Why Email List Segmentation is Crucial to Increase Audience Engagement

When segmentation is brought up in a marketing context it is referring to the sorting of your contacts into different lists based on their level of engagement and their interests.  When targeting new and old customers, the last thing that you want to do is send out a generalized email. Segmentation adds a layer of personalization and for some subscribers that can make all of the difference. For those that doubt the true power of list segmentation, in a study of 11,000 email campaigns conducted by MailChimp* segmented email campaigns vs. unsegmented campaigns have on average:

  • 14% higher open rates
  • 11% higher unique open rates
  • 101% higher click rates
  • -5% lower average bounce rates
  • -4% lower abuse report rates
  • -9% lower unsubscribe

If you think about your business and the products that you sell not every subscriber will be interested in every product, nor will they all be equally engaged. We have compiled a list of the most effective ways to segment your email lists starting with:

Segmentation by Merge Field

Perhaps the most basic type of list segmentation, merge field refers to separating clients by customer type, zip code, job title, and other basic indicators. When you use merge fields to help segment it allows you to personalize content according to your audience’s location, or job. The success of email marketing lies in its ability to provide customers with what feels like a custom experience so even something as simple as sending them industry or location related content can go a long way.

Segmentation by Interest Groups

When you sell a range of products segmenting according to consumer interest is crucial. This may seem like a daunting task, but all it really involves is looking back at what customer interacted with what products. Most of the time your consumers will self-select which interest groups they subscribe to, making the process of segmentation easier. Another method that can be used to find out where interests lie is by creating different lead generation offers. These can take the forms of eBooks, white papers or other offers that require an email address in exchange for access to the content. Not only will this help you segment, but it may also draw new audience members.

Segmentation by Subscriber Activity

Just like all customers aren’t going to be interested in the same products, they all aren’t going to have the same levels of engagement. Segmenting according to their activity levels ensures that the customers who want more engagement get it while those that prefer a more laid-back approach aren’t bombarded with emails they won’t read. Those who are less active can be moved to a list and sent an email asking them to confirm their subscription. If they do not respond, they are removed from your list. Purging your lists every so often is important because most email marketing platforms charge according to the size of your subscriber list and the number of emails you send per month. This ensures that you are only sending emails to people who actually want to receive them and are more inclined to move through the sales funnel.

Our platform here at Marketing Armor has all of these segmentation options plus more. If you have any questions about customer segmentation or would like to learn more about our platform click on the banner below to schedule your free 30-minute consultation with us.

*MailChimp Study

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