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Customer Retention. Automated

Turn Customers into Fans with Segmentation

Posted by Enelda Butler on Jun 20, 2016 3:50:57 PM
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With segmentation, retailers can group customers based on similar characteristics, and then create targeted messaging that’s relevant to their interests. You can create customer segments based on a variety of traits, like how frequently they purchase, how much they spend, the products or categories they purchase from, location, and more. The possibilities are endless.

The more specific the email, the better the results. In fact, for segmented messages open rates are 13% higher and click rates increase 52% when compared to average engagement rates of non-segmented promotional emails.[1] In addition to being relevant, emails should also be sent at the right time.

 

One retailer who’s killing it in terms of both relevant and timely messages is Kohl’s. I’ve been a Kohl’s shopper and email subscriber for years. I looked in my personal inbox to pick some of the best messages I received and two emails really stood out.

 

I got this message back in January, the morning after the University of Alabama’s football team won the National Championship. (Roll Tide!) I previously purchased Alabama gear from Kohl’s and had an Alabama shipping address attached to my account. With this information, Kohl’s was able to assume that I was an Alabama fan (correct) and that I’d be interested in buying some merch to celebrate the big win (also correct).

 kohls_bama.png

 

Last year I got a similar message after Duke University’s basketball team also won the National Championship. I had not purchased Duke merchandise from Kohl’s. (Go Heels!) However, I do have a Durham, North Carolina shipping address attached to my account, so I understand why I got the message. But if I were a Duke fan, this email would’ve encouraged me to at least browse what Kohl’s had to offer.

kohls_duke.png

 

Sports fans are an especially passionate group. By tapping into this interest, retailers can connect with customers and motivate a purchase to showcase their team loyalty and pride. I wouldn’t be surprised if Kohl’s shoppers in Cleveland received a similar message today.

 


[1] http://mailchimp.com/resources/research/effects-of-list-segmentation-on-email-marketing-stats/

 

Topics: Best Practices, Email Marketing