Emails That Target Customer Behavior Without Using Big Data

This behavior-triggered email from Amazon was sent two weeks after I searched for soda can tops on Amazon.com without purchasing.

The ever increasing volumes of data used by companies like Target, Walmart and Amazon to carefully target their customers is cumbersome and difficult to manage. Analyzing patterns to find the right trigger that will motivate an individual to buy requires gifted statisticians that combine art and science into marketing magic. But what if you are not quite ready to use big data in your business? Can you still reap some of the benefits?

Fortunately for companies that don’t have a team of statisticians standing by, customer behavior and activity can be used to increase sales without the challenges that come with big data. It’s as simple as watching for specific activity or changes in customer behavior and being prepared with a customized response to encourage people to buy.

If this is your first venture into customer behavior marketing, start with the people who are the easiest to identify. Seasonal and discount shoppers are relatively easy to recognize because they have very specific buying patterns. Creating customized marketing for them increases their response and reduces costs. The dual benefits make this a logical place to begin.

Seasonal shoppers are the people who purchase items at specific times of the year. Traditional RFM (recency, frequency, monetary value) analytics flag them as top buyers shortly after a purchase and then systematically move them down the value chain. When they place the next order, they move back to the top and flow down again. Creating a marketing plan that sends materials when they are most likely to buy reduces marketing costs without affecting sales.

Discount shoppers only buy when there is a sale. This segment can be further divided into subsets based on how much discount is required to get the sale. If the marketing is properly tailored, this group of people serves as inventory liquidators. Minimizing the non-sale direct mail pieces they receive and heavily promoting sales increases revenue while reducing costs.

Related Content
Comments