What is email segmentation? (+ 5 ways to make it work) |

Sep 12, 2022

What exactly is email segmentation? Segmenting emails can aid in increasing open rates, keep subscribers interested, and get to more mailboxes. Here's how it works.

What gives?

If you're sending each email to everyone on your list it's likely that you're causing the problem. Your list is comprised of people, and they expect you -- and every business they interact with -- to treat them accordingly.

This is the best part that you don't have to craft a laborious, personalized email to each subscriber.

Instead, use email segmentation. When you segment your list of email addresses, you can give recipients the information they want, which results in greater email engagement, less unsubscribes, and happy customers.

First, let's be sure we're on same page about how email segmentation works.

What exactly is email segmentation?

Segmentation involves splitting your subscribers' email addresses into smaller lists --- a.k.a. segments -- based on set criteria.

Instead of sending the same message to their entire list, email marketers can send more relevant email content to the subscribers in accordance with segments' demographics, preferences as well as purchase history and many more.

What is it that makes segmentation of emails important to your email marketing strategy? Read on to learn more.

The reason why you should use email list segmentation?

Marketing via email is among the most cost-effective and efficient marketing tools:

59% of marketers mention emails as their primary source of revenue.

Email generates 174% more conversions than social media.

The ROI of email marketing is of around $40 per dollar spent .

...but only if you use the correct method.

More than ever before people expect to have a customized experience whenever they interact with an organization, and email isn't an exception.

74% of marketers claim that personalization boosts engagement.

72% of people do not engage with messages that are tailored to their needs.

Relevant email campaigns generate 18x higher revenue than broadcasts that are generalized.

63% of users are greatly annoyed by the companies who send out generic messages.

51 percent of marketers who use email claim that email list segmentation is the most effective personalization tactic.

This is where segmentation plays a role.

Segmentation allows you to send various email messages to distinct users based on their interest or past behaviour, the place they are in the selling process, and more.

In other words, you wouldn't wish to send a welcoming email to a long-time loyal customer, or promote the date of a local celebration to someone from across the world.

Beyond annoying that one subscriber, you can even harm the delivery of your email.

The term "deliverability" refers to the number of your messages make it to subscribers' inboxes .

The email service providers (ESPs) as well as inbox service providers (ISPs) want to make sure that spam email doesn't end up in users' inboxes, so they monitor a range of metrics for engagement with emails about every sender, including:

The Doors Open

Clicks

Unsubscribe

Domain reputation

Bounces

Spam reports

To put it more simply In a nutshell: If your readers are able to open and then click on the hyperlinks in your emails, that's great to ensure that your emails are delivered. If they decide to delete your emails without reading them or flag them as spam, it can hurt your deliverability.

If you have too many spam complaints, ISPs can be able to block your emails altogether.

"Think of email engagement as a trust-meter. If you are sending emails that have significant levels of engagement, mailbox providers view them as trustworthy senders and award you with increased delivery rates," explains email compliance analyst Robert Colomberti .

What do these issues have to relate to segmentation?

When you divide your mailing list and send targeted emails, you will be able to create a list that are tailored to your subscriber's interests. If you're able to send pertinent, targeted messages, you'll stay clear of the primary reason individuals report email as spam.

In terms of delivery, engagement with email is about quality, not quantity. Segmentation lets you focus more on engaged subscribers as opposed to inactive subscribers who will not be customers.

"Sending emails to your contacts who are active means more positive email engagement as well as more favorable email engagement means better delivery," Robert shares.

Okay, now knowing the reasonemail segmentation is an essential feature now let's get into what.

How to segment your email list (5 expert email segmentation strategies)

The more data you collect about your contacts, the simpler it is to break down your list of email addresses.

This doesn't mean that you have to make endless emails just for the sake of it.

Yes, it's possible to overdo it by adding a segment to any demographic, geographic psychological, psychographic and behavioral criteria that exists .

However, the larger the segments you make and the bigger task you'll be able to handle in particular if you plan to distribute different email marketing campaigns to every group of customers.

Instead, focus on the uniqueness of each segment:

What influences their buying decision-making?

What makes them stand out from their peers?

What hurdles do they have to run in the course of achieving their goals?

What topics are they attracted to learning more about?

With those questions in mind Here are five effective methods to segment your email list beyond the geographic.

1. Provide lead magnets for them to find out their interests and needs

Once you have created several lead magnets, you can begin sorting your subscribers according to which lead magnet they download.

Take Ryan of Signature Edits  as an example. Signature Edits provides templates, presets and training for their target group of photographers.

Ryan recognizes that photographers run into various issues, which is why Ryan offers two lead-inducers including a copy of his candid posing guide as well as an free pack of photo edit presets .

After someone downloads one the lead magnets Ryan sends them follow-up emails to tell them more about how his services and his company could help them to succeed.

For example, if someone signs up for the presets for photo editing, Ryan knows that editing is a point of interest -- or even a pain point -- for that person. Armed with this information, Ryan can confidently promote the editing tools to that person.

Ryan is hosting his lead magnets through  the website, which makes it simple to create segments based on the lead magnets downloaded.

How it works:

On your dashboard, head over to The Email tab. Select "Create" and select "New broadcast".

Give your email a subject line. Next, select which recipients are going to receive your mail.

When you host an online product or membership, whether available for purchase or free, you are able to select the users who downloaded or purchased that product as the recipients.

Customers who (1) are subscribed to your email list or (2) have bought or downloaded the product will be notified via email. It's that simple.

Test it by yourself using a trial account.

If you're not able to create several lead magnets, don't fret. There are plenty of other ways to organize your list and include our next suggestion.

2. Personalize messaging according to their understanding stage

Another way to segment your mailing list is to look at which subscribers belong to the sales or marketing funnel.

Your marketing funnel maps a potential customer's journey from their first interaction with your company until they make a purchase.

Where a lead is within the funnel is based on how well-versed they are with your company or its products and how close to making a purchase decision.

Different marketers split their marketing funnels in different phases, which includes five stages of awareness: the five phases of awareness :

The truth is that they aren't aware:They don't know they have a problem.

The problem-aware person:They know they have an issue, but they don't know what to do about it.

Solution-aware:They know there are solutions but aren't aware about yours.

product-awareThey know about your productbut don't know what it is that will help them.

The most well-known:They know about your product and may be considering purchasing the item, but require more info.

If you can determine the awareness level of a subscriber or stage of awareness, you may send them personalized emails based on that information. (Personalized emails result in conversion rates 6 times higher than emails that are not personalized, so it's definitely worthwhile.)

A solution-oriented leader knows they can solve their issues, however they still need to learn about your product. Make use of your email content to boost confidence that you can help them meet their goal -as in this email template:

"Hi" [first nameHello [first name,

Are you a person who has struggled over your problem?

In the way that you feel [emotion].

If so, you're not alone.

Here's the fix:

      [Step 1]      

      [Step 2]      

      [Step 3]      

There's certainly a bit more however, it's not too much.

It's that simple.

Hallelujah for simple processes.

If you want to learn more about it, go to our link resources page.

      [signature]                                              Copy and paste to clipboard

What happens once a potential customer reaches the bottom of the funnel before becoming a client? Our next segmentation strategy is the best way to proceed.

3. Take into account their history of purchases

The upselling process encourages consumers to purchase the latest version of the product while cross-selling recommends a item or service that is compatible with the one they have already bought.

One creator who makes the most out of opportunities to upsell can be Reuven Lerner .

Reuven is an engineer in software who has transformed his training company that was based in the offline world into online classes for all level, including the "Intro Python" training course designed for novices.

"If there are a lot of classes -- beginning advanced, intermediate, advancedand you're able to create the opportunity for an upsell as if your customers really love the intro class They will beg for an advanced course... Then they'll tell you"You know what? I'm just going to buy all of it.'"

Reuven is able to target satisfied customers who have already taken his introduction course, and suggest to them sign up for a more advanced course. It's a staggering 75% of customers are more likely to purchase if they're provided with specific product suggestions.

In addition, building this kind of customer loyalty is an excellent for business:

52% customers go the extra mile to buy from the brands they trust.

Customers who have been customers for a long time are nine times greater likely be converted than a first-time shopper.

It can cost up to seven times more to acquire a new customer than to keep an existing one.

Similar to lead magnets, it is easy for creators such as Reuven to separate customers according to their purchase. When you are ready to create an email blast, simply select the name of the item under "Recipients".

Just like before, any customers who (1) have signed up to your list of email subscribers and (2) purchased the product will receive an email.

In a nutshell When you know what your subscribers have already bought (and loved) and loved, you can email them with specific recommendations, and convert your subscribers into loyal customers.

4. Use interactive media

Interactive content refers to all kinds of content that needs active involvement from its users. It's fast becoming one of the most popular and engaging types of marketing through content: 88% of marketers believe that content that is interactive aids them in distinguishing their brand from the competition.

Plus, interactive content produces nearly two times the level of engagement of static media.

The creator Minessa Konecky of Direct to Success makes use of interactive games to attract and meet potential leads.

Minessa has created a lead generation quiz " What's Your Business Blocker? ", by using an Interact Quiz Maker .

When someone has completed her test, Minessa segments them into the following three groups:

In a state of overwhelm:Small business owners who have too much on their plates and aren't certain how they can manage their time.

Professional midlife:Entrepreneurs who have learned what they should know but haven't figured out how to integrate actions to a strategy.

Perpetual procrastinatorsPeople who understand the steps to take yet aren't able to start by themselves.

Based on the group that each lead is a part of, Minessa moves them through the funnel through offering three courses that address their particular problems.

When her leads are near the bottom of the funnel, Minessa introduces them to her products and encourages them to make a purchase or join her club, The Squad Academy .

In bringing in leads through interactive content, Minessa creates a personalized experience starting with the initial email subscribers receive through the whole customer experience.

As we close out the session, I have one final segmentation method to show you -- and it's entirely thanks to my mother.

5. You can ask them to tell you what they would like.

The best advice I've ever received is "it always helps to ask." (Thanks, Mom!)

It's an excellent piece of life advice -that can be applied to figuring out what your audience wants also. A segmentation survey will help you determine the kind of content that customers want to see.

"Even conducting a simple survey will help you determine the curiosity, desire, or need of your customer," explains digital marketing professional Erik Harbison . "This can only help you identify a better strategy for the content you send out, your cadence as well as expectations."

Your welcome email is an excellent opportunity to inquire of the new subscriber what type of information they'd like to get. They're after all the best of the bunch in email marketing:

Welcome emails can have up to a 91.43 percent open rate .

Leads who are new to the market tend to be most interested within 48 hours after signing up.

Emails for welcome messages have in average four times the rate of open and five times the click-through rate (CTR) of an average campaign.

Use this welcome email sent by Sleeknote , for example .

The Sleeknote blog is focused on e-commerce marketing. However, their target audience comprises a variety of marketers and business owners. When new customers are asked to sign up and their email address, Sleeknote's Sleeknote marketing team is able to break the subscribers into four categories:

Ecommerce

SaaS startups

Agencies

Online marketing newbies

In return, customers get content that is specific to their needs and interest, which helps them make the most of the benefits of their Sleeknote subscription.

If you're concerned about offending your customers by asking for their opinions, bear in the mind the fact that 90% of shoppers are more favourable perception of companies that offer the opportunity for their feedback to customers.

The most important thing to remember is In the event of doubt, ask your subscribers about their needs. They'll likely be happy to provide you with their feedback.

Send your email marketing campaigns up a notch with segmentation

In the end it is clear that segmenting your email list is a stellar way to send the right message to the correct subscribers at the right date.

If you separate your list of email addresses, you can create an experience tailored to your needs that converts prospects into customers, and keep returning to get more.

In case you're wondering, here's five methods you can sort your subscribers into categories:

Make lead magnets that satisfy different needs, then segment based on which one your subscribers download.

Make sure your message is tailored to the place leads are in the marketing funnel. Use the stages of awareness in five steps -- and our handy templates -- to send email campaigns that hit home.

Use your customers' purchase history to provide individual product suggestions.

Create interactive content, like the quiz, which helps to better understand your leads and customers.

You can ask your readers what kind of content they would like to be receiving. A short survey can go a long way.

It may take some trial and error, but once you get you are comfortable you can expect to see your customer engagement, sales, and brand loyalty soar.