Segmentation is essential in differentiating between different customer types based on their engagement with your company. Recency, frequency and monetary value (RFM) analysis has long been a highly successful way to segment customers — and it’s ideally suited to e-mail marketing.
Segmenting customers according to how recently they’ve bought, how frequently they buy and how much they spend provides invaluable insight into which customers should be receiving what kind of offer, and how frequently. E-mail more frequently to the most engaged segment, knowing they’ll be happy to get the information and aren’t likely to opt out. You should e-mail less often but with higher discounts to less engaged customers. Reignite their engagement with your brand. Selective e-mailing reduces mailing costs while improving profits.