Email Marketing Example: Strategies for Reactivating Inactive Segments in Email Marketing
Posted: Tue Dec 03, 2024 9:09 am
In this post we want to share a possible approach to a reactivation strategy and the results obtained from a real case. The context is that of a pure player whose only sales channel is its e-commerce.
BACKGROUND
The client, with a base of more than one million registered users, detected that around a third of it were inactive users. These users met the following criteria: they were not buyers and had never opened an email marketing campaign.
There were two main effects that could occur if we continued to impact such a considerable number of inactive users:
Firstly, the sender's reputation was being eroded . Having such a high percentage of users who had been receiving emails for over a year without opening them is a practice that ISPs penalise.
Secondly, there could be users who were actually no longer interested chemical manufacturers email lists in the brand's offers and therefore did not open the emails, while others had simply developed the habit of only reading the subject lines, although they still had a latent and less pronounced interest. Not "directly attacking" this segment of users represented assuming an opportunity cost.
STRATEGY
So, we decided to develop the following reactivation strategy.
The first thing we did was classify inactive users into Dormant and Inactive . The former were users who met the inactivity criteria and whose registration in the database had occurred in the last 12 months. The Inactive universe was made up of users who met the inactivity criteria and whose registration date had been prior to the last 12 months.
email marketing reactivation strategies
The reasoning behind this segmentation is that there is a direct and proportional relationship between recency and propensity to respond . In other words, the more recent the user's last interaction with the brand, the greater the probability that they will respond to a call to action and vice versa.
This differentiation allowed us to create two different types of messages adapted to the reality of each of the groups. Since the Dormant users' registration was more recent, we thought it would be more interesting to reactivate them by using an incentive on their first purchase. Thus, two versions were created for Dormant users: an incentive of a €10 discount on online purchases and another with savings on shipping costs (in both cases a minimum purchase was required to enjoy the incentive). The content prepared for Inactive users consisted of an email in which the user was asked to indicate whether or not they wished to continue receiving email communications. In a certain sense, the reactivation action on Inactive users was a “re-optimization” action.
BACKGROUND
The client, with a base of more than one million registered users, detected that around a third of it were inactive users. These users met the following criteria: they were not buyers and had never opened an email marketing campaign.
There were two main effects that could occur if we continued to impact such a considerable number of inactive users:
Firstly, the sender's reputation was being eroded . Having such a high percentage of users who had been receiving emails for over a year without opening them is a practice that ISPs penalise.
Secondly, there could be users who were actually no longer interested chemical manufacturers email lists in the brand's offers and therefore did not open the emails, while others had simply developed the habit of only reading the subject lines, although they still had a latent and less pronounced interest. Not "directly attacking" this segment of users represented assuming an opportunity cost.
STRATEGY
So, we decided to develop the following reactivation strategy.
The first thing we did was classify inactive users into Dormant and Inactive . The former were users who met the inactivity criteria and whose registration in the database had occurred in the last 12 months. The Inactive universe was made up of users who met the inactivity criteria and whose registration date had been prior to the last 12 months.
email marketing reactivation strategies
The reasoning behind this segmentation is that there is a direct and proportional relationship between recency and propensity to respond . In other words, the more recent the user's last interaction with the brand, the greater the probability that they will respond to a call to action and vice versa.
This differentiation allowed us to create two different types of messages adapted to the reality of each of the groups. Since the Dormant users' registration was more recent, we thought it would be more interesting to reactivate them by using an incentive on their first purchase. Thus, two versions were created for Dormant users: an incentive of a €10 discount on online purchases and another with savings on shipping costs (in both cases a minimum purchase was required to enjoy the incentive). The content prepared for Inactive users consisted of an email in which the user was asked to indicate whether or not they wished to continue receiving email communications. In a certain sense, the reactivation action on Inactive users was a “re-optimization” action.