Email marketing has an ROI of 3800%, but for the best marketers, this is just the beginning.
In this article, we explore how big data and hyperpersonalisation can be harnessed to create targeted communications to customers, bringing businesses unprecedented increases in ROI.
Big data and personalisation
We already know that personalised emails are more likely to be opened and have significantly higher transaction rates than ‘business-as-usual’ emails. We also know that personalised emails with strong list segmentation are highly effective in increasing email revenue.
Yet despite the fact that more than 94% of marketers believe that personalisation is vital to email marketing success,less than 5% of companies use it effectively. In reality, we’ve barely scratched the surface of what’s possible. Consider for a moment the immense amount of data available on each person. It seems absurd that less than 1% of it is analysed, and that’s where most marketers are falling behind. Every site you visit, video you watch and product you browse forms a vivid picture of you as a consumer. When marketers know a customer’s wants, needs, location and how they behave online, there’s potential for hyperpersonalised communication. And this will certainly yield impressive ROI.
The benefits of hyperpersonalisation in email marketing
Below are 4 advantages of using hyper-personalised strategies in your email marketing campaigns.
- Increased conversion – Messages tailored to specific subscribers get results because the email’s content resonates with them on a personal level. Conversion can also be improved when accompanying content and landing pages are personalised.
- Streamlined, easier conversion – When an email is properly personalised, the content will not only reflect the subscriber’s interests, but it will learn from their past actions, ensuring only new (but still relevant) content and offers are featured.
- Send fewer emails but achieve better results – Long gone are the days of effective ‘blast and hope’ emails. When your email’s content is specific and targeted, strong open rates can be expected because your lists are high quality and rich with personal information that can be used for future communication.
- Build loyal audiences – You know so much about your subscriber, so when you thank them for their support, you can use real data. For example, this email from Spotify collates the subscriber’s listening data into a completely individual piece of personalised content. This shows the subscriber that they are valued, significantly increasing their loyalty. Considering that loyal customers are worth up to 10x as much as their first purchase, this can be a highly profitable exercise.
How to kickstart your hyperpersonalised strategy
Here’s how you can kick your emails into fifth gear.
- Plan – Effective hyperpersonalisation requires many parts to come together. Ensure your goals are clear and your team is on board with your plan to achieve them in your email campaigns.
- Optimise sign up forms – Your personalisation is only as effective as the information you have collected on your subscribers. So, optimise your form questions and use smart fields when possible to maintain accurate data.
- Segment your lists – Segmentation is a powerful way of sending relevant and hyper-personalised information to specific subscribers. Lists can be segmented by categories (e.g. gender, age, interests) or dynamic fields (e.g. behavioural and customer data such as purchases).
- Use the best email software – There’s no substitute for high performing software. When selecting your platform, opt for a system that supports your personalisation plan and has the scalability for important integrations.
- Take advantage of integrations – Integrating your email software with your eCommerce platform and customer relationship management (CRM) system will streamline your processes by seamlessly providing you with unique data necessary to hype-personalise your campaigns.
- Leverage APIs – For more complex personalisation, utilise all available databases by using an application program interface (API) to pool data and maintain accuracy across systems.
In the age of big data and the internet of things (IoT), those who can leverage the tidal waves of information into targeted email marketing strategies will gain significant competitive advantage in their industry.
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