How Targeted Email Can Drive 27% of Your Client’s Revenue

Wed Jun 7, 2017

Rachel Cagle

Emailed-triggered purchases made up 27% of 1,000 U.S. companies’ revenue during the last quarter of 2016. That’s what Klaviyo discovered after reviewing 1.5 billion emails sent by these surveyed companies. That 27% equaled more than $230 million. Yeah, email can be that successful if your clients know how to use it.

The key to successfully harnessing the power of email marketing is to utilize the tag team of segmented and automated emails.

Segmented emails, or select emails that are sent to specific individuals, are the ones that will have the greatest chance of being opened and responded to. When selecting the receivers of these emails, your clients need to do some research to find out just who their engaged contacts are. Your client’s engaged contacts are the people who have a steady history of opening the emails they have received from your clients in the past. Have the list? Good.

Now, your clients need to divide these engaged contacts into segments. The more segments the better. This process will customize the information inside your clients’ emails to ensure the customers are reading emails with content that is as suited to each of them as possible. You’d think that narrowing your clients’ mailing list so much would inhibit the email campaign’s success, but you’d be wrong. Klaviyo’s survey showed that the campaigns that catered to less than 25% of all of the company’s stored email addresses did better than those that sent traditional email blasts to 75% or more of the total email addresses. The smaller, more targeted campaigns saw higher open rates (18.29% vs. 12.93%), click-through rates (2.17% vs. 1.33%) AND revenue per recipient ($0.17 vs. $0.11).

Automated emails (email prompted by customer’s actions) were even more successful, according to the study. Successful automated emails are triggered by customer activity such as leaving items in a shopping cart, buying items from specific collections, and shopping stagnation. Of these, the category that brought in the most revenue was the discarded shopping cart. The resulting revenue from these emails in the fourth fiscal quarter ranged from an average of $498.74 for companies with revenues under $100,000 revenue to an average of $218,340.83 for companies with over $10 million in revenue.

Large or small, your clients can benefit from well-tailored email campaigns. Share the magic of segmented and automated emails with them today!

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About Rachel Cagle

Rachel is a Brand Research Specialist at SalesFuel. She holds a Bachelors in English from The Ohio State University. She specializes in major accounts research for AdMall.

View all posts by Rachel Cagle
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