Do you want to boost your email click rates and open rates? Do you want your email marketing efforts to finally pay off? If you answered yes to these questions, it’s time to engage in email list segmentation. In today’s day and age, personalization is a key factor to engage your audience, and that’s exactly what list segmentation allows for. In fact, according to a survey conducted by MarketingCharts, customers rely on email campaigns to create a personalized experience than any other option.
Below we will give a brief overview of what email list segmentation is and also outline 5 list segmentation best practices that will help you boost your conversions through the roof!
What is Email List Segmentation
Email list segmentation is when marketers divide their email list into smaller “segments” to create a more targeted and personalized email. Instead of sending large email blasts, you send different emails to each segment. These segments can be large such as the people who went to your blog in the last two weeks, or the segments can be small such as the people who bought one of your services in the past month due to a referral. However, the smaller your segment, the more likely it is to be effective.
Why Should You Segment Your List
The reason is very simple: personalization. Think about the last time you received an email for something that you didn’t want or care about. You must’ve opened it and thought “why did I get this email?” and then immediately unsubscribed so that you wouldn’t get any more. Just like you, no one wants unnecessary emails filling up their inbox. List segmentation makes sure that people are getting emails that they want and care about. By dividing up your list based on things such as buying preferences, demographics, background, etc, you can tailor your email content to each segment so that people will actually want to read it. This results in more conversions and happier customers.
If you want more information on email personalization, check out What is Email Personalization + 4 Techniques Financial Advisors Can Start Using Today
Trust us, it works! According to a survey by MailChimp who gathered data from users who use list segmentation, segmented campaigns had open rates that were 14.31% higher, clicks that were 100.95% higher and 4.65% lower unsubscribe rates than non-segmented campaigns by the same users.
5 List Segmentation Best Practices
#1: Segment By Merge Field
A great way to segment your list is by segmenting by merge fields such as zip code, job title, or customer type. For example, you would want to send a different email to college students and a different email to families. Each of these groups have different lifestyles and goals, so targeting them individually will lead to more success.
According to a survey by MailChimp, when segmenting by merge fields, marketers saw 14.06% higher opens than non-segmented campaigns
#2: Segment By Interest
Segmenting by interest ensures that people receive emails only about things that captivate them. Marketers can create sign-up forms that allow customers to select what information interests them. You don’t want to be wasting your time sending information about “buying your first home” to retirees.
#3: Segment By Sign Up Date
It is important that you segment based on the time that people subscribed to join your list. Everyone on your list is at a different stage in the cycle. This means that there are differences in the level of familiarity with your brand, and what things people want to learn. Recent signups should receive a different email from your most oldest signups. For example, your recent signup emails should be more focused on your brand and your customers’ financial goals versus your oldest signup emails should be more focused on maintaining a good relationship.
Below is an example of how to create a segment based on the sign-up date in MailChimp.
#4: Segment By Behavior
You can segment your lists based on the behaviors of your subscribers. Look at what types of products they are buying, what emails they have opened in the past, if they are reading from their desktop or mobile, etc. These behaviors can even help you identify your hot and cold leads which will further allow for more targeted emails. Looking at these behaviors can result in a myriad of very specific and highly targeted lists.
Below you see an example of how you can segment by what products people bought using MailChimp.
You’ve created your email segments and sent your targeted emails. That’s great! After engaging in list segmentation, it’s important to take a step back and observe. Check to see if your segments are working, and see what is performing well and what you could be doing better. Create new segments if you need to, and delete or alter ones that may not be specific enough.
If you want more information on list segmentation, check out Email Marketing 101: Building and Segmenting Subscriber Lists
If you haven’t started list segmentation, don’t worry. It’s not too late to start! Segmenting has very positive effects, and if you do it right, it’s a win-win situation for all.