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Segmentation And Recovery: Divide And Conquer

Divide and Conquer

Email marketing isn't much like the art of war, but there are parallels for success in both theatres. This (quite bold, I'll admit) comparison is made when faced with the idea of segmentation and recovery. The most effective method of winning the dollars for your company is to target and convert customers, using the offer that works best for each group. In war, the age-old mantra of divide and conquer has yet to be proven false. So, for your businesses, how about a strategy of “Segment and Conquer”?

To quickly jump to another parallel (I appreciate we're jumping dimensions rather recklessly); In the world of economics, there is the idea of degrees of discrimination. This theory states that a firm can maximise profits by charging different prices to different segments of customers, based on factors such as the cost to serve and their desire to buy. Segmentation allows you to apply this theory to the email marketing world.

Email marketers have long been segmentating their lists, based on historical ESP data such as clicks and opens, together with preference centre data which is often fictional. A useful tool - it has been a positive step away from the days of blast email-marketing. But the sell-by date for historical segmentation is nigh - real-time eCommerce data, right there in your ESP, is the game-changer. If a subscriber reads your email subject and pre-header and goes straight to your Website without opening - you have all the data. If they click one product link in the email and then browse 50 products on your site - you have all the data.

To effectively 'divide', or 'discriminate', between customers is of paramount importance to the success of any remarketing strategy. The advent of real-time marketing makes this a joyous task, with traditional segmentation strategies now adjusting to the paradigm of real-time triggers and content, and creating many potential sources of revenue.

Segment and Conquer. Is your business winning the war?

Segment Builder and Triggered Analytics by Fresh Relevance allow you to filter your triggered communications and bulk marketing so that customers are remarketed and recovered in a logical way, based on their current activity on your website.

These features allow you to target the value of a customer with effective marketing - use different strategies for the customer with a $10 dollar item in their basket vs the one with $1000, or one who engages with BrandX vs one who doesn't. Your job just became simpler: with real-time segmentation strategies you can easily differentiate between new arrivals who have yet to buy, those who have bought once and need help to become regular visitors, your best customers, customers with little brand loyalty who often abandon, lapsed customers, and - very important - good customers who you have not seen for a while but are suddenly back and active. Contact each of them appropriately to reduce costs whilst simultaneously increasing revenue.


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