Email Marketing

Email Segmentation

Also called list segmentation, audience segmentation (email)

Dividing an email list into groups of subscribers who share something relevant, so each group receives emails that suit it.

Quick facts: Email Segmentation

Category
Email Marketing
Also called
list segmentation, audience segmentation (email)
Level
Beginner
Affects
Relevance, click rate, unsubscribe and complaint rates, sender reputation, revenue per email
Where to see it
Your email platform segment builder, your shop or CRM data, a preference centre, sign-up form fields
In this article4
  1. How email segmentation works
  2. Why it matters
  3. Common mistakes
  4. How to act on it

Email segmentation means dividing your email list into groups of subscribers who share something relevant, such as what they bought, where they live or how recently they engaged, so that each group receives emails that suit it. It is the email form of the wider practice of segmentation in marketing.

How email segmentation works

Segments are built from data you already hold or can ask for. The useful kinds are:

  • What people told you: interests, location or job role, given on a sign-up form or in a preference centre.
  • What they did: purchases, product categories browsed, links clicked, forms submitted.
  • Where they are in the relationship: new subscriber, first-time buyer, repeat customer, lapsed. Many platforms call this the lifecycle stage.
  • How engaged they are: when they last clicked or bought.

Most platforms offer static segments, a fixed list frozen at the moment you create it, and dynamic segments, which update automatically as people meet or stop meeting the rules. Dynamic segments are what make segmentation sustainable for a small team.

Two examples show how this works in practice. A furniture retailer stops sending sofa promotions to people who bought a sofa in the last six months and sends them care advice and matching cushions instead, while subscribers who have clicked dining tables three times but never bought receive the dining range. An accountancy practice splits its list into sole traders, landlords and limited company directors, so that news about Making Tax Digital for Income Tax goes only to the sole traders and landlords it affects, and directors receive updates on corporation tax and dividends.

Why it matters

Relevant emails get read; irrelevant ones get ignored, then unsubscribed from, then reported as spam. Those reactions feed mailbox providers’ judgements of your sender reputation, so sending the wrong email to the wrong people harms delivery of your next email to everyone.

Segmentation also lets you keep promises. If someone signed up only for event invitations, a segment is how you make sure they receive only event invitations, which is what their consent covered. When a segment uses information that could reveal something sensitive, such as health, think carefully under UK GDPR before using it, and say in your privacy notice that you tailor emails.

Common mistakes

  • Slicing too thin. Twenty segments of 50 people each produce results too small to learn from and emails too many to write.
  • Building on data nobody maintains. A “job title” field filled in once at sign-up, years ago, is mostly wrong.
  • Segmenting by opens. Apple Mail Privacy Protection records automatic opens, so “openers” includes many people who never looked.
  • Overlapping segments. The same person falls into three groups and receives three versions of the same campaign.
  • Forgetting everyone else. Contacts who fit no segment receive nothing at all.

How to act on it

Start with three splits most businesses can make immediately: customers versus non-customers, engaged versus unengaged (by clicks and purchases, not opens), and one split by main interest or service. Set these up as dynamic segments and give each a clear purpose. Ask for preferences on your sign-up form so the data improves over time.

Once segments are in place, dynamic content lets you vary parts of one email by segment rather than building several campaigns. Deciding which segments are worth the effort depends on what email needs to achieve, which is part of a digital marketing strategy.

Do and do not

Do

  • Use dynamic segments that update themselves
  • Judge engagement by clicks and purchases
  • Give every segment a clear purpose

Do not

  • Create segments too small to learn from
  • Segment on data nobody keeps up to date
  • Leave contacts who fit no segment without any emails

Questions people ask about this

How many email segments should a small business have?

Fewer than most people expect. Three to five well-defined segments that you actually write for will do more than a dozen you cannot keep up with. Add a new segment only when you have a different message to send to it and enough people in it to see a result.

What is the difference between segmentation and personalisation?

Segmentation decides which group of people receives an email. Personalisation changes what each person sees inside the email, such as their name, their nearest branch or products based on their purchases. Most good email programmes use both: segments to choose the audience, personalisation to fine-tune the content.

Can I segment my list by who opened my last email?

You can, but the results are unreliable. Apple Mail Privacy Protection loads emails automatically for many Apple Mail users, so they appear as opens whether or not anyone read them. Use clicks, purchases, replies and website visits as your engagement signals instead.

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