Do your customers hardly read your emails? Then you should create a targeted email marketing campaign.
Contrary to popular opinion, this marketing strategy isn’t reserved for only big brands or companies. Every business that wants to increase revenue and expand its customer base must leverage targeted email marketing.
Revenue gotten from email marketing is expected to reach $11 billion by the end of 2023, which shows that email marketing remains one of the most powerful marketing strategies because it gets customers with the right information at the right time.
Need help with creating a targeted email marketing campaign? Don’t worry. This article will examine the meaning and benefits of targeted email marketing and how you can build the perfect campaign to grow your business.
Targeted Email Marketing: What Does it Mean?
Targeted email marketing uses data-driven digital technologies to send targeted emails to a specific audience to create brand awareness, expand the customer base, increase sales, and boost business revenue.
Research shows that people send and receive over 306 billion emails daily. However, email inboxes can get overwhelming. Users who receive unrequested email messages usually mark them as spam or delete them altogether.
Instead of sending random promotional emails to your contacts, targeted email marketing helps you identify people who have shown interest in the product or service and then send personalized messages to meet them wherever they are in the sales pipeline.
Using email list segmentation, you can group people into different categories and send them relevant messages that cater to their needs. You can categorize recipients based on location, gender, interests, age, and other factors.
This tactic helps to create more loyal customers and increase sales. Targeted email marketing helps to generate high-quality leads faster than other marketing strategies.
Why Should You Focus on Targeted Email Marketing?
Targeted email marketing is essential because it focuses on a specific group with similar characteristics. Here are the benefits of targeted email marketing you shouldn’t miss out on:
1. High Response Rate
This study shows that personalized emails generate six times more transactions than generic ones. When you customize emails for a specific audience, from the message, style, and images used to the send time, they’re more likely to read and respond positively. Increased open rates lead to higher conversions.
2. Increases Revenue
Targeted email marketing is one of the most powerful marketing strategies to increase revenue. Customers who receive email offers spend 138% more on purchases than those who don’t. Plus, email marketing ROI is over 28%, which is 4x that of direct mail marketing.
The beauty of targeted email marketing is that it’s the easiest way to increase revenue without spending so much, unlike other traditional media channels.
3. Boost Customer Retention
Email marketing is one of the easiest ways to build a customer base and retain current customers. When you send targeted emails to an audience that solves their pressing needs, you establish yourself as an authority figure and a reliable brand.
4. Sends the Right Messages
Targeted email marketing helps you to send the right messages to people that need it the most. It’s not enough to build a contact list. Contacts on that list could be from different demographics and have other priorities. Sending the same generic email to all of them will not yield the conversion you want.
Targeted email marketing uses segmentation to help you directly deal with clients when it’s needed.
For instance, if your client spends so much time browsing through your online perfume collection, a targeted email campaign could either discount the products or inform the client when the store adds a new perfume to their collection.
5. Builds and Strengthens the Customer Relationship
Email marketing strengthens customer relationships due to the several one-on-one, personalized interactions. People want brands that help them achieve their pressing needs, which is why big brands can sustain their reputation and brand identity for a long time.
Customers build trust faster when the brand has displayed knowledge, expertise, and professionalism.
Now that you know the benefits of targeted email marketing, how can you incorporate it into your brand’s overall marketing strategy?
How to Create the Perfect Targeted Email Marketing Campaign
Targeted email marketing is effective but more challenging to carry out than it sounds. To effectively target your desired audience, here’s what you should do.
1. Who is Your Audience?
The first step to creating successful targeted email campaigns is identifying your target audience, and it’s the most critical step. When you know exactly to who you’re sending targeted emails, you know how to craft them to solve their pressing needs and offer customized recommendations. If you miss this, your entire campaign will be a flop.
How do you identify your target audience? Get as much information about them as possible. If you already have an email list, you can quickly get valuable information from the signups.
Another way to obtain such data is to go through their customer accounts. However, think of the people you designed your product or service for in the absence of either.
Look at basic information about them, such as their gender, age, location, general interest, income, and the like.
2. Gather As Much Data As Possible
While it’s possible to use basic information to create a simple targeted email campaign, you may not get the right results as your business scales.
Depending on your marketing objectives, you may need more than rudimentary information to target the appropriate audience. Collect additional user data that can help narrow down your target audience. The most effective targeted email marketing campaigns use complex data.
How do you do this?
If you don’t have an email list, start with user accounts. Before doing this, examine the terms and conditions on your company website to ensure that you’re not breaching any laws. Search their most recent purchases and determine where they spend their time.
Figure out their purchase frequency. This number can help you to know how to finetune your marketing strategy. If your company needs more data, do your research elsewhere. Social media is an excellent place to start.
3. Segment Your List
Now that you have established your target audience, it’s time to segment the list. The most successful targeted email marketing campaigns use complex segmentation strategies to achieve the best results.
You need sophisticated data to target the right audience or you’ll keep moving around in circles.
When you have gathered information such as name, location, gender, purchase history, reasons for signups, product preferences, and spending patterns, you should segment the list based on these categories.
Note that segmentation is not a one-time process. You must constantly refine your segmentation process to meet your marketing phase.
The initial segmentation phase usually involves grouping customers when they signup on to the website. You can set up subscription forms at strategic places on your website because the people signing up to seek information about your company may differ from those signing up to buy products from the store.
4. Select the Best Email Marketing Tool
You know the famous saying, “You’re only as good as your tools.” Targeted email marketing can be hard when you’re not using the right tools.
Apart from identifying your target audience, a crucial decision is the choice of email marketing software, tool, or service. Their features largely determine the success of your marketing campaign. Choose a tool or software that can help you to achieve your objective, depending on the scale of your campaign.
If you’re using a service, you can pay them per use or monthly and input the data. You can monitor the metrics and create a stable workflow using automation software. Suppose you’re unsure of where to start.
In that case, you should hire an excellent data-driven digital marketing agency like FrescoData to give you the best email marketing results with regular segmentation and retargeting.
5. Data Integration
Targeted email marketing campaigns run on data. You must input the right data into the email marketing software to get the right results. Your marketing campaign will flop when you send targeted emails to customers based on the wrong data. It’s a garbage-in, garbage-out system.
The best thing you can do for your marketing campaign is to integrate your email software with client data to ensure that the data is always accurate and relevant. To do this, you need to obtain the correct data.
If you work in e-commerce, it’s relatively easier to get complex data like purchase behaviors and history compared to other industries.
For others, you can obtain information from web forms and signups and even utilize customer relationship tools to obtain data about previous customer behavior.
6. Create Customized Content
You shouldn’t use the same content for different targeted email marketing campaigns. Contacts in segmented email lists require unique content that meets their needs. Some email lists are segmented on location; others are based on purchase decisions or other factors.
The key here is to create personalized content. This type of content starts with the subject line because studies have shown that personalized subject lines increase email’s open rates by 26%. People want to feel seen and heard, not grouped under some statistic. Personalize your email and watch your revenue hit through the roof.
Also, send messages at the right time, depending on your target audience.
7. A/B Testing
It’s impossible to predict the results of a marketing campaign accurately. Even if you’re given all the tips in this article, you will need to finetune your strategy from time to time. Testing and analyzing is the only way to perfect your email marketing campaign.
There are eight critical targeted email marketing metrics you should concentrate on: open rate, bounce rate, clickthrough rate, unsubscribe rate, total ROI, list growth rate, email sharing, and conversion rate.
These metrics help you to determine the effectiveness of an email marketing campaign. Look closely at these metrics and see where you’re falling short.
When you do A/B testing in email marketing, you compare two campaigns to see which performs better based on these metrics and analytics.
Let FrescoData Build the Perfect Targeted Email Marketing Campaign
Setting up a targeted email marketing campaign is more challenging than it sounds. It requires consistent, dedicated efforts to get the results you want, depending on the scale of your marketing objective.
Instead of bothering about metric measurement and analytics, you should hire a renowned data-driven digital marketing agency like FrescoData to do the job for you.
With our extensive database of prospects’ information, we will help you to build a segmented email list and send targeted emails to the right audience using the right analytical and automation tools.
We are the best amongst our competitors because we help our clients expand their customer base by targeting people they never even thought of. Contact FrescoData today and watch your business revenue soar.