Thomann

Tuning into AI: Enriching Thomann’s online experience with Vertex AI

Google Cloud Results
  • 3% increase in conversion rates across all customer touchpoints

  • 13% more items added to cart when recommendations were displayed

  • High two-digit percentage ROI within the first year of implementation

Thomann replaced a 13-year-old fragmented recommendation system with Vertex AI, achieving dramatic improvements in customer engagement and revenue while reducing technical debt.

Brass department of the physical shop in Treppendorf

Scaling personalization across 120,000+ musical instruments and equipment

As Europe's largest online retailer for musical instruments and equipment, Thomann faced a unique challenge that perfectly encapsulates the complexity of modern e-commerce personalization. With over 120,000 products ranging from €1.99 cables to €350,000 vintage guitars, the company needed a recommendation engine that could navigate extraordinary product diversity while serving customers across vastly different musical journeys. A challenge now addressed by Thomann.io, the company’s dedicated subsidiary responsible for developing and maintaining its digital infrastructure, platforms, and data-driven solutions.

The breadth of Thomann's catalog creates unprecedented recommendation challenges.

We had a solution that served the company well for many years, but it was time to evolve and align with technological progress. We needed something that could scale with us and deliver maximum value to our customers.

Falco Wittchen

Unit Lead Data Analytics and Science, Thomann

Customer journeys vary dramatically - from impulse purchases of guitar picks to year-long research cycles for grand pianos worth tens of thousands of euros. Some customers, such as guitarists, frequently purchase consumables and accessories, thereby building extensive product histories. Others, such as pianists, might make a single major purchase every decade or so. This diversity in both product types and purchasing behaviors meant traditional recommendation approaches fell short.

"We had everything from tiny harmonicas to grand pianos, plus professional lighting equipment and components to build entire stages," explains Falco Wittchen, Analytics and Data Science Lead at Thomann.io. "Some customers buy guitar strings every three months, while others spend a year researching a €35,000 piano purchase. The decision to buy can happen in a minute for a cable, or take nine months for a grand piano."

The existing in-house recommendation system had become difficult to maintain, in light of the rapidly advancing technological developments in recent decades. Therefore the decision was made to move from a rule-based system to a modern ML approach to reduce manual intervention and to adapt more flexibly to evolving customer behavior patterns and unlock more options in terms of personalization.

Implementing real-time personalization across newsletters, mobile app, and website

Example recommendations on a product detail page (PDP)
The flexibility was crucial — we wanted something we could iterate on without needing to rebuild everything in 10 years. The system delivers real-time, personalized recommendations and provides multiple models for various use cases.

Bastian Thiede

Senior Data Scientist, Thomann

Thomann's existing Google Cloud infrastructure made Vertex AI Recommendations a natural choice. The company had already established BigQuery as its data warehouse and was utilizing Google Analytics, laying the groundwork for seamless integration. This solid infrastructure foundation was built in partnership with adesso, one of Germany's leading Google Cloud Partners, which helped Thomann modernize their entire data platform and migrate from on-premise systems to a state-of-the-art cloud architecture.

The team implemented Vertex AI Recommendations across three key customer touchpoints: newsletters, mobile app, and website. The system processes real-time user behavior data to deliver personalized product suggestions, with different models handling various use cases - from showing complementary products (amplifiers for guitar buyers) to alternative options within the same category.

"When someone buys a guitar, we don't want to show them another identical guitar," explains Thiede. "Google's different models let us show complementary products like amplifiers or cases, creating a more relevant shopping experience."

The implementation leveraged multiple Google Cloud products working in concert:

Vertex AI Recommendations powers the core personalization engine

BigQuery handles massive product catalog and customer data processing

Bigtable manages real-time user session data and complex customer email relationships

Cloud Composer orchestrates the entire ML pipeline

Google Analytics provides behavioral data to feed the recommendation algorithms

The new recommendation system was developed in-house by Thomann.io’s Data Division with the support of its trusted partner and leading system integrator adesso, which also operates an office in Berlin. They had previously helped Thomann modernize its entire data platform, creating a scalable, cloud-native architecture that now powers not only recommendation services but also Thomann’s broader digital transformation, including the ongoing migration of its shop infrastructure.

"adesso helped us establish the necessary conditions for data products like this recommendation engine," explains Thiede. "They paved the way at different stages, helping us create a platform that's truly state-of-the-art for data processing speed and quality."

The team implemented a careful rollout strategy, starting with newsletters (lower risk), then the mobile app, and finally the website. At each touchpoint, they conducted rigorous A/B testing against the legacy system over specific time periods, ensuring accurate attribution models and comparable measurement frameworks.

The system handles complex business logic specific to Thomann's operations, including managing N-to-N relationships between users and email addresses, and filtering out dangerous goods (such as batteries and liquids) that cannot be shipped to specific locations. These customizations demonstrate the flexibility of Google Cloud's infrastructure in accommodating specialized business requirements, while building on the solid foundation established through our partnership with adesso.

Recreating personal service at scale with responsible AI and measurable impact

At Thomann's physical location in Treppendorf, customers experience what employees refer to as "Musikladenromantik" — the romance of a music shop, soon to be the largest music shop in the world with over 10,000 m² of space. It's like Mekka for musicians, where knowledgeable staff guide customers to the perfect instruments, allowing them to hold and test products before making a purchase.

Personal consultation — both in the physical and online shop – is at the heart of Thomann’s customer experience. The team of experts is available in person, on the phone, and via chat to guide customers individually, helping them find the right product based on their unique needs. “In our physical Shop, people can show you the right product and let you hold it," says Savuk. "Online, we can recreate that experience through recommendations - showing customers we're there for them and suggesting the right products." This philosophy drives Thomann's approach to digital personalization, viewing AI not as a replacement for human expertise, but as a way to scale that personal touch across hundreds of thousands of online interactions daily.

We can prove that we're not just showing customers products they would have bought anyway in two weeks. We're genuinely inspiring purchases and creating cross-selling opportunities that deliver significant monetary returns.

Arman Savuk

Director Data, Thomann

The AI-powered system respects customer privacy by carefully managing consent. When users decline Google Analytics tracking, the system seamlessly falls back to non-personalized logic while maintaining the shopping experience. This approach strikes a balance between the benefits of personalization and strict GDPR compliance, ensuring that data governance never compromises user trust.

Thomann also addressed algorithmic fairness challenges that emerged during implementation. Early testing revealed that the system was particularly drawn to expensive vintage guitars (€150,000-€350,000), which attracted clicks but generated no sales. These "curiosity clicks" skewed recommendations toward unrealistic products. The team implemented business rules to ensure that recommendations prioritize genuine purchase intent over mere browsing curiosity, striking a balance between algorithmic optimization and practical business outcomes.

The results speak volumes about relevance and impact. Recommendations increase the average order value by 24% – an extraordinary figure for any e-commerce platform. Beyond revenue metrics, the team discovered compelling qualitative success stories: customers recommended a single snare drum, purchased entire drum kits, while others, shown blue guitars, bought the same model in red, demonstrating genuine purchase influence rather than mere browsing.

Thomann is expanding beyond basic recommendations, exploring how generative AI through Vertex AI's LLM capabilities could enhance product discovery and customer education, potentially creating AI-powered music advisors that combine product recommendations with educational content.

“We inspire and enable people to speak music – everywhere.” That's Thomann's mission. Thomann operates Europe's largest music shop and serves millions of customers online worldwide through its comprehensive ecommerce platform.

Industry: Retail

Location: Germany

Products: Vertex AI Recommendations, BigQuery, Bigtable, Cloud Composer


About Google Cloud partner — adesso

adesso is a leading Google Cloud partner, dedicated to helping businesses accelerate their digital transformation with innovative cloud solutions.

Google Cloud Partners
  • adesso
Google Cloud