E-mail marketing and e-commerce: finding the right balance in segmentation and retargeting

E-mail marketing and e-commerce: finding the right balance in segmentation and retargeting

May 17, 2011  inspiration

 
 

The retail industry has been subject to many changes in recent years. An increasing number of retailers uses digital channels for marketing purposes and e-commerce is being adopted by a growing number of retailers. Between the brick and mortar businesses and the e-commerce pure players, there is a broad range of businesses using online methods to sell their goods and services.

In their communication efforts, many retailers have been moving from mass communication to personalization. The same strategies have been applied to the shopping process with a focus on personalized offers, based among others on behavioural and transactional data, gained through a cross-channel and integrated CRM and marketing approach.

Cross-selling, up-selling, replenishment and abandoned cart remarketing

By using transactional and behavioural data, retailers can launch new campaigns via the appropriate channels, in this case often e-mail, for cross-selling and up-selling purposes. Furthermore, the use of integrated interactive marketing, CRM and interaction platforms enables them to address abandoned cart or other "uncompleted flow" issues and thus improve ROI by converting the prospects that are already using their web sites.

Although it's far from new and not only used for e-mail marketing, retargeting (or remarketing as it is also often called) plays a significant role in the e-mail strategies of retailers with a strong online presence.

Simply said, retargeting allows businesses to create personalized and contextual messages that aim to improve conversion, engage shoppers that abandon carts, run replenishment campaigns based on the product life and provide targeted offers based on behavioural and transactional data.

Retargeting, that is also used in online advertising, enables you to generate more revenue every time the buying cycle comes to an end. Keywords are conversion optimization (recovering abandonments), up-selling and cross-selling.

Segmentation and patterns: avoiding irrelevant e-mail remarketing messages

As is the case with segmentation and behavioural profiling, it's important to use the right data to address web site visitors in a relevant way. All too often, businesses personalize their offerings, cross-selling and up-selling messages and retargeting activities depending on minor data changes or behavioural actions.

This way they often send prospects and customers annoying messages that even harm their reputation. Consumers are smart and they increasingly now when their data are being used for personalized actions, whether it's in online advertising or via e-mail. Note that it's good practice to explain on your site how data are collected (cookies for instance) and will be used.

It makes no sense to target segments for remarketing or up-selling actions based on just a few transactional data for instance. People don't always buy for themselves. If someone buys a specific product it can be for his proper use but also for a family member or friend. To avoid sending messages and offering promotions that are absolutely irrelevant for the customer (and thus are annoying) it is important to combine several data to optimize retargeting and commercial messages in general.

What you want is detect patters and this requires a closed-loop and cross-channel data driven approach that goes beyond simple segmentation parameters such as a single purchase.

Finding that delicate balance of relevance (and thus improved conversion) is a challenging task for every retailer. In retargeting and remarketing as well.
Selligent Interactive Marketing offers all the tools and features to make this task easier and improve conversion by using the proper behavioural profiling and integrated marketing and CRM features for retailers.

Interested in retail? Read how Selligent helps Neckermann. com become a multi-channel e-commerce business.

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