Best Practices to Create Winning Product Taxonomy for your eCommerce - PowerPoint PPT Presentation

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Best Practices to Create Winning Product Taxonomy for your eCommerce

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38% of online shoppers are known to leave a poorly organized eCommerce store. That makes it critical to optimize and prioritize the product taxonomy. An efficient product taxonomy is the foundation for eCommerce success and can simplify product searches. – PowerPoint PPT presentation

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Title: Best Practices to Create Winning Product Taxonomy for your eCommerce


1
Best Practices to Create Winning Product
Taxonomy for your eCommerce
  • Typically, online shoppers do not spend more than
    8 seconds trying to find a product on any
    eCommerce site. This is like a book enthusiast
    walking into a library and searching for the
    book category (where they can find the book they
    want).
  • When does it take users more time to find what
    they want? Simply put, when product information
    is inefficiently organized (or simply not there).
    As it stands, around 46 of product-related
    searches begin on Google. This is where product
    taxonomy can help your eCommerce business win.
  • What is product taxonomy? Simply put, it is the
    organization of products (based on categories)
    in an eCommerce store. Why is it important?
    Product taxonomy can
  • Improve the user's experience in product
    discovery.
  • Improve site navigation and facilitate faster
    searches.
  • Elevate the brand reputation.

For a "winning" product taxonomy, eCommerce
stores must implement the following seven best
practices
2
  • Optimize for SEO
  • Without search engine optimization (SEO), product
    searches can be frustrating to most customers.
    Among the best practices, eCommerce stores must
    consider optimizing product taxonomies for SEO
    keywords. In concrete terms, with detailed
    keyword research, ensure your taxonomies include
    the keywords your customers are looking for.
  • Additionally, you can also optimize other content
    like product title, image, and meta descriptions
    to map to the target keyword. But avoid any
    keyword stuffing that can attract penalties (or
    even a lower SEO ranking from Google). However,
    you must consider optimizing your product page
    URLs using keywords.
  • Make It Concise
  • Product taxonomy must be concise and accurate.
    Avoid putting the same product in multiple
    categories, as it can confuse the shopper and
    interfere with stock management. Another best
    practice is to group single-value product
    categories and make them a sub-category to the
    main category.
  • For example, in an online furniture store, break
    down the "Lounge" category into second-level
    categories like chairs, coffee tables, and
    couches.
  • Additionally, avoid grouping categories that do
    not complement each other. For example, water
    hoses and cooling systems. You can also consider
    a special category for products "on sale" or
    "new additions."
  • Remember Your Target Audience
  • Product taxonomies aim to attract more customers.
    Every eCommerce store must know the customer
    base that they are targeting. Find answers to
    common questions like "why should they choose
    your brand?" or "how do they choose products?"

3
  • That said, there are multiple ways to seek
    audience information and create appropriate
    product taxonomies. This includes
  • Speaking to customers directly and asking for
    feedback.
  • Observing real-time data on customer behavior and
    purchase patterns.
  • Researching the latest industry and shopping
    trends.
  • Testing the user experience.
  • For a "winning" taxonomy, remember that online
    consumer behavior differs from that in the
    physical retail shop. For the best results,
    organize your product categories based on how
    consumers navigate through the online shop.
  • Don't Stuff Attributes
  • Product attributes are essential for filtering
    product searches (within the online store).
    Among the best practices, avoid stuffing the
    taxonomy with product attributes. Attribute
    stuffing is the practice of including many
    product specifications and attributes in the
    category label.
  • Instead, identify the most generic attributes
    that can be applied across product
    categoriesfor example, color, size, and
    material.
  • After identifying the main attributes, include
    the attributes specific to your product (for
    example, dimension or weight). Avoid creating an
  • attribute-based product search that goes into the
    third level, as a two-level hierarchy works best
    for most shoppers.
  • Base Your Taxonomy on Geographical Location

4
  • For example, a fashion retailer can "seasonalize"
    their product category for a particular country
    (for example, "Winter wear" in the U.K). The same
    retailer is unlikely to include this category in
    their Middle East market.
  • Understand the Products
  • With a solely customer-centric focus, eCommerce
    companies lack a complete understanding of their
    products. For business success, eCommerce shops
    must dedicate equal importance to understanding
    their customers and products. A product-driven
    customer-centric approach is the best mode. Here
    are some product-related questions that need to
    be addressed
  • Why do my customers love to use my products?
  • What product feature sets it apart from similar
    products in the market?
  • Which product categories are most visited by my
    customers?
  • A product-centric approach can easily optimize
    the product datasets and create stronger
    taxonomies.
  • Avoid Any "Junk Drawer" Category
  • As the final best practice, avoid creating a
    "junk drawer" or ambiguous categories like
    "Others" or "Miscellaneous." These categories are
    often created when a "new" product category does
    not exist. Additionally, they may be secondary
    products that do not warrant the effort of
    modifying the existing taxonomy.
  • Online shoppers may navigate to the "junk drawer"
    category and may not find the product they are
    looking for. This can frustrate most shoppers or
    hinder efficient navigation.

5
Conclusion 38 of online shoppers are known to
leave a poorly organized eCommerce store. That
makes it critical to optimize and prioritize the
product taxonomy. An efficient product taxonomy
is the foundation for eCommerce success and can
simplify product searches. EnFuse Solutions
offers a variety of eCommerce-related services to
its customers. With extensive industry
experience in enterprise data management, our
Catalog Digital Asset management services are
designed to improve your catalog-related data.
In sum, we can implement customized managed
services designed for your eCommerce
needs. Contact us today to know more. Related
Blog How Product Content Impacts the eCommerce
Buyers Journey
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