Still making excuses for not segmenting your e-mail list? Jeanne puts four to rest.
Best Buy has a successful new strategy that produced an 8.4 percent increase in in-store sales for the last quarter, including an impressive 30 percent revenue increase in one California store. It’s profiling its customers, identifying the most profitable segments, reconfiguring its brick-and-mortar stores, and retraining in-store associates accordingly. So what does this have to do with email?
Best Buy is taking online concepts, which are the foundation of great email marketing, and applying them offline. The lengths it’s going to are impressive. For its "Barry" segment, which represents wealthy professional men, it’ll add leather couches to some stores to create a comfortable environment for watching large-screen TVs and listening to high-end sound systems. Stores targeting "Jills," who are soccer moms, train sales associates to help customers without using such terms as "gigabytes" and "megapixels," which may be intimidating.
These changes are a major capital and training investment for Best Buy. It’s much less expensive to implement this type of strategy with email. So why don’t more organizations, even big ones with household names, do it?
I was curious to see if Best Buy was pursuing a similar customer profile strategy online; it appears to be. Questions about how I use my computer (work, digital photos, gaming), how knowledgeable I am about technology, and whether I visit consumer electronics stores just to browse would seem to give the company the necessary information to segment me. I look forward to seeing what email it sends me based on my profile. And coming from someone like me, who already gets more email than she can read, that in itself is a victory.
Want more email marketing information? ClickZ E-Mail Reference is an archive of all our email columns, organized by topic.
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Jeanne Jennings is a 20 year veteran of the online/email marketing industry, having started her career with CompuServe in the late 1980s. As Vice President of Global Strategic Services for Alchemy Worx, Jennings helps organizations become more effective and more profitable online. Previously Jennings ran her own email marketing consultancy with a focus on strategy; clients included AARP, Hasbro, Scholastic, Verizon and Weight Watchers International. Want to learn more? Check out her blog.
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