This document discusses how ecommerce stores can use customer data and segmentation to optimize their stores for better results. It recommends tracking key customer metrics like order value, lifetime value, top spenders, etc. to identify valuable segments. Stores should treat different customer segments differently, like providing targeted content, promotions or messaging to big spenders, frequent buyers or those abandoning carts. Tools like Glew.io, WP Fusion and ConvertKit can help automatically segment customers and trigger personalized experiences based on tags applied to customer profiles. Focusing efforts on the top 5% of high value segments can significantly boost revenue.

1. ECOMMERCE
SEGMENTATION
How to use a data-driven approach to optimize your
eCommerce store for incredible results.
Chris Lema, VP of Products, Liquid Web

2. Most stores
track & talk
averages.

3. What it looks like
on your store…
What it looks like
in real life…
Purchases: 2,360
Total Revenue: $160,570
Customers: 2,108
Lifetime Value: $76
Avg. Order Value: $68

4. What if you stepped
away from averages?
32 Customers had Average Order Values of $195 (instead of $68).
210 Customers had LTVs of $185 (instead of $76).

5. If you want revenue
growth, you need to
get hyper-focused on
segmentation.

6. Everything
on this
homepage
suggests
they’re
targeting
women.
What
happens
when I click
and browse
the men’s
collection?
Nothing.

7. It’s the journey that matters.
Everystepandclickthatacustomermakestellsyousomething
abouttheirintentionand,moreimportantly,aboutthemselves.

8. Would you treat someone who comes to an
article, then to your product, cart &
checkout differently than someone who
comes directly to your site, searches, finds
and adds product to cart but never checks
out?
Sure you would. Organic buyers are more
valuable than researchers.

9. The point of segmentation is to
figure out not only your various
segments but your most
profitable ones – so you can
target them with better designs
& better messaging.

10. Look for the 5% that will drive
your revenue growth!
3X THE NORMAL AOV
17% OF TOTAL REVENUE5% OF CUSTOMERS

11. SOME SEGMENTS
TO CONSIDER

12. First Purchasers – customerswhohavemadeasinglepurchase
Big Spenders – customerswhoseAOVisinthetop10%
VIP Shoppers – customersinthetop10%basedontheirspend
Most Active Customers – customerswhohavemade3ormoreorders
(<2%ofcustomers,whobringin24%ofrevenue)
Coupon Lovers – customerswhousedacouponforpurchases
Cart Abandoners – peoplewhodidn’tfinishtheirtransactions

13. We suggest
stores check
out Glew.io
It provides all
of these
segments
(and more)
automatically
out of the
box.
Included in
our Standard
Managed
Woo Plans.

14. With or without Glew, the trick is
tagging your customers in an
Email/CRM system like
ConvertKit, MailChimp,
ActiveCampaign or AgileCRM.
You can use their integrations, or
a solution like WP Fusion.

15. WithWPFusion,youcan
tagcustomersbasedon
orderingspecificproducts.
AndwithtoolslikeBeaver
Builder,youcandisplay
itemsbasedontheirtags.

16. HERE ARE SIX
THINGS YOU CAN
DO WITH THESE
SEGMENTS

17. Change the homepage based
on customer tags or onsite
behavior.
After browsing the men’s t-shirt
collection (3 clicks), the
homepage was completely
transformed to show me ads
and options for men instead
of the default women’s
selections.

18. How?
Right
Message
Monitoring clickstreams
is easy with RightMessage
and allows you to change
just about anything,
based on the segment.

19. Just a Little Information Helps
Notice how we can adjust the hero
image without being explicit.
Noise Cancelling
Bluetooth

20. Bring your best products to
the top.
If a Big Spender or VIP shows up
to your store, you could change
the sort order easily.
/?orderby=price-desc

21. Introduce “Lite” Pressure
People who browse a lot,
Researchers, need a little
incentive to make a
purchase.
“60 others are viewing
this property right now.”
“74% booked. Rooms are
selling out fast.”

22. Deliver Coupons “Just in Time”
Customers who are
Coupon Lovers can be
triggered with coupons
based on what they put
in their cart, or captured
as they’re leaving the store.
Check out Ahoy!
https://useahoy.com/

23. Reconnect with Cart Abandoners
Everyone tagged as a
Cart Abandoner represents
free money!
Use tools like Jilt to create
multi-part campaigns to
bring them back.
Liquid Web’s Managed
WooCommerce plans come
with Jilt.

24. Share the Love w/ Repeat Buyers
This is a ConvertKit Automation.
It basically monitors purchases
and then updates a custom
field. When “Total Purchases” is
0 and an order comes in, it changes
it to 1. It keeps doing this until
it updates to 3. Then it adds a
Repeat Buyer tag.
That’s when another automation
can go out with a special coupon,
based on a new tag (Repeat Buyer)
being added.

25. YOUR MOM WAS WRONG:
YOU SHOULDN’T TREAT
EVERYONE THE SAME.

26. CHRIS LEMA
LIQUID WEB