How Can You Segment Your List?

Segmenting an email list requires some amount of hard work and expertise. As a marketer you need to closely look at the information you have collected from your subscribers list. Also take a look at the response and purchase data, if you see a similar pattern, the following five segmentation tips can help you improve response to your promotional emails.

1. Segment by Geography.
Data such as addresses, zip codes will help you segment your lists geographically. This would help you create area & location based offers & promotions. Or, if there’s news that affects people living in just one state, segment accordingly. By sending an email to only the subscribers it relates to, you can reduce the chance of annoying your overall list with too many irrelevant messages in their inboxes.

2. Segment Based on Purchase History.
The data about your subscribers past purchases can give you ideas about their next purchase, or you can suggest them what their next purchase should be. For example if someone has purchased a printer in past, you know that at some point they will definitely need the ink cartridges. this way you can target specific groups with promotions for specific products. Plus, based on this data you can anticipate what products your customers may be interested in. For example, let’s say you observe that a lot of your customers typically buy Products A, B, and C. If you have a group of customers who have bought only products A and B, you may want to send them an email about Product C.

3. Segment Demographically.
Age, gender, marital status, income and job titles are the most common demographic data that you can use to segment your list. When you look closely at the demographic data collected, you may find some common characteristics or patterns and their purchase history as well. For example, if you have a list of women who purchased Men's clothing & accessories may be targeted for a father's day sale. This is how you use demographic data to segment lists.

4. Segment Prospects Vs Clients.
A prospect is a person who may (in future) purchase something from you and a customer is someone who has already purchased something from you. Because you have a different relationship with your customer as compared to a prospect, both these should be segmented on your email lists. For example, a special introductory promotional email is for your prospects and not current customers. The kind of emails that you send to your clients are basically follow-up email campaigns, rewards and discount emails etc. that encourage more repeat sales and customer loyalty.

5. Segment Using Behavioral Data.
Tracking behavior of your subscribers is very important. Using this behavioral data to segment your list is a good way to help improve your ROI. The main behavioral data that you can use to segment your lists can be:
  • people who have opened your email
  • people who have opened and clicked through to your Web site
  • people who have opened, clicked through, and made a purchase
  • people who have not opened your email.

Each of these groups should be treated differently in future email promotions. You could send the same promotion with a new subject line, for example, to try to engage the group who didn’t open your email.

Relevancy is the key to segmenting lists for optimized ROI. Segmentation plays an important role to keep your emails relevant to the likes and needs of your current clients and prospects.

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