List segmentation is the process of creating smaller lists from your larger list. Slicing and dicing your email list into different subgroups allows you to send targeted messages to different contacts, improving open rate, click-through rate (CTR), and conversion rate. It’s the key to email marketing success in organizations of all sizes.
With the proper strategy in place, email marketing campaigns can have a positive impact on the bottom line of an organization. According to the 2013 MarketingSherpa Email Marketing Benchmark Report, 64% of marketers said email marketing’s return on investment (ROI) will increase and 60% said that email marketing is currently producing ROI. In fact, email marketers estimate that 30% of email revenue derives from targeting to specific segments (source: DMA National Email Report 2013).