Email marketing has been one of the most important tools for businesses to connect with prospects and customers and drive sales to the level needed for growth and expansion. In 2023, however, the competition will be more challenging than ever. Consumers receive dozens of emails every day, making it difficult to stand out with routine messages. Personalized email marketing offers viable solutions to most marketing problems by increasing engagement and conversion rates. Therefore, most brands have shifted their marketing strategy in this direction and continue to look for more options to improve their personalization efforts. ChatGPT, a large language model created by OpenAI, is one such option that ecommerce brands can rely on to help them stand out in overcrowded inboxes.
WHY IS PERSONALIZED EMAIL MARKETING SO IMPORTANT?
In 2023 the number of email users worldwide is expected to exceed 4 billion, while email revenue is expected to reach 11 billion $. Email marketing is perhaps the most profitable and accessible marketing channel today, increasing the pressure on ecommerce brands to establish a solid presence in their customers' inboxes. Personalized email marketing is a must if your company wants to use this platform to build lasting relationships. And the personalization should extend to every aspect of the email, including the content, subject lines, and even the timing of the emails. Not thoroughly personalizing email campaigns will lead to unopened emails and a stopped revenue stream.
On the other hand, perfecting email personalization brings numerous benefits. Because personalized emails have significantly higher open and click-through rates than generic emails, companies can increase engagement with customers and prospects. A higher frequency and quality of interaction will lead to more conversions and ultimately more sales and revenue. More importantly, personalized email marketing is a great way to secure customer loyalty. An invaluable sense of trust develops by consistently showing customers that your company is aware of their preferences and willing to accommodate their idiosyncrasies. Given the rising cost of customer acquisition, investing in developing customer trust and loyalty will prevent churn and ensure that the revenue stream is not interrupted. That's why email personalization should be part of every ecommerce brand's grand plan for 2023.
HOW CAN ECOMMERCE BRANDS USE CHATGPT TO PERSONALIZE EMAIL MARKETING CAMPAIGNS?
Artificial Intelligence (AI) is a hot topic in virtually every industry right now, and ChatGPT is at the center of most of those conversations. ChatGPT was launched in November 2022 and has amazed many professionals in the ecommerce space and beyond with its incredible capabilities. This new language mode is very versatile and one of its many ecommerce uses is to create highly personalized email marketing campaigns.
Here are five excellent ways to use ChatGPT to deliver the level of personalization your customers will appreciate:
Including customized product recommendations in your emails is one of many foolproof ways to keep customers interested in your company's messages. ChatGPT has analytics capabilities that allow it to analyze large amounts of customer data and provide brands with personalized product recommendations for their customers. According to Accenture, 91% of consumers are more likely to shop with brands that offer personalized offers and recommendations. So with ChatGPT in charge of your product recommendations, you can expect higher engagement and conversion rates.
The AI uses collaborative filtering, content-based filtering, or a hybrid of both to generate these product recommendations. Collaborative filtering is a technique that analyzes a customer's behavior and compares it to other customers with similar behavior. The products purchased by the other customer can then be recommended to the index customer based on similar interests. This method is especially useful for people who have yet to make enough purchases from a brand. For customers with an established purchase history, content-based filtering may be preferable. Here, the characteristics of previous purchases, such as color and brand, are used to recommend similar products. A hybrid of both techniques can be used for even more accurate recommendations, improving your personalized email marketing strategy along the way.
PERSONALIZED EMAIL SUBJECT LINES
The subject line of the email is the first thing the recipient sees when a new email arrives, and often determines whether or not they open the email. Excellent subject lines should be personalized; when tailored to an individual's interests, they can increase open rates by 26%. ChatGPT can make your personalized email marketing campaigns more effective by suggesting subject lines that are relevant to an individual's preferences and interests.
ChatGPT can use one of three main techniques to generate these email subject lines. Using natural language processing (NLP), ChatGPT can analyze customer data to gain insight into the customer and then generate subject lines that reference the customer's interests. Sentiment analysis is also helpful. The AI can analyze data to determine the mood of customers. Versubject lines are then generated to match the recipient's mood, increasing the likelihood of engagement and conversion. Finally, ChatGPT can use personalization tokens to insert personal information such as name, location or recent purchases into predetermined subject lines.
PERSONALIZED EMAIL CONTENT
Creating customized content is crucial to your personalized email marketing plan. Personalized email content will increase customer interaction with the company, ultimately leading to more profit. Experian even states that personalized emails are six times higher than the transaction rates of non-personalized emails. ChatGPT can analyze all your customer data and use AI techniques to generate email content suitable for each recipient. This is possible through the generation of natural language, which allows it to create human, relevant and engaging text for every customer. ChatGPT can also use dynamic content to create content that displays different content, recommendations or offers from one customer to the next.
OPTIMIZED EMAIL CAMPAIGNS
Personalized email marketing campaigns are rarely perfect from the start. They often require regular reviews and updates to improve KPIs such as open rates, click-through rates, and conversion rates. ChatGPT is an excellent tool for analyzing running campaigns, evaluating their performance and providing rich insights to improve their effectiveness. Therefore, ChatGPT can bring your brand closer to the goals for the email marketing campaigns by showing you how to optimize it.
There are many aspects of an email marketing campaign that ChatGPT can improve upon. For example, it can analyze a campaign with poor open rates and suggest more attractive or personalized subject lines. Likewise, it can recommend more attractive content and targeted offers as a solution for low click-through rates. ChatGPT can also help companies improve email timing to improve engagement metrics. Using techniques such as time series analysis and predictive analytics, the AI can suggest optimal hours so that emails sent to customers arrive at the most appropriate and relevant time. This can be an excellent way to increase ROI, as personalized email timing can increase open and click rates by 26% and 22% respectively.
PERSONALIZED ANSWERS TO CUSTOMER QUESTIONS
Email personalization should extend to answering customer questions. When a brand provides personalized answers to customer questions, it contributes to positive customer experiences. ChatGPT can ensure that the connection between your brand and its customers remains strong by providing personalized answers to questions that come in via email. It can use NLP and sentiment analysis to understand questions, natural language generation, dynamic content to generate answers, and machine learning to improve the quality of answers over time.
In short, personalized email marketing is a requirement for brands that want to differentiate themselves from their competitors in 2023 and beyond. ChatGPT has emerged as a reliable tool to improve the power of email campaigns. Despite being in its early stages, it already has fantastic capabilities that make it suitable for use by your ecommerce brand. Tap into the potential of ChatGPT today and watch your email marketing stats skyrocket.