How Klaviyo Segmentation Can Personalize Your Email Marketing Strategy
Email fatigue is real. Who really enjoys having an inbox full of marketing emails for products, promotions, and announcements that would never interest you? When developing an email marketing strategy, you want to ensure that you are reaching a broad audience. However, when you send every piece of information to your entire customer base, you risk losing your customers’ interest and potentially their business.
Klaviyo improves the email marketing experience by providing a single platform for customer segmentation and content dissemination. This helps your emails reach the target audiences so your customers receive content that engages them on a personal level. Like all things, the more you use Klaviyo, the more advanced you can become, so let’s just start with some of the basics of segmentation for email marketing!
What are Klaviyo Email Segments?
Segments are simply groups of customers with shared characteristics. So to segment your customers, you must first have customer information. You may collect this information when a customer checks out, or if they opt into your newsletter.
Klaviyo provides you with a tool to create sign-up forms, which you can place strategically throughout your site, including the footer, sidebar, checkout page, or in the form of a pop-up. Once you have this information, you can create a segment by specifying a set of conditions that pertain to a customer’s actions, behaviors, or traits (we’ll get into that shortly). Klaviyo will then automatically fill these segments with customers who meet these conditions.
With Klaviyo, you do not need to continually update segments; they grow automatically as people meet specific conditions and move into additional segments based on the definitions you build. Customers may be in multiple segments simultaneously, but Klaviyo will not send them the same email more than once.
How to Use Klaviyo Segments to Reach Your Target Audience Every Campaign
You can create segments for practically any target audience with Klaviyo’s six conditions:
- What a Customer Has (or Has Not) Done: Customers can complete many actions while on and off your site including open an email, click an email, place an order, abandon a cart, and view a product. Select which action you wish to segment based on, the frequency of this action, and a time frame; for example: “Customer has clicked an email at least once in the past 30 days.”
- Properties About a Customer: To target specific demographics, segment based on information that you have collected about a customer, such as age, gender, or country. Klaviyo can even predict gender using a customer’s name and order information.
- Location: A customer’s region or proximity to a location is incredibly useful for alerting customers of events. You can also use this condition to promote weather-dependent products, such as coats or swimsuits.
- If a Customer Is (or Is Not) in a List: Unlike segments, lists are static. They only grow when people subscribe to them and shrink when people unsubscribe. Your largest list will likely be your newsletter. You can combine two or more lists or target specific lists for campaigns. If you do not constrain your segment to a list, Klaviyo will pull from your entire customer base, and you will likely send emails to customers who have not opted in to hear from you.
- If a Customer Is (or Is Not) Suppressed: Customers will become suppressed if the email bounces too many times, or if they have marked your emails as spam. You cannot send content to these customers.
- Predictive Analytics about Someone: By using a customer’s historic customer lifetime value (CLV), Klaviyo’s AI tool can predict how much a customer may spend, the time between a customer’s orders, and the customer’s churn risk.
Adding “and” and “or” joiners to your segments allows you to combine multiple properties. For example, your company can target customers who are in your newsletter, have placed an order in the past 6 months, are females, and are not suppressed. Learning how to segment your clients with Klaviyo is only the first part of the process. Once you have these segments, you need to put them into action by creating targeted email campaigns that will grasp the audience’s attention.
Valuable Klaviyo Segments for Your Email Marketing Campaigns
Once you have built your segments, you will create campaigns so that your consumers may begin receiving content via email or SMS. The target audiences for these campaigns can be as broad or as specific as you’d like. For each campaign, you must ask, “Who will be interested in this?” If you struggled to answer this question, you may want to consider experimenting with a combination of the Klaviyo segments below.
Engagement and Frequency Tier Segments
There are many ways to use engagement and frequency tiers. Organize your customers into segments based on how often they interact with your emails and how often they purchase off your site. Customers who engage with your emails frequently but have not placed a purchase may require a little incentive to take that next step. Let frequent purchasers know that you value their business with a Thank You campaign. You should also try to revive the loyalty of customers who have not placed an order in a while through a Win-Back campaign.
Group customers together who have purchased a specific item, but not related items. You can then promote these related items. For example, if someone purchases a bathing suit from your site, you may want to target them to promote other summer-related products.
Average Order Value (AOV) Segments
Segmenting based on average order value is useful for gauging customers’ potential budgets. You should also make an extra effort to keep the business of “high rollers.”
Segmenting based on customer actions within a window of time can reveal useful behaviors. If a customer tends to only place orders during December (before the holidays), this would be the ideal time to reach out via email regarding new products, brands, or promotions as you lead into the time period.
Companies can define VIPs however they see fit within their Klaviyo account. VIPs may be customers who place orders frequently or make large dollar size purchases. Let these customers know that you value their business by offering this segment special deals or early notice of promotions. This also serves as an incentive to persuade customers who wish to join your VIP group to place more orders. You can create a segment for potential VIP customers and let them know that they are almost there.
Klaviyo Segments for Analytics
Segmenting for analytical purposes helps you gain knowledge about your customer base and company performance. Klaviyo allows you to run engagement reports on specific segments to assess how those customers interact with your emails, how much they spent on average, and how long they have been engaging with your site. Additionally, if you choose to export a segment to a CSV, you can select to include several data measurements such as customers’ historic number of purchases, historic CLVs, and even predicted CLVs and churn risks. With this, you can compare the purchase histories of segments, and even gauge future revenues.
Keep Perfecting Your Klaviyo Segments
The segmenting strategies discussed in this piece are just a handful of many. Every company is unique, so effective segmenting will look different for each. Figuring out how to optimize your segments can be stressful—how do you know which segments really work best? Fear not, Premiere Creative has the knowledge and experience to build an effective email marketing strategy that suits your brand. If you would like expert help implementing Klaviyo for your eCommerce business, call Premiere Creative at (973) 346-8100 today!