What Are Transactional Emails And How Can They Help Your Ecommerce Business?

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A transactional email is an automated email triggered by interactions and events within a service or application.

Such emails are different from promotional bulk emails because rather than being driven by the company’s marketing campaign, they respond to user activity. So, for example, a customer abandons their shopping cart. In this case, an email reminder is sent out to remind them of what they are missing out on, hoping to nudge them to complete the purchase.

Eventually, transactional emails do fulfill marketing functions by driving engagement and converting leads. But they are always triggered as a result of user engagement.

In addition, these emails target prospects based on where they are in the sales funnel. This way, you create a consistent customer experience, keeping the customer updated at all touchpoints.

Why Are Transactional Emails Important For Your Business?

Transactional emails enable you to communicate with your customers directly. This way, you can foster better connections that humanize your brand.

Being in touch with your customer at all stages of the buyer’s journey cultivates trust. So, when you send emails to welcome new customers, update them frequently and listen to their feedback, you make them feel like a part of a community.

Here are 3 reasons why transactional emails are essential for your ecommerce business:

Brand Recognition

When you send confirmation and reminder emails with your brand logo, people will most likely be more conscious of the brand.

For example, when you send your brand imagery in subsequent emails, such as at the time of order, shipping, and delivery, users will retain your logo and brand voice.

Customer Engagement

The one-on-one approach of transactional emails makes the customer feel valued. In turn, they are likely to engage with your brand and content.

So, if you include links or images in your transactional emails, users are three times more likely to click on them compared to marketing emails. Additionally, these email interactions may encourage social media engagement.

Customer Trust

Customers are likely to feel safer buying from an ecommerce platform that provides helpful information at every step of the transaction process.

When customers are sure about their payment and shipping details, they will likely feel more secure about the purchase. Ultimately, this builds confidence and trust in your company.

How Can You Use Transactional Emails To Boost Your Ecommerce Business?

Transactional emails are paramount for creating a consistent customer experience, which is why users always anticipate timely confirmation and updates. In fact, 41% of buyers surveyed report being annoyed if they don’t receive confirmation emails immediately.

So, as an ecommerce company, you should send transactional emails at each step of the buyer’s purchase journey. For this reason, email marketing software is vital because it streamlines your emailing lists and processes. 

Following are 4 different types of transactional emails you can send to retain your customers:

Confirmations And Receipts

These emails are sent out after a transaction has taken place. By confirming the order placement, you give your customer their peace of mind.

Otherwise, the customer will always wonder whether their money went through or not. If they find out days later that the order was never registered, they will get frustrated and leave your platform.

Behavioral Triggers

This type of transactional email is dependent entirely on the way users interact with your service or application. So, every time they achieve a milestone, an email is sent out to make the process easier for them. Such emails ultimately increase customer loyalty by making them feel valued whenever they engage with your platform.

Onboarding emails and abandoned cart emails are two examples of this type of transactional email. And you can send them out when a new user signs on your platform or when a customer leaves their shopping cart without checking out.

As an ecommerce company, you can also send suggestions for future products based on customers’ past purchases. Or, you can refer them to complementary products. This way, they will be attracted back to your site and shop more.

Event-Driven Reminders

On the flip side of behavioral triggers are event-driven reminders. These emails are not based on users’ actions but the activities of your company.

They include event reminders and shipping updates. For an ecommerce business, these are especially important because customers require prompt updates on their orders and shipping.

Feedback Requests

Communication with customers is central to a positive customer experience. So, if a customer requires help or wants to complain, you should give them a space to do just that.

Informing the customer about their complaint progress or offering to resolve negative feedback goes a long way in retaining your customers.

In Conclusion

Setting up transactional emails will help your ecommerce business build trust and recognition.

Since there are many types of transactional emails that provide valuable information to customers, 3 in 10 companies send more than 100,000 transactional emails per month. And by doing the same, you can drive greater customer engagement and retention.