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Tuesday, 5 November 2019

Customer Segmentation In eCommerce: 11 Use Cases



The most common challenge an online store face is, “Send the right product/content to the right customer at the right time.” You just can’t do guesswork. You have to create customer profiling and segmentation.

Segmentation helps you to categorize your subscribers in the small groups with same interests and preferences. It gives you an idea of sending relevant content. But how to do it?

Here are 11 practical cases of customer segmentation in eCommerce.

Case-1: Potential Leads/Subscribers


How to Identify: They subscribed to your newsletter (ebook/guide) and browse you frequently. But no orders.

What to send:
  • Create informative, engaging and educational content. Send insider tips.
  • Regularly update them about your new product and features.
  • Create a product heavy content on your blog and send it in email (link with your product landing page).
  • Offer a special discount for 1st order.
Sarv.com regularly sends new product/features related updates to subscribers:

product feature email

Case-2: Based on Location


How to Identify: Find the customers who made a purchase from a specific Geolocation.

What to send:
  • Send season-related offers. You need to understand which season is approaching in the country.
  • Lifestyle and culture connected promotions.
Amazon sent this email when summer was approaching:

location based email

Case-3: Based On Gender


How to Identify: Segment your subscribers by gender

What to send:

  • Do you have different products for men and women?
  • Segment your subscribers/customers by gender.Send different email campaigns (Male and Female) to make it stand out.
See how Adidas sent out two different email campaign based on Gender:

gender email
gender email

Case-4: High Spenders


How to Identify: Customers who spend more than average CLV

What to send:
  • Premium products
  • Sneak Peek to new product or features
  • Special value packs
  • Express free shipping
  • Guarantee and maintenance
Check out this email from Sephora:

sephora-email

Case-5: Shopping Cart Abandoners


How to Identify: Customers who leave their shopping cart without purchasing

What to send:

Send a “Come Back” email with a special discount or related products.

shopping cart abondonment email

Case-6: One Time Purchasers


How to Identify: Pay attention to transaction history. What product they purchased in the past.

What to send:
  • Send an upgraded version of your product/service.
  • Ask for review on their first purchase and offer discount on 2nd order.
  • Create branded content to educate them.
  • Recommend product related to their past purchase.
See how Grammarly does this:

Grammarly email

Case-7: Passive Customers


How to Identify: Find the customers who didn’t check your site for last three months (let’s say).

What to send:
  • Send a quiz (relevant to your product) to understand their interest.
  • Send them a reminder on what they bought with educational content.
  • Based on their purchasing ask for feedback.
Check out this email:

miss you email

Case-8: Social Birds


How to identify: Find the customers who mention your brand on social media, Engage with your content or participate in a poll.

What to send:
  • Run limited time contest on social media for your active followers.
  • Thank you email for their social engagement (and can offer a little perk).
Take a look at this contest:

contest email

Case-9: Loyal Customers


How to identify: Customers who are with you for X years and recommend your product to others as well.

What to send:
  • Send them a special offer dedicated to only for them.
  • Start a point system and a referral program.
  • Engage with them in new product creation.
  • Write a thank you note.
Take a look at this ‘Thank You email’ from Michaels:

michael emails

Case-10: Small Spenders


How to Identify: Customers who purchase regularly but don’t spend too much.

What to send:
  • Send a bundle of similar products with an offer.
  • Ask for feedback.
  • Cross-selling and up-selling.
Take a look at this email:

small spender emails

Case-11: Coupon Lovers


How to Identify: Users who completed past purchases using coupons.

What to send:
  • Keep sending coupons and discounts.
  • If you sell headphones, offer a small free case to them.
Crazy8 regularly provides coupons that you redeem online or in-store:

crazy 8 email

By now, you understand your buyers aren’t all the same. Start segmenting your email list to get better results!


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