Using Data to Drive Results: Real Simple Email Segmentation. Part 2 - More From Your Active Customers

Author:

Cavan Downes

Source:

To create the most rewarding experience for your customers, and for your bottom line, the campaigns must be relevant to their persona. But where to begin when there are infinite attributes? The easily accessible email activity data is a great source to start constructing personalised lifecycle marketing programme that are engaging and performance-driven.
 
This series began last month with us discussing how to reactivate the inactive segment of your database. In this issue we look at a simple segmentation strategy for optimising the performance of the active segment.First we need to begin as we did with the unengaged by segmenting based on engagement level and phase in the purchasing cycle. In order to get the most from your active customers it is essential that you identify the various segments within this section of your customer database. Your hardcore fans want and expect to see different messaging from your newly acquired customers. By mastering these relationships in the nurturing process not only will these customers come back to you every time their needs arise, but also your hardcore fans will remain loyal and your new fans become your advocates and spend more with you.
 
To begin, sort your actives into 3 segments:
 
1. Most Valuable Customers (MVCs) – mature customers, who have made purchases and have been responding, opening and clicking, to your email messages consistently for 6 months and longer.
 
They are your hard-core fans, representing the top-tier segment with highest asset value in your customer database. You must protect and maintain their affinity with your products and brand. The perks of nurturing them correctly will keep them coming back to buy from you, recommend your offers to their network of friends and family, and open up to tell you their opinions.
 
Don’t waste the interaction opportunity with generic offers and messages. They are receptive to:
• Up-sell and cross-sell offers: Make use of the data captured in the preference centre and from other touch points to understand what they do and might like and dislike, and alert them with relevant messages and offers in a well-timed fashion. Another tool is a well-crafted detailed map of products and services associations, and rules of selection/elimination. With them, you can direct your dynamic email message builder to put in the most receptive suggestion of offers in an automated triggered email after a certain event.
 
• Loyalty incentives: Two most important things here: first, you have to regularly offer them the best deal in town, and secondly, help them reap the benefits of being a good fan. How to do the first point is self-explanatory. As for the latter point, one of the best locations to achieve that is in the e-statement. If you have a loyalty programme, include in the statement a dynamic list of award redemption and next tier top-up suggestions. Relate these suggestions to their profile and recent purchase/behaviour in the website. A point-redeemable accessory or warranty plan to their recent purchase is an attractive offer at this stage in the purchase cycle.
 
• Spread your words: Recommendation from trusted friends is undisputedly the most powerful and cost-effective form of marketing. Incentivise your MVCs to pass on your compelling offers, features and benefits, and make it easy for them to do so. Build in a share-on link to allow your customers to publish your message in their social network page, or even better, a reward programme to encourage them to spread your offers and subsequent purchase by friends to thank them.
 
2. Rising Stars – subscribers, who might or might not yet have made a purchase, but have been opening and clicking to your emails regularly for 3 to 6 months. They obviously are interested in finding out what you have to offer, or they are watching out for news or items that suit them. Help them quickly get what they are looking for, and they will become your loyal fans.
 
• Special offers: Analyse their web browsing and click data for customising your offers to them. Set up real-time dynamic email to follow up their recent searches and enquiry immediately to present the best offer relating to their request.
 
• Regular update of your service: Keep your brand and compelling features fresh in their mind to accelerate their consideration and preference phases in the purchase cycle.
 
• Help them become your loyal fans: Offer them the right deal at the right time with extra value periodically to join and enjoy your loyalty programme.
 
3. Early Engagers – subscribers who have recently started reading and clicking to your emails in the last 3 months. This group although it tends to consist mostly of newly signed up subscribers, could well be your win-backs or successfully re-engaged subscribers.
 
• Sales incentives and new products announcements: Enthral them with a gripping reason to stay interested and engaged, but don’t overwhelm them with an endless list of irrelevant offers. Invite them to refine their choices and likes in the preference centre.
 
• Tone the messaging sensitively: Don’t pretend you know them well when you don’t. Empower them to tell you what they want and be prepared to respond to their request.
 
• Promote your one-to-one conversation channel: A human touch is always important, and particularly critical for nurturing the newly engaged customers and prospects. Promote your customer service as part of the welcome for new customers. A confirmation email followed by a personal phone call to reconfirm their first online purchase would not only delight them and differentiate your brand, but will also create the opportunity to show them how to effectively use your online facilities and to personalise future communications that suit their needs best.