The recent Marketing Sherpa study entitled 2011 Landing Page Optimization Benchmark Report provides a perspective on how over 2,000 sampled email marketers are implementing various factors in their landing pages. This report provides insight critical to the achievement of any Home Improvement business’s email campaign goals. The study showed that various segmentation tactics utilized by email marketers have varying levels of effectiveness:
Past Purchase History: 48%
The most effective category is segmentation of your customers according to what they’ve previously purchased. In order to take advantage of this highly fruitful segmentation it is important to categorize your subscribers according to the type of products they have ordered in the past. If they are primarily tool & hardware buyers, you will find that they have a very different customer profile than the individuals who buy lawn & garden, home décor, appliances or even building materials. Their invoice size will also inform you of whether they are weekend DIYers or professional contractors: a determination that will enable you to provide the email content most suited to the type and volume of products they require from your Home Improvement business.
The Home Improvement sector is by its inherent nature a seasonal one. Lawn & garden spikes in the spring and summer, while interior remodeling and indoor hobbyist supplies such as Dremel tools surge in the winter when your customers are stuck in their homes. Segmenting your customers according to the time of year that they click-through to your site will demonstrate to you the kind of content your subscriber is going to be most interested in and, most importantly, the time of the year when they will be susceptible to your offers.
Site Browsing Patterns: 34%
Where they go on your website and how much time they dwell on each section can divulge a wealth of information about a customer’s interests and likelihood to convert to a purchase on a specific item. The data you collect through Google Analytics or other similar functions can allow you to understand that the purchaser of the $30 Ryobi 9.6-Volt Cordless Drill spent several minutes on the Milwaukee M28 Cordless 28-Volt 1/2 in. Hammer Drill page. You can take a direct action and provide this customer a 10% discount on that specific drill that will drop the price from $600 to $540 and may motivate them enough to take the plunge.
Geographic Origin: 33%
Segmentation according to where your customer is located is another powerful factor to take into consideration. The customer who lives across two county lines is going to have to be incentivized to a far greater degree than the one who resides within walking distance. The further away your customer lives the more competitors are closer to them, so you will have to offer outstanding advantages to secure their business. The customers who live closer to you won’t require such powerful incentives, so you can crank back the deep discounts on the $8,000 GE Profile stainless steel 25.2 cubic foot side-by-side refrigerator and the two for one offers on batts of pink fiberglass insulation when emailing to them.
Device Type: 26%
The way that your customer accesses your emails is also an important factor in the segmentation process. Access from a smartphone indicates a different customer profile than a tablet, which is also quite different from a desktop or laptop computer. Correlating the types of devices your customers utilize to their purchasing patterns can help you determine whether a smartphone user is more likely to be in the market for lawn tractors or bidets.
Returning vs. New Visitors: 24%
This segmentation category had the lowest effectiveness of all the factors measured. Whether this is a prospect’s first visit to your site or if they are habitual frequenters should not be ignored, but it seems to not make as much of an impact as some of the other factors.
The study proves that segmentation is an essential crux of any email campaign, and by structuring your segmentation according to its findings you can measurably increase your overall promotional efficiency.