MailChimp will now offer a full marketing platform in the market for smaller organizations.
Atlanta, GA based MailChimp has been a profitable business, with around 11 million active customers, and a total audience of 4 billion according to media reports, the CEO maintains that the target for 2019 is $700 million in revenue.
Among the strategies needed to hit that number is a significant update that could launch it into the next level of business services.
Over the last two decades, the company has been offering email services and now the new platform will feature a number of new products that include technology to record and track customer leads; the ability to purchase domains and build sites; and retargeting on Facebook and Instagram; and even social media management.
An interesting new product will be business intelligence, putting it into the league of AI users to provide marketing target recommendations. Considering it has a database of 4 billion individuals and their responses to emails and now on the other services that MailChimp now offers, this seems the next logical step. This expansion is also part of a longer-term strategic play to widen Mailchimp’s scope by building more services for the small-business segment. This segment is a small ticket but big on volumes. Today, SMEs continue to make up about 48% of the GDP in the U.S.
Mailchimp already has a big marketing presence. On a daily basis, it’s campaigning facilitate more than 1.25 million e-commerce orders; in 2018, more than 450 million e-commerce orders were made through Mailchimp campaigns and over $250 million in goods have been sold by the various campaigns than run through Mailchimp.
“What’s really key is the role digital apps, digital publishing, and social media have played,” Ben Chestnut, Mailchimp’s co-founder, and CEO have been quoted as saying. “We can have a 10-employee company with a customer base bigger than 1 million. That’s a combination you couldn’t achieve before the growth of online.”
With growing digitization at all levels, this could be the strategy that will really help the brand grow much faster. Earlier in the year, according to reports, Mailchimp had acquired a small Shopify competitor called LemonStand. This company builds e-commerce tools, and now, the new marketing platform is the next step in that strategy. “We still see a big need for small businesses to have something like this,” Chestnut said in an interview. Enterprises have a range of options when it comes to marketing tools, he added, “but small businesses don’t.”