Xero & Constant Contact launch free tool for smarter marketing

Xero and Constant Contact have announced a new free digital marketing integration designed to provide support for small businesses by linking customer data from the Xero system to create personalised marketing campaigns.

The integration, now available within Xero, is intended to streamline the marketing process for small businesses, many of which often use multiple tools to manage finances and communications. Combining these tools can lead to more efficient workflows by reducing manual tasks and ensuring data remains consistent across platforms.

Statistics from Lawpath indicate that around 20 per cent of new small businesses in Australia fail within their first year, while approximately 50 per cent close within three years. Xero and Constant Contact say their collaboration is focused on helping small businesses utilise digital tools to build customer relationships and improve sustainability.

The integration works by connecting contact and invoice data from Xero directly into Constant Contact's marketing platform, which uses artificial intelligence to help automate campaigns. By leveraging this connection, businesses gain the ability to segment audiences by factors such as purchase frequency or value, allowing for more targeted messages to customers who are recent or high-value buyers.

This approach can contribute to improved customer engagement and save time for business owners who might otherwise spend significant effort on manual data management or campaign targeting. The integration includes Xero-ready email journey templates, which are set up to automatically thank and reward paying customers, encourage loyalty and repeat business, or attempt to re-engage those who have become inactive. Campaigns can also be triggered by financial data and real-time business activity, helping businesses maintain ongoing customer contact.

Addressing business challenges

According to Renee Chaplin, Vice President Asia Pacific at Constant Contact, small businesses face significant challenges in building long-term customer relationships and maintaining profitability.

"Small business owners know that long-term success depends on strong customer relationships, profitability, and healthy cash flow," said Renee Chaplin, VP Asia Pacific for Constant Contact. "When you know your numbers and better understand your customers, it becomes easier to drive repeat business, strengthen loyalty, and boost the return on marketing investment.

Renee Chaplin highlighted the benefits of combining finance and marketing data within a single system, emphasising that the integration is aimed at helping business owners to address key operational challenges more effectively.

"Bringing marketing and sales data together is where the magic can happen. It can help businesses drive revenue and connect with customers on a more personalised level. This is why Xero and Constant Contact have worked together to bring this integrated solution to customers. We know the challenges small businesses face, and by integrating our platforms, we can help them address those headwinds seamlessly."

Operational benefits

The integration is designed to automate follow-ups based on the invoice process, ensuring that customers who have made purchases receive appropriate communications that help build loyalty. Business owners are able to maintain a presence with customers through campaigns that are both tailored and automatically triggered, improving efficiency and reducing the need for manual input.

Vikram Grover, Senior Vice President of Partnerships at Xero, said the integration helps businesses save time and connect more efficiently with customers.

"We're thrilled about how this Constant Contact integration will empower small businesses," said Vikram Grover, SVP of Partnerships at Xero. "In today's digital world, reaching customers effectively online is non-negotiable for growth. This integration creates a smooth, automated connection between marketing and finance, helping businesses save time, and operate with greater efficiency. Ultimately, it lets them focus on what matters: connecting with customers and succeeding digitally."

The integration is available at no extra cost for Xero users, offering small businesses the opportunity to automate key marketing activities without additional expenditure. As digital engagement becomes increasingly necessary for business development, integrations between marketing and finance platforms are likely to play a growing role in how small businesses approach customer communications and operations.