Email-newsletter service MailChimp made a stunning ascent last year into a $400-million-a-year-in-revenue powerhouse. Its secret? An e-commerce solutions division that grew by 46% and has become a crucial marketing and data-analysis platform for 2.4 million companies. “For small businesses that don’t have a technology team, data is really hard to wrangle,” says cofounder and CEO Ben Chestnut. “We’re watching it, collecting it, and making sure it’s paying off.” Here’s a look at how the latest suite of MailChimp tools gives entrepreneurs a heightened impact online.
MailChimp’s multivariate testing feature allows users to evaluate a variety of email components—from subject lines to send time—in a single test. Customers who use either the service or MailChimp’s standard A/B tests see, on average, a 20% boost in revenue.
A whopping 69% of online shoppers walk away from checkout without making a purchase. MailChimp’s abandoned-cart tool enables businesses to gently remind people of forsaken items. Sellers typically see a $610 bump in monthly sales thanks to the notices.
MailChimp’s new product-recommendation feature uses a customer’s purchase history and predictive data to suggest other products he or she may want from a company’s store. Revenue from campaigns using it jumped an average of 31%.
This article is part of our coverage of the World’s Most Innovative Companies of 2017.