Case Study: How Lightshade Increased Revenue by 44% Through Email Segmentation
Challenge:
- Lightshade, a cannabis dispensary in Denver, CO, was pressed to increase revenue without increasing its marketing budget.
- Lightshade’s past sending strategy focused on generalized weekly discount messaging to the entire contactable list in AIQ, and their team was hesitant to change this strategy.
Objective:
- Increase revenue through targeted and personalized email communications.
Strategy:
- Create segmented lists, dividing email subscribers into distinct groups based on their past purchase history and most likely to purchase category.
- Edibles purchasers, cart purchasers, etc.
- Execute targeted campaigns, highlighting relevant discounts to a relevant audience.
Execution:
Old Creative:
- Sent to full contactable email list
- Subject: {{firstName}} the weekend is in sight. Elevate your plans!
- Vague and doesn’t speak to the discounts inside
New Creative:
- Sent to an audience of cart purchasers, highlighting the cart deal in the subject and at the top of the email body
- Subject: Get Your Hazē On: 25% Off 1g Carts 😎
- Calls out the discount and brand featured explicitly, delivering content relevant to the end-user’s interests.
The Results:
Revenue attributed directly to email increased 44% from Feb 1 – May 31, 2023, year-over-year.
The open rate increased just shy of 100%, and revenue per send increased 707%.
Conclusion:
The new strategy and approach to sending targeted emails increased revenue and strengthened Lightshade’s relationship with its customers, leading to long-term success with segmented email sending.
Get in touch; let’s do great work together.
