How to Boost Your Email Revenue with Better Segmentation

How to Boost Your Email Revenue with Better Segmentation

Email segmentation is one of the most powerful strategies eCommerce brands can use to drive more revenue. Instead of sending the same message to your entire audience, segmentation allows you to tailor emails based on customer behaviour, preferences, and demographics—leading to higher engagement and conversions.

In this guide, we’ll explore how segmentation can boost your email marketing revenue and how to implement it effectively.

1. Why Email Segmentation Matters

Generic email blasts often result in low open rates, poor engagement, and high unsubscribe rates. Segmentation helps brands send relevant, personalised content, increasing the chances of recipients taking action.

According to research, segmented campaigns achieve:

  • 14.31% higher open rates

  • 100.95% higher click-through rates

  • 4.65% lower unsubscribe rates

By targeting the right audience with the right message, you maximise email marketing ROI.

2. Key Segmentation Strategies for eCommerce Brands

Here are some data-driven segmentation methods to enhance your email strategy:

A. Segmentation by Purchase History

Understanding what your customers have bought in the past allows you to:

  • Recommend complementary products

  • Send replenishment reminders for consumable goods

  • Reward repeat customers with exclusive offers

Example: If a customer purchases a skincare product, you can send an email suggesting related items, such as serums or moisturisers.

B. Segmentation by Engagement Level

Subscribers interact with your emails at different levels. Group them based on their activity:

  • Highly engaged: Frequent openers and clickers—send them VIP deals.

  • Moderately engaged: Occasional openers—use limited-time offers to encourage engagement.

  • Inactive subscribers: Haven’t opened in a while—try re-engagement campaigns.

C. Segmentation by Browsing Behaviour

Track what products customers are viewing on your website and send personalised follow-ups:

  • Abandoned cart emails for users who left items without purchasing

  • Browse abandonment emails suggesting products similar to those they viewed

D. Segmentation by Customer Location

Geo-targeted campaigns allow brands to:

  • Promote location-specific deals

  • Adjust email send times based on time zones

  • Highlight in-store availability for nearby customers

E. Segmentation by Customer Lifecycle Stage

Identify where customers are in their journey and tailor emails accordingly:

  • New Subscribers: Welcome series introducing your brand

  • First-Time Buyers: Special offers to encourage repeat purchases

  • Loyal Customers: Exclusive discounts and loyalty rewards

  • At-Risk Customers: Win-back campaigns for those who haven’t purchased in months

3. How to Implement Segmentation in Your Email Strategy

To make segmentation work, follow these steps:

Step 1: Collect and Analyse Customer Data

Use analytics tools and email software to gather data on customer behaviour, purchase history, and engagement trends.

Step 2: Define Your Segments

Create groups based on data insights. Start simple and refine as you gain more insights.

Step 3: Personalise Email Content

Use dynamic content to tailor emails for each segment. Address recipients by name, recommend relevant products, and adjust messaging to suit different audiences.

Step 4: Test and Optimise

Run A/B tests on segmented campaigns to measure effectiveness. Test subject lines, CTAs, email layouts, and offers to find what resonates best.

4. Conclusion: Start Segmenting for Higher Email Revenue

Email segmentation is no longer optional—it’s essential for eCommerce success. By targeting the right audience with tailored messaging, you can significantly boost revenue and customer loyalty.

Are you ready to optimise your email marketing strategy? Our team can help you create high-converting segmented campaigns that drive results!