The Role Of Personalisation In Email Marketing And How Software Can Help

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Email Marketing
Credit: forbes.com

The importance of customisation in email marketing cannot be overstated. Personalisation raises open rates and conveys to your audience your understanding of their wants and preferences. Motivating readers to act, it plays a key role in an efficient lead-nurturing approach.

80% of consumers, according to Epsilon’s research, think that having a personalised experience makes them more likely to buy something. The majority of marketing influencers name email segmentation and customised email messages as their most successful personalisation strategies when asked where and how customisation takes place. Those businesses that utilise email marketing tools for personalising emails are most likely to steal your clients.

The success of your email outreach will be entirely dependent on personalisation. So let’s understand how email personalisation is a critical component of a successful direct-to-consumer (D2C) business strategy.

Why D2C Businesses Need Email Personalization

Busy inboxes can make it difficult to hear what is essential. If you want people to open, read, and respond to your emails, personalisation is one method to make them stand out to them.

  1. Increased customer engagement: Personalised emails have higher open and click-through rates than generic emails. When an email addresses the recipient by name, they are more likely to feel a personal connection with the brand and are more likely to engage with the content. For example, a study by Experian found that personalised emails had an open rate of 29% higher than generic emails and a click-through rate of 41% higher.
  2. Increased conversion rates: Personalised emails are more effective at driving conversions compared to generic emails. Personalised emails that recommend products based on a customer’s purchase history or browsing behaviour have been shown to have higher conversion rates. For instance, a study by Epsilon found that personalised emails delivered a conversion rate 6 times higher than non-personalised emails.
  3. Improved customer loyalty: Email marketing tools help build trust and loyalty with customers through email personalisation. By providing relevant and tailored content, customers feel valued and are more likely to continue doing business with the brand. Personalised emails also help foster a sense of community and belonging, which is critical for building a strong and loyal customer base.
  4. Better ROI: Personalised emails have a higher return on investment compared to generic emails. The increased engagement and conversion rates result in a better return on the investment made in email marketing. A study by HubSpot found that personalised email campaigns had a return on investment of 122%, compared to a return on investment of just 28% for non-personalised campaigns.

Online email marketing tools make personalised emails go beyond just addressing the recipient by name. Several key components make an email truly personalised, including:

Address the Recipient by Name: A recipient’s name in the subject line and body of an email has been shown to increase open and click-through rates. Personalising the greeting with the recipient’s name, such as “Hi [Name],” can also help make the email more personal and relevant.

Segment Your Email List: Segmenting your email list based on customer behaviour, demographics, or purchase history will allow you to send more targeted and relevant content to each customer. For example, you might create separate email lists for customers who have purchased in the past 30 days, customers who have purchased in the past 60 days, and customers who have not made a purchase in the past 60 days. This will allow you to send different messages to each group, depending on their behaviour.

Recommend Products Based on Purchase History: Recommend products to customers based on their purchase history and browsing behaviour. This type of personalisation is effective in driving conversions and building customer loyalty. For instance, you might recommend similar products to customers who have recently purchased a particular item or suggest products that are frequently purchased together with a certain product.

Provide Value-Added Content: Personalised emails should promote products and provide value to the customer. This can include content such as tips and advice, exclusive offers and discounts, or personalised product recommendations. This content helps build customer engagement and trust, which can ultimately lead to increased conversions.

Use Dynamic Content: Dynamic content is a type of content that changes based on the recipient’s behaviour or preferences. For example, you can use dynamic content to display product recommendations relevant to each customer or to show different images based on the recipient’s location. Using dynamic content in personalised emails can help increase engagement and conversions.

How to Personalise Your Emails:

To start personalising your emails, follow these steps:

  • Collect Data: The first step in personalising your emails is to collect data about your customers. This can include their name, email address, location, purchase history, and browsing behaviour. The more data you have about your customers, the more effectively you can personalise your emails.
  • Segment Your Email List: Use your collected data to segment your email list into groups of customers with similar behaviours or interests. This will allow you to send more targeted and relevant content to each customer.
  • Create a Personalization Strategy: Decide what type of personalisation you want to include in your emails. This can include addressing the recipient by name, recommending products based on purchase history, providing value-added content, or using dynamic content.
  • Use Email Marketing Software: Online email marketing tools providers can help you automate personalising your emails. These email marketing tools offer a range of personalisation options, from simple name personalisation to more complex dynamic content.
  • Test and Optimise: Finally, it’s essential to test and optimise your personalised email campaigns. This can include A/B testing different types of personalisation, subject lines, and call-to-actions to see what resonates best with your target audience. Based on your testing results, you can make adjustments to your personalisation strategy to ensure you are achieving the best possible results.

Conclusion

Email personalisation is a critical component of a successful D2C business strategy. Personalising emails help increase customer engagement, drive conversions, improve customer loyalty, and deliver a better return on investment. By following the steps outlined above, D2C businesses can start personalising their emails and reaping the benefits of these powerful email marketing tools.