How To Squeeze More Juice From Your Customer Data?

datafying How to squeeze more juice from your customer data for your online store

Photo Credit = Jessica L Wyatt@Flickr

Online stores primarily collect email addresses by 2 methods.

A, Subscribe Form for e-Newsletters (Sadly, not all online stores do that.)

B, Login Form for all purchases made

Let’s assume you have 300k email addresses captured by your login form where the majority has already purchased from you. All good!

And, there is always a small number of people who left without finalising their purchases. These are your abandonments. Let’s assume you have 10k email addresses in this segment.

Then, the subscribe form might contain existing customers and prospects. Let’s assume you have 100k email addresses captured by this form. Some of these email addresses might belong to existing customers.

With the above, it is possible to identify at least 3 segments for targeted and personalised communications without crossing over each one. So that, you can communicate with your targets accordingly.

A, Existing customers – you know what they purchased, when they purchased, how much they purchased and how often they purchased etc. You can do a lot of fancy stuff with these data. For example, you can identify your best customers to effectively communicate with them and make sure they are happy.

B, Prospects – these people have not made any purchase yet. Chances are that they are quite likely to buy from you in the near future. How you effectively communicate with this segment is the key to win. We have noticed that many online stores are merely sending the same promotional offer to everyone they can reach out.

C, Abandonments – people in this segment are more likely to buy from you as it takes more effort to create an account than signing up for newsletters. But, you will need to act quickly before they lose interest in buying your items.

The benefit of segmenting your email base is that it allows you to communicate with your customers and prospects in a more personalised manner. Again, emailing the exact same offer to your entire base is not recommended as we know everyone is different. We have seen too many emails hitting inboxes with irrelevant offers. We understand that “the send it all approach” is easy. It is easy to fail too.

Here is only one of many ways to use customer data to grow your online business. Stay tuned! We will have more for you shortly.

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