Email targeting is effective, whether based on collected or implicit data. Open rates for targeted emails are 42% higher than open rates for generic emails, according to L2’s Data and Targeting report, which analyzes a year’s worth of email data from nine big box and department store brands.
One of the biggest winners is Bloomingdale’s, which constantly communicates with its shoppers and uses targeting judiciously. During the study’s one-year period, the department store sent 1,720 campaigns to consumers, excluding autogenerated order confirmations, shipping updates, and account notifications. Of those, 50 were targeted, which works out approximately to one targeted campaign per week. This was slightly ahead of Nordstrom’s rate, although it fell far behind the rates of sister brand Macy’s and category competitors Bergdorf Goodman and Saks Fifth Avenue.
Bloomingdale’s email campaigns rely on three key elements for success: careful content curation by collection, remarketing, and engagement of loyalty program members. The retailer operates two main email domains, one for general emails and one for its loyalty members. The brand’s loyalty domain enjoys a higher open rate than the generic domain, suggesting that retailers should focus their efforts on retaining these interested customers.