Segmentation is an essential part of your Klaviyo account.
Having some or many subscribers in your email list is only the first step. The real goal is to capitalise on various levels of attention and engagement and stay on top of other factors that might cause customers to drift away for a while (like time zones, browse abandonment or cart abandonment).
Creating and managing segments in Klaviyo is very simple once you know the basics.
In this article, we will discuss a few segmentation definitions you can leverage to improve communications with your most valued customers and start new conversations to bring that unengaged group of subscribers back to life.
Table of Contents:
· The Importance of a Healthy Email List
· Differences between Lists and Segments.
· The 3 Main Uses of Segmentation
· 4 Useful Klaviyo Segmentation Definitions You’ll Want to Implement in Your Business
· Create and target a segment of recent cart abandoners
· Create a location-based segment
· Segment using average order value (AOV)
· Create segments based on birthdays
· Using Segmentation to Improve Your Marketing Across the Board.
The Importance of a Healthy Email List
Getting customers to subscribe to your newsletter or promotions is only one part of the plot.
Creating a journey that people will feel compelled to follow through takes effort and attention at every step; we know it constantly requires reviewing, analysing and redirecting your audience to where you want them to be.
It pays off, though.
In past articles, we have mentioned the benefits of an adequately managed email list: Email marketing is a cost-effective channel to update people interested in your brand with promotions and product launches.
It is also a great way to develop a meaningful relationship with your subscribers. Recipients have consented to these messages, so they want to know more about your brand: this is the moment to capitalise on their attention and draw them down into the funnel to convert them into loyal customers.
Differences between Lists and Segments
Segmentation is an outstanding aspect of using Klaviyo, allowing marketers and companies to implement innovative and creative ways to direct their marketing efforts while complying with best practices.
First, we must understand the difference between a list and a segment.
Lists are a collection of email addresses grouped under a specific tag. Lists are static and only grow or shrink as people subscribe or unsubscribe. You can manually add subscribers to a list, or people can join through a form. It is considered best practice to have a single main list that contains all your active subscribers who have consented to receive marketing emails from your business.
Segments are defined by conditions. People can meet certain conditions to become part of a segment, e.g. the last time they purchased, opened an email or visited your website. Since segments are dynamic, they will grow as new people meet the conditions and shrink as people no longer meet them.
The 3 Main Uses of Segmentation
– To send targeted email campaigns: You can create smaller segments in your main list to send more relevant communications to a particular group of customers; for example, send an email to people in your main list who have opened a message from you in the past 30 days.
– To trigger email flows: Use a segment to trigger an automated email flow for a customer when the person meets a specific set of conditions, e.g. a Birthday Flow can be started 30 days before someone’s birthday, offering spaced-out reminders to claim that special offer they are being treated with.
You can build the segment around profiles who have submitted their birthday into a form, and the condition to trigger the flow would be the date’s proximity.
– For analysis: Segments are a great way to see what’s happening with your audience, as they are automatically updated in real time.
4 Useful Klaviyo Segmentation Definitions You’ll Want to Implement in Your Business
1. Create and target a segment of recent cart abandoners.
You can track site visitors who have recently abandoned a cart to target them across marketing channels. For example, you can sync a recent cart abandoners segment to Facebook Custom Audiences and drive them back to your site with relevant ads.
Alternatively, you can create an exit-intent popup targeting shoppers as they’re about to leave your website. While you don’t have the option to dynamically display what was left in someone’s cart as you would in an abandoned cart email, you can still use these segmentation criteria to remind them of the items left behind with your brand’s language and CTA.
The definition for this segment would be:
What someone has done (or not done) > Started Checkout > at least once in the last 1 week
What someone has done (or not done) > Placed Order > zero times in the last 1 week.
You can adjust the time constraint within the segment based on your marketing needs.
2. Create a location-based segment.
You can use location-based segments to run a specific campaign by region, target a form to customers in a particular area, or better understand a subset of your customers.
Klaviyo determines a profile’s location when syncing a billing address for that contact or, if they have not yet purchased, by tracking their IP geolocation.
When creating a location-based segment, use the condition of Properties About Someone. Then, choose between country, state/region, zip code, or timezone to further define this segment.
The definition for this segment would look like this:
Properties about someone > State / Region > equals > …
You can also create segments on EU and UK profiles affected by data protection laws.
To create a segment of profiles in these locations, use this definition:
If someone is or is not within the EU (GDPR) > is within European Union
Properties about someone > Country equals United Kingdom
If you have profiles that contain multiple variations of “United Kingdom” stored in the location field (for example, “UK” or “united kingdom”), you should include all spellings in your segment.
Use this location-based segment if you only want to target your European customer base or exclude these customers from being sure you’re not violating GDPR and GDPR UK regulations.
3. Segment using average order value (AOV)
AOV is the total monetary value of your conversions (orders) divided by the number of conversions (orders that took place). You can use AOV to create segments for high and low-value customers. Then, use these segments to develop targeted messaging based on your subscribers’ shopping habits.
Keep in mind that AOV will only populate in Klaviyo if you have a Placed Order metric in your account.
To target high-value customers (e.g., customers with an AOV of above $100), use the following definition:
Predictive analytics about someone > Average Order Value > is greater than > 100
To target low-value customers (e.g., customers with an AOV of below $100), add the following condition to your segment:
Predictive analytics about someone > Average Order Value > is less than > 100
By adding this condition to a segment, you will refine the group only to include those with either high-value purchases or low-value purchases. Then, target these segments accordingly with content that reflects this shopping behaviour. For example, you can offer sales and deals for low-value customers and show new releases that may be pricier to high-value customers.
4. Create segments based on birthdays.
With segmentation, you can group profiles by age and date of birth to better understand their interactions with your brand and send them targeted marketing content around their birthday.
To segment based on birthday, you must first collect this information from your subscribers and store it in Klaviyo as a custom property.
Segment based on birthday
The definition for this segment is:
Properties about someone > Birthday and choose a date range
Segment Based on Age
You can also segment based on birthdate to target customers within a specific age bracket.
To create a segment based on age range, set the following definitions:
Properties about someone > Birthday > is between dates and choose a date range
Date ranges are inclusive, so anyone born on this range’s beginning and end dates will be included in the segment.
Using Segmentation to Improve Your Marketing Across the Board
- Segments can help with list cleaning, as you can create a definition for people who have received but haven’t opened your last 20-25 emails to be removed from the main list you send to.
- You can cross-sell to people who have bought only one of your products and entice them to try something new from your stock.
- You can target people who haven’t purchased certain products or visited specific pages of your website and encourage them to take a look around.
- Build a loyalty program based on customers who have spent over a particular threshold.
- Segments are dynamic and will automatically curate from all users in your account based on established conditions. Profiles will only be added to a segment when they fit its conditions. This is a great way to keep your email list in check.
This said, you cannot quick-add, import a segment, or make a signup form to add subscribers to a segment, but you can do that for a list.
You must also consider that segments will pull from everyone in your account, including people who have not necessarily opted to receive your marketing emails. Limiting your segments to a specific list is crucial for best practice. So, be very careful when determining where you are creating your segments.
The current marketing landscape is full of automated solutions that promise to increase the value businesses bring to customers.
You can get very granular and specific with your definitions to create relevant segments that serve as authentic communication channels between you and the level of interest and engagement your customers show in your brand.
In Connect the Dots, we are Certified Klaviyo Partners. We have the expertise to deploy these tools and processes to deliver consistent performance and results for our clients. Our team can help you implement a marketing plan that increases your brand’s value and drives growth for your business. So, if you are in need of assistance, don’t hesitate to reach out.