Revolutionizing Omni-Channel and eCommerce Segmentation in 2017

by Grace Miller |

Revolutionizing Omni-Channel and eCommerce Segmentation in 2017

ecommerce segmentation in 2017

As 2016 draws to a close, marketers need to reevaluate how to reach out to and engage their audiences. It’s been clear for a while now that mass emailing is generally unproductive, so we’ve gotten used to contacting current and potential shoppers based on variables like whether or not they’re a new member of our lists, if they’ve abandoned a cart, or maybe if they haven’t purchased in a while. That said, what’s new for ecommerce segmentation in 2017? Let’s take a look.

Omni-Channel and eCommerce Segmentation in 2017: RFM, Reloaded

You’re probably familiar with the concept of RFM, which identifies customers based on recency, frequency, and monetary criteria. These are the three variables that are often standards for pinpointing easily segmentable groups of shoppers. Through RFM tactics, you can break your shoppers down into categories like the following, for example:

  • Recency: Purchased in past 0-6 months, purchased in past 6-12 months, purchased in past 12-24 months, etc.
  • Frequency: Purchased more than 6 times, purchased 2-5 times, purchased once, etc.
  • Monetary: Purchase AOV is $0-49, $50-99, $100+, etc.



Any quality RFM dashboard will let you adjust your criteria to make the most sense for your business. In these ways, an RFM dashboard’s normal uses will easily tell you who to target, but based only on purchase data. This is where the new wave of omni-channel and ecommerce segmentation in 2017 comes in.

Omni-Channel and eCommerce Segmentation in 2017: Joining Customer Loyalty and Advocate Marketing with Purchase Data

Omni-channel and ecommerce segmentation in 2017 will make the customer journey from site browser to brand advocate more straightforward than ever for the marketer who’s trying to foster it. When an RFM dashboard is part of a loyalty program and advocate marketing platform, like Annex Cloud’s is, you’re able to identify segments based on a lot more than just purchase data.

For a while now, customer loyalty and advocate marketing platforms have enabled marketers to pinpoint users based demographic data as well as on actions or variables including:

When customer loyalty and advocate marketing data like this is supplemented with RFM data, marketers now have the ability to pinpoint users based on a whole new dimension of information. Enhanced data sets can now include information regarding:

  • RFM
  • Customer loyalty and advocate marketing data
  • Location of purchase or delivery
  • Type of product purchased
  • Interactions with the brand in-store, online, in-app, or on social
  • Any data imported from a client’s CRM, ERP, ESP, or personalization engine, among other third-party data sources

Clients can then create segments with multiple criteria, for example:

  • Frequent, high-spending customers who live in the Northeast US
  • Frequent customers who’ve reviewed a product in the past 3 months
  • Mid-tier customers who have hashtagged a photo with your brand’s hashtag
  • Even extremely specific purchases and actions, like in-store shoppers who bought fuzzy sweaters in your California locations and then referred friends

While some of these examples are extreme, you can see that the possibilities for pinpointing shoppers with this new kind of omni-channel and ecommerce segmentation in 2017 are virtually endless.

Omni-Channel and eCommerce Segmentation in 2017: Taking Action

Once you’ve pinpointed which segments you want to engage, you have a bevy of options to entice them. Instead of just sending some emails, perhaps with a discount code or two, you can make use of the loyalty program and advocate marketing platform to craft a much more interesting strategy. For example:

  • Give your strongest advocates extra “surprise and delight” points
  • Challenge those on the threshold of becoming brand advocates to refer friends for extra points
  • Save your most tempting promotions for those in greatest danger of falling out of reach

Instead of merely having tactics like these as ideas on your whiteboard, you can easily put them into action with campaigns.  Campaigns let you customize the actions of your customer loyalty and advocate marketing platform. You can grant extra points or additional contest entries to a certain segment or group of segments. More tangible examples include:

  • Double points for people who write approved reviews in the next 2 weeks
  • Triple points for select purchases made in-store on X dates
  • “Surprise and delight” points for customers who’ve shopped with you 6+ times in the past year and successfully referred 3 friends

Between campaigns for special promotional actions, targeted marketing emails, rewarding special actions for a limited time, and other types of outreach, it only makes sense to have your loyalty program fully integrated with your advocate marketing platform.

Omni-Channel and eCommerce Segmentation in 2017: Benefits

The benefits of such targeted segmentation and actions are clear. 73% of consumers are annoyed when they see irrelevant content, and 75% recognize and appreciate it when businesses target messaging and offers for them.

The tangible outcomes from presenting the right content and offers to the right group of shoppers include:

  • Heightened engagement
  • Increased customer acquisition
  • Dramatically improved conversion
  • Boosts in average order value
  • Greater purchase frequency and customer lifetime value
  • Augmented ROI

Moreover, leaders in enhanced personalization and segmentation are 26% more profitable overall, according to Adobe.

Omni-Channel and eCommerce Segmentation in 2017: Reporting

It’s pointless to have any of these special segmentation and engagement solutions if you cannot measure their effectiveness. Marketers who are taking advantage of integrated RFM, customer loyalty, and advocate marketing segmentation can also take advantage of unified reporting between the three, and will be armed with the knowledge of how well their campaigns are performing.

As we saw earlier, the intersection of that loyalty and advocate marketing data with RFM data yields much, much richer customer insights, which will dominate ecommerce segmentation in 2017, and consequently customer engagement for at least as long.

For more details on why customer loyalty and advocate marketing go hand-in-hand, check out our white paper, “Advocate Loyalty: A Four-Point Strategy!” And for tips on fostering brand advocacy don’t miss out on “21 Ways to Turn Customers into Advocates!”

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