How to Use Email Segmentation to Drive Conversions

Posted on: November 7, 2018 by in Blog
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Email is still a very powerful marketing tool. Contrary to proclamations that it’s a dying or dead channel, email is still more relevant and effective than Twitter or Facebook. Most of the bad propaganda about email is due to how marketers misuse it. These days, eblasts sent out simultaneously to hundreds or thousands of random people doesn’t convert very well and might even be viewed as spam. To get the most out of your email marketing campaign, you have to learn segmentation.

Image source: LyfeMarketing

What is Email Segmentation

Email segmentation is an organizing system wherein email subscribers are placed in different categories and messages customized to speak to each group directly.

The main purpose of email segmentation is personalization. You divide your email list into groups based on the available customer data, like their professional backgrounds, purchase preferences, buying habits, and their familiarity with your brand. These groups can be as large or as small as you want, depending on the category you chose.

Why Businesses Need Email Segmentation

Segmentation can be the tipping point that determines the success or failure of a company’s email marketing strategy. Here’s a list of reasons why your business needs to divide its email list:

1. One Size Doesn’t Fit All

The odds are high that you’ll have numerous shopper personas on your email list, as well as buyers who are at different stages of the sales cycle. Delivering the same message to everyone on your list just won’t cut it. A survey by Hubspot shows that consumers simply won’t respond to messages that aren’t relevant to them.

2. Enhances Your Brand’s Reputation

Your brand’s reputation will also receive a boost if you utilize email segmentation. Marketers who segment their subscribers received fewer complaints and have lower unsubscribe rates. And since segmentation means that people on your list receive messages right for them, they will trust your brand more.

3. Improved Open Rates

Your email might be full of important information but it will remain useless unless the recipients open their emails. With segmentation, you can tailor the subject lines to resonate with the specific group you’re targeting, thus enticing them to open your email.

4. More Conversions

Email segmentation can boost the odds that the right content is sent to the right customer at the right time. One company who nailed this was Isotoner. The company saw their email marketing profits rise by as much as 7,000% when they segmented their emails based on the products their customers checked during their visit.

5. Reduces Unsubscribe Rates

People unsubscribe for two main reasons – there’s a deluge of emails or the messages they’re receiving aren’t relevant to them. You’re dealt a blow everytime a prospective client unsubscribes. Not only are you blocked from having a direct in to their inbox, they’re also leaving a key marketing channel. Email segmentation will ensure that you won’t be guilty of these practices since your messages are customized.

Image source: Business2Community

How to Increase Conversion Through Email Segmentation

Group People into the Right Segments

Placing your subscribers in the right segment can give your email marketing campaign several advantages, like ensuring that each group receives the message most relevant to them and enabling you to respond to subscriber behaviors appropriately.

There are several ways you can group people:

  • By Geography: Create a category based on specific cities or states, time zones, or regions.

  • By Purchase History: This is particularly helpful in segregating new shoppers from loyal customers.

  • By Abandoned Carts: There are many reasons why customers don’t complete their transactions. However, an email reminding them of their abandoned cart can guide them back to your site to finish their purchase.

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Image source: Email Monday

Be Clear on What Your Email Marketing Service Provider Can Do

There are so many email marketing providers right now, and most of them offer tools and services that can make email segmentation a walk in the park. For instance, companies like Aweber, iContact, and MailChimp have integrated tools that can assist you in growing your email list and communicating with prospective clients and loyal consumers easily.

Some providers also offer software that help determine your demographic and test and measure your email marketing campaign’s effectivity. They can also provide you with the critical data needed to assess your progress. However, you have to understand clearly how they manage email segmentation as well as their regulations. These will help you adjust your strategies and settings so it complies with their rules and ensures your marketing campaign goes smoothly.

Use Segmentation to Customize Messages and Improve Customer Experience

Email segmentation is a key component to improving customer experience. Personalizing a user’s experience entails tailoring your marketing strategy based on the wants and requirements of various segments.

The idea here is to supply visitors with the right content that will capture their attention and entice them to take action. For instance, emails to new customers could include a banner offering them a 10 percent discount on their first purchase. Meanwhile, you offer loyal customers a discount based on their purchases reaching a specific amount.

Conclusion

Most businesses that switch to segmenting their email campaigns will see a significant jump in their conversions. Chances are, if you sell a wide variety of products and you have a relatively large subscriber list, you’ll need to segment. Take a close look at your current list of subscribers and use the information above to help determine what groups of customers are most important to your business and segment them accordingly.

[Featured image via Pixabay]

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