Personalizing the Shopping Experience with AI for a Growing E-Commerce Brand

A fast-growing U.S. direct-to-consumer (D2C) startup was feeling stuck. Despite increasing their marketing budget, revenue had flatlined — customers weren’t engaging, and their promotions were falling flat. The team suspected personalization was the key but didn’t have the tools or insight to make it happen.

The challenge:
The startup had tons of data — purchase history, browsing behavior, demographics — but no clear way to turn it into insight. Their marketing felt one-size-fits-all, and their campaigns weren’t resonating.

They needed a smarter way to understand who their customers really were, what motivated them, and how to speak to each group without adding more manual work for their small marketing team.

Our approach

We partnered closely with their team to design an AI-driven customer intelligence platform that could automatically segment their audience and power real-time personalization across channels.

Here’s what we built together:

  • Unified data pipeline pulling information from Shopify, Klaviyo, and Google Analytics.

  • Unsupervised machine learning models (K-Means and DBSCAN clustering) that grouped customers by behavior, preferences, and lifetime value.

  • Clearly defined profiles — from “loyal repeat shoppers” to “discount hunters” to “seasonal gifters.”

  • A recommendation engine combining collaborative and content-based filtering to suggest products and offers tailored to each segment.

  • Seamless integration with their ESP and website personalization tools, so new campaigns could launch instantly.

We didn’t just hand over the tech — we worked with the marketing team to interpret model insights, test personalized vs. generic campaigns, and use those learnings to keep improving.

The impact

Within just three months, the results were impossible to ignore:

  • 25% boost in total revenue after rollout.

  • 22% higher click-through rates on segmented campaigns.

  • 18% lower churn, with top-spending customers showing stronger retention.

  • Faster campaign creation — dynamic content blocks could now be built in one click.

  • A continuously learning model that updated every week to reflect evolving customer behavior.

The project helped the startup level up from intuition-based marketing to AI-powered personalization — giving them the kind of customer intelligence normally reserved for much larger brands, without expanding the team.

Want to personalize your customer journey with AI?
Let’s build a data-driven strategy that actually connects with your audience.

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