Myths and Facts About Targeting and Personalizing Your E-mail Promotions

Target E-mail Promotions: Sending e-mails with relevant content to a specific group of people based on one or more criteria. This involves selecting a target market, identifying their needs and creating e-mail promotions to address those needs.
Example 1:
Target market: Mothers with children younger than 24 months
Need: Diapers, wipes
E-mail Promotions: Buy a year’s supply of diapers and get a 3 month’s supply of baby wipes absolutely free

Personalized E-mail Promotions: Sending e-mails that include personal information, such as name, age and other general preferences of the customer, along with the sales promotion. This involves getting personal information from users, analyzing the information, and using it effectively within the e-mail promotions. Then, at the time of delivery, integrating the e-mail promotions and the personal information.
Example 2:
Personal information: Name
E-mail promotion: Dear Susan, etc.

Target and personalized e-mail promotions are possibly the two most dramatic ways of increasing your e-mail response rates. However the case, a recent report by JupiterResearch analyst David Daniels found that only 4 percent of marketers personalize e-mail promotions. As shocking as this statistic may be, there are several myths about targeting and personalizing e-mail promotions that encourage resistance from most businesses. The only way to really maximize the potential of target and personalized e-mail promotions is to highlight the payback and the benefits.

Here are some myths about and benefits of target and personalized e-mail promotions.

Myths about & benefits of target and personalized e-mail promotions

  1. Myth 1: Target and personalized e-mail promotions are very expensive.
    Fact: Target and personalized e-mail promotions are CHEAPER than sending out mass e-mails.

When you decide to send out targeted e-mail promotions, the pool of customers is automatically reduced. This means that the cost of e-mail delivery, in terms of bandwidth and server resources, is also reduced. Also, if you are using a third party e-mail service provider that charges on the basis of number of e-mails sent, this is a much cheaper option. Additionally, because the e-mails are sent to a target group the ROI increases significantly.
Obviously because of the increased ROI, the cost per e-mail also decreases significantly. Thus, target and personalized e-mail promotions are actually cheaper than sending out mass mails.

  1. Myth 2: It costs a lot to set up the software to send out targeted and personalized e-mail promotions.
    Fact: Extremely sophisticated software that allows for targeting and personalizing e-mail promotions are available for as little as $50 / month!

There was a time when customization of any kind meant spending big bucks. With the advancement in technology, things have become much cheaper. Well-established and reputed software providers are providing e-mail solutions at very low costs. In fact, e-mail promotions are possibly the cheapest marketing option available to small businesses.

  1. Myth 3: Personalized e-mail promotions are an infringement on the customer’s privacy.
    Fact: Personalized e-mail promotions indicate to the customer that the e-mail is from someone they know and recognize.

The fact that you have personal data of the customer and are using it in the e-mail promotion indicates to him or her that at some point, they did indicate an interest in your products and services. Infringement occurs in cases when websites sell the customer’s personal information to other websites without the customer’s permission. So, personalized e-mail promotions are in fact the exact opposite of infringement. They are a reaffirmation of an already existing relationship.

Tips to make your e-mail promotions a success

Target E-mail Marketing Tips

  • Target customers who have already bought from you before by trying to sell them an upgrade.
  • Cross-sell complementary products to customers who have bought from you before. Example: Sell diapers and rattles to a mother who recently purchased feeding bottles and bibs.
  • Use thank you promotions to target best buyers. Example: For a customer that buys $500 from you every month, try sending them a thank you promotion that says if you purchase $750 in the next month you will receive a FREE gift / holiday / discount etc.
  • For window shoppers who have failed to make a purchase use a ‘first purchase bonus’ scheme. Example: Get $50 off your first purchase today!
  • Target customers based on their interests, geographical location, age, life role and profession. In fact, if you have the relevant information, you can use any criteria at all to create a target group.

Personalized E-mail Marketing Tips

  • Don’t overuse the customer’s personal information and certainly don’t get too casual.
  • Never use the information to mislead the customer into thinking that the e-mail is from someone he or she knows personally.

The biggest hurdle you will face with target and personalized e-mail promotions is collecting the actual information. Giving away freebies like white papers, special reports, handbooks and e-books is a great way to collect information from your customers. Target and personalized e-mail promotions certainly require some effort on your part. However, you’ll soon find that the payback is multifold and more than worth it!

-Stacie Leonard, Ecommerce Marketing/Copywriting

2 Responses to “Myths and Facts About Targeting and Personalizing Your E-mail Promotions”

  1. Robert

    It’s yet another case of less is more. Then again… More is less. The more focused you become the less you need to wade though. 100% correct!

    Reply
  2. Ron Thompson

    Great info
    I think that marketing the basics is still the best way . To many companies are going to big and lose out on good clients . I still market 100 clients at a time and it works just great .
    Thanks for the great info
    RT
    Ernest and Lee Gifts

    Reply

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