visitor’s locations to feature product recommendations tailored to their specific interests. This adds a layer of social proof—the recommendations get personalized by showing products within a range of categories the customer has viewed, noting how they use “Hot in your area” and “top-selling products.”

• Hall Wines: They use location personalization to tailor scarcity messaging based on regional customer behavior, creating urgency around limited vintages. This strategy boosted add-to-cart rates by 55% on their main site and 80% on their sister site, WALT Wines.

Why It’s Impactful:

Understanding your customer’s location isn’t just about pinpointing them on a map—it’s about anticipating their needs, speaking their language, and delivering exactly what they’re looking for in the most seamless way possible.

• Higher Engagement Rates: Localized promotions and region-specific product displays resonate more with shoppers, creating a sense of familiarity and trust. In fact, 72% of customers engage only with personalized messaging. 
• Improved Conversion Rates: Regional offers and culturally aligned messaging simplify decision-making and reduce drop-offs. Personalization strategies in ecommerce have been shown to drive a 20% increase in sales. 
• Optimized Inventory Management: By predicting regional demand, merchants can balance stock levels, preventing stockouts and reducing overstock situations while keeping fulfillment efficient.

5. Zero-Party Data Collection

Unlike data gathered through third-party cookies or inferred from behavior, zero-party data is information that customers intentionally and proactively share with a brand. This includes preferences, purchase intentions, personal context, and how they want to be recognized by the brand.

In an era where privacy regulations are becoming increasingly stringent, zero-party data offers a compliant and effective way to understand and serve your customers better. Notably, 91% of consumers are more likely to shop with brands that recognize, remember, and provide relevant offers and recommendations.

Examples:

• Sephora: Beauty retailer Sephora collects zero-party data through tools like Virtual Artist and Color Match, where customers share preferences like skin type and style choices. This data fuels personalized product recommendations, contributing to a 4x growth in e-commerce sales, from $580 million in 2016 to over $3 billion in 2022.

• Dyson: Dyson employs interactive quizzes on their website to gather zero-party data directly from customers. For instance, their vacuum cleaner quiz asks about home size, cleaning habits, and floor types. This information enables Dyson to provide personalized product recommendations, enhancing the shopping experience and increasing the likelihood of purchase.

Why It’s Impactful:

Zero-party data empowers businesses to deliver personalization customers value while building trust and ensuring privacy compliance.

• Enhanced Personalization: 85% of marketers consider zero-party data essential for creating personalized experiences. 
• Increased Trust: 58% of consumers feel more comfortable sharing data with brands that are transparent about how it’s used. 
• Privacy Compliance: With increasing regulations, zero-party data offers a privacy-first approach to personalization. 

6. AI-Driven Personalization

AI-driven personalization is revolutionizing ecommerce by enabling businesses to tailor every aspect of the shopping experience to individual customers. By analyzing extensive datasets—including browsing history, purchase behavior, and engagement metrics—AI can predict preferences, suggest relevant products, and optimize content layouts in real-time. This dynamic personalization enhances customer satisfaction and drives sales.

Currently, 92% of businesses are already utilizing AI-driven personalization tactics to drive growth.

Shogun’s visual editor empowers merchants to create optimized, engaging product descriptions and personalized landing page copy in seconds. By leveraging AI to fine-tune messaging based on customer data and browsing intent, merchants can ensure every piece of text speaks directly to their audience while aligning with SEO best practices.

Examples:

• Amazon: Amazon’s AI goes beyond product recommendations—it optimizes how products are presented. By analyzing attributes, preferences, search behavior, and purchase history, an LLM dynamically edits product titles to highlight the most relevant features for each shopper. A second LLM evaluates these edits for accuracy, ensuring product listings align with customer intent. This strategy drives 35% of Amazon’s revenue through personalized recommendations.

• Stitch Fix: Stitch Fix is an ecommerce personal styling service that uses AI-powered recommendations and human stylist expertise to deliver curated clothing selections directly to customers based on their style preferences and feedback. Each customer interaction—whether feedback, returns, or purchases—feeds into their AI system, enhancing its ability to predict and suggest products that customers will love.

Why It’s Impactful:

As AI becomes a key competitive advantage in ecommerce, tools like Shogun’s Personalized Experiences and AI Text Generator empower brands to scale AI-driven personalization seamlessly. Here are some stats that prove why AI-driven personalization is becoming impactful in this space: 

• Higher Conversions: Personalized product recommendations can increase conversion rates by up to 288%.
• Efficient Content Creation: AI tools, like Shogun’s AI Text Generator, enable merchants to produce high-quality, SEO-friendly content faster, ensuring pages stay fresh and relevant.
• Real-Time Adaptation: AI continuously adapts product displays, pricing, and messaging based on live customer behavior, maximizing engagement.

7. Augmented Reality (AR) Personalization

Imagine being able to try on a pair of sneakers virtually or see how a new couch fits in your living room before making a purchase.  Well, augmented reality (AR) personalization in ecommerce is already doing this. 

By blending real-world environments with digital overlays, AR allows customers to interact with products in an immersive way. Whether it’s virtual try-ons, interactive product showcases, or personalized AR experiences tailored to individual preferences, AR helps customers make more informed purchase decisions. 

Examples:

• Wayfair: Furniture brand Wayfair has implemented an  AR feature allows customers to visualize furniture and home decor products directly in their living spaces through the Wayfair app. This tool reduces uncertainty and increases purchase confidence by helping shoppers see how items will fit and look in their homes before buying.

• Cambridge Satchel: The UK-based bag retailer Cambridge Satchel has embraced augmented reality (AR) to enhance its online shopping experience. By leveraging Shopify’s AR capabilities, customers can visualize how different bag styles and colors complement their wardrobe or fit into their daily aesthetic.

Why It’s Impactful:

AR personalization helps remove uncertainty and helps customers make confident decisions. Here are some impactful stats why merchants are catching on:

• Increased Purchase Confidence: Shoppers using AR tools are 40% less likely to return products, thanks to clearer expectations and better visualization.
• Higher Engagement Rates: Customers interacting with AR features spend twice as long on product pages, indicating deeper engagement and interest.
• Enhanced Purchase Likelihood: 57% of customers say they are more likely to buy from a brand if it offers AR experiences, demonstrating AR’s influence on purchasing decisions.