Segmenting Your Customer Database

Segmenting your customer database into types of customer, products of interest, region or other variables will greatly enhance your email marketing campaigns.

You know yourself how frustrating it is to receive email newsletter inviting you to an event happening in a completely different part of the country or promoting a service which is completely irrelevant to your needs.

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By creating versions of your email marketing campaigns aimed at specific groups of customers, you will avoid alienating your customers and get much higher click through rates and sales from your email newsletters.

What Type of Email Segmentation Works?

The most effective database segmentation will vary depending on your business and target markets. Here are some common examples…

• Geographical region – It could be by city so people in the area where your business is located are encouraged to come into your store whereas, customers outside the area are directed to your online shop
• Age Range – If you are selling products suitable for different age groups, you might want to highlight different products in your email campaigns to these groups of customers
• Products/Brands – If you know which products your customers have bought or clicked on in a previous campaign, it makes sense to send them more info or products related to that interest
• Gender – If you’re selling toys, imagine the effectiveness sending emails featuring toys for girls to parents of girls and vice versa to parents of boys. The same applies to clothing and a range of other retail items.
• Product Use – Think about the different types of customers you have, some might be professionals and others home users. If you’re selling kitchen products, chefs and restaurants might want different information than home cooks.

How to Segment Your Customers

There are several ways to find out more about your customers and what they like so you can customise your database and target your email marketing more effectively.

• Ask Customers in Person – This is an obvious one but often overlooked. When customers make a purchase in your shop or attend an event, make sure you don’t just collect their name and email. Add them to relevant customer groups, make a note of products they bought and ask them about themselves.
• Collect Information on your Website – make sure you have an email signup form on your website to collect customer details. Your shopping cart and enquiry forms should also be linked to your email database so customers are added automatically when they make a purchase or enquiry.
• Use a Smart Email Programme – I use Mailchimp to manage customer databases and send email campaigns. Using this programme, you can automatically segment your customers by region. You can also use reports and website statistics to target customers who have clicked on a link in a previous campaign or made a purchase from your online store.
• Give Customers an Incentive – If you already have a large customer database, the thought of segmenting each customer into relevant groups and interests sounds like a nightmare. Instead offer them an incentive to update their details themselves. This can be done easily using the Mailchimp programme.

Start thinking about how to best segment your customers  and the best way to collect that information. You can start small with just 2 versions of each email newsletter you send and customise more as you get more confident and see the amazing results.

For help segmenting your customer database or sending targeted email campaigns, please drop into our office in Whangarei or get in touch by email or phone. More about Mailchimp Email Newsletters…