Design Toscano was recently featured in a case study entitled “Narrow Niche E-Mails Increase Sales” in the October 2008 issue of Target Marketing. The company traditionally used emails to announce catalog drops, highlight a few items (mostly new inventories), introduce merchandise lines, and announce site-wide sales.
To spur sales, Design Toscano experimented on segmented email blasts. For example, they sent recent subscribers and buyers –as well as those who have purchased merchandise from their contemporary art collection — email offers for contemporary art pieces. They also broke down their list to send separate emails based on style of religious statuary products (e.g. customers who like crosses, and those who like mystic fairies).
The result is a 400 percent increase in response rate sent with fewer monthly emails.
LESSON: Don’t assume that customers are interested in everything that you have to offer. Test, test and test. Segment your userbase to find out what interests them — and offer those products. The process of segmenting your customer base is not easy — assuming that you even have a good database of your customers. But taking time to understand what they want can pay off hugely for your business.
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