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With retailers in the thick of the holiday season, it’s not too late for merchants to optimize their e-mail communications by improving segmentation techniques. Here are three tips for creating a strong e-mail customer segmentation strategy that will offer benefits both during and after the holiday season.
# 1. First, marketers should ensure they are getting the most out of their online customer preference center. They should allow consumers to choose their contact frequency, the types of messages they receive and the products they would like featured. Giving consumers options and control over the subscription process—including the ability to update and change their preferences—will keep your list size strong and allow you to create segments based on customers’ expressed wishes.
# 2. Second, the marketing team should focus on creating segments based on how customers have interacted with the e-mail program. When it comes to e-mail marketing, one message does not suit the entire list. Instead, divide the e-mail list into nonresponders, those who open but don’t click (openers), those who click but don’t purchase (clickers) and purchasers.
Once the list is segmented, devise creative to move each segment closer to purchase. Purchasers should be given forward-to-a-friend offers so they can spread their loyalty. Test landing pages for clickers to push them toward making a purchase after clicking. Try new creative for openers to see if the e-mail design, copy or featured product was causing them not to click.
One caveat: Don’t try to turn nonresponders into frequent purchasers with one e-mail. Focus on creating subject lines that will entice opening (typically subject lines with strong offers or that feature contests move nonresponders to open). For example, one Epsilon client reactivated nonrespondents simply by using a subject line stating it was the last e-mail they would receive before being unsubscribed. Many nonresponders still want the option of reading their e-mails and will let the company know this.
# 3. Finally, marketers who integrate their e-mail and Web analytics programs can create extremely relevant e-mail messaging by segmenting customers based on Web site behavior. Integrating these two technologies will allow retailers to include content based on products customers viewed, shopping carts they abandoned and Web site categories they visited. Marketers should ensure consumers do not feel they are being watched while they shop. For example, if the retailer has three products featured in an e-mail, only one of them will be an item that was viewed by the recipient (rather than all three). The item she viewed certainly will be relevant, and the customer won’t feel she is being monitored. Retailers’ privacy policies should, of course, clearly outline how they use cookies and Web analytics on their sites.
# 1. First, marketers should ensure they are getting the most out of their online customer preference center. They should allow consumers to choose their contact frequency, the types of messages they receive and the products they would like featured. Giving consumers options and control over the subscription process—including the ability to update and change their preferences—will keep your list size strong and allow you to create segments based on customers’ expressed wishes.
# 2. Second, the marketing team should focus on creating segments based on how customers have interacted with the e-mail program. When it comes to e-mail marketing, one message does not suit the entire list. Instead, divide the e-mail list into nonresponders, those who open but don’t click (openers), those who click but don’t purchase (clickers) and purchasers.
Once the list is segmented, devise creative to move each segment closer to purchase. Purchasers should be given forward-to-a-friend offers so they can spread their loyalty. Test landing pages for clickers to push them toward making a purchase after clicking. Try new creative for openers to see if the e-mail design, copy or featured product was causing them not to click.
One caveat: Don’t try to turn nonresponders into frequent purchasers with one e-mail. Focus on creating subject lines that will entice opening (typically subject lines with strong offers or that feature contests move nonresponders to open). For example, one Epsilon client reactivated nonrespondents simply by using a subject line stating it was the last e-mail they would receive before being unsubscribed. Many nonresponders still want the option of reading their e-mails and will let the company know this.
# 3. Finally, marketers who integrate their e-mail and Web analytics programs can create extremely relevant e-mail messaging by segmenting customers based on Web site behavior. Integrating these two technologies will allow retailers to include content based on products customers viewed, shopping carts they abandoned and Web site categories they visited. Marketers should ensure consumers do not feel they are being watched while they shop. For example, if the retailer has three products featured in an e-mail, only one of them will be an item that was viewed by the recipient (rather than all three). The item she viewed certainly will be relevant, and the customer won’t feel she is being monitored. Retailers’ privacy policies should, of course, clearly outline how they use cookies and Web analytics on their sites.
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