email customer lifecycle 2011 - win back:re-lighting the flame

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The Global SaaS Leader in Relationship Marketing

www.emailvision.com

Re-lighting the flame

www.emailvision.com

Tim WatsonTwitter: @tawatson

22nd November 2011

www.emailvision.com

Win-back objectives

● Increase revenue● Avoid deliverability issues● Gain insight for causes for dis-engagement

www.emailvision.com

www.emailvision.com

Who is inactive?

www.emailvision.com

Email inactive

Valuable contacts

How to separate the inactive and valuable from the truly inactive?

How to win-back and return to email engagement?

www.emailvision.com

Users don’t always respond with a click

www.emailvision.com

Source: DMA Email Tracking Study 2011

When you receive an interesting email, please select up to three most likely actions you would take from the list below?

www.emailvision.com

Nudge effect

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Source: AlchemyWorx

● £70,000 generated by subscribers who had not opened or clicked on the previous 25 to 40 emails – it was a great offer

● 14% of 2008 revenue and 7 % of 2009 revenue generated by subscribers who did not open or click at all in 2007

Mailed non-openers

Not mailed

www.emailvision.com

When?

● 3 months?● 6 months?● 9 months?● Depends on product or service type● What is normal email interaction frequency?● What is normal purchase frequency?● When possible segment based on purchase history

www.emailvision.com

www.emailvision.com

Win back strategy

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Phase 1Insight

Survey

Phase 2aWin-back

Phase 2bWin-back followup

www.emailvision.com

itravel2000 phase 1

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Email body

Landing page

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Results

● Open 3.6% and click 2%● Customers once responsive, are more responsive

● x2 difference, between once active and never active● 80% of respondents clicked “I’m happy with the emails”● Even split in responses to:

● My situation has changed. I no longer intend to travel● I'm not interested in any travel emails● I would like fewer emails● itravel2000 offers don't interest me● I prefer other companies● None of the above

www.emailvision.com

www.emailvision.com

How to reach in-actives?

● Change your● Tone● Format● Message

● Be transparent and honest

www.emailvision.com

www.emailvision.com

itravel2000 format test

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Same subject lines and body copy

Non-graphical formatted HTML text achieved 21% higher click rate

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From name

● Hypothesis - Filtering on the display from name?● Test of the friendly name not email address

● Normal from name tested again CEO’s name.● Results

● Change in from name increased opens 33%● Survey clicks increased 0.8%● Unsubscribes increased 150%

www.emailvision.com

www.emailvision.com

Competition incentive

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Subject line:Firstname, your next click could land you $200

Subject line:Are we welcome in your inbox?

Open rate increase: 28%Click response: same

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Feedback comments

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● I am pleased with the emails from itravel2000 informing me of discount travel opportunities. I have personally saved a lot of money by booking vacations through itravel2000. Thanks

● i love your website!, you save me much more than just time; allowing me to book hotel car etc at once, you also allow me to save MONEY!

● I have been using your company couple times. Everything was good. Especially good deal in first days in January. Thank you very much!

● My trip to Cuba was booked through Itravel2000 this past spring and everything was great! I've been traveling to this country for the past 7-8 years and will continue to do so as long as I am able. I'd love to receive information on any deals you may have for here as well as other southern destinations. Thank you!

www.emailvision.com

Phase 2 – Two or three choices?Invite the breakup

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www.emailvision.com

Phase 2 – Subject lines

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www.emailvision.com

Results

● Click response rate 4.4% (phase 1&2 total 6.4%)● ‘Win an iPad, tell us if we're still welcome in your inbox’

● Total responses reduced by 35.5%● Absolute number of customers verifying opt-in decreased by

28%● Prompting the breakup - ‘no more offers’

● Overall response increased 16%● Absolute number of customers verifying opt-in same● Absolute number of customers unsubscribing increased 353%

● Follow up urgency email had 47% response rate of first email● Conclusion

● Win subject lines results in less verified opt-ins● Prompted unsubscribe not detrimental. Only removed those

who didn’t want to stay anyway.

www.emailvision.com

www.emailvision.com

Overall results

● 5.5% customers responded “don’t change” ● 1.7% customers would prefer monthly email● 13% customers opened/clicked emails post win-back

● Nudge effect of win-back

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www.emailvision.com

Opodo win-back

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● £20 flight voucher incentive● Reminder of Opodo benefits● Option of alternative channel

● Twitter

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Opodo – subject line test

● Is this goodbye?

● Aren't we good enough for you? Let us change your mind.

● Some good reasons for why you should stop ignoring us

● We miss you

● Was it something we said…?

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Highest open rate: ‘We miss you’Highest click rate: ‘Is this goodbye?’

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Now what?How to handle those still not responding?● No deliverability issue?

● Keep communicating. Still a few % revenue potential.● Danger of low ISP engagement rating?

● Low opens and clicks, high spam complaints?● Remove never opened/clicked, oldest subscribers first● Reduce frequency to more recently engaged.

● Historically uncertain list hygiene and data source management?● Remove never opened/clicked or not opened/clicked in last

18 months● Reach out through another channel

● Previous high value via telesales● SMS● Social media

www.emailvision.com

www.emailvision.com

Open & click impact analysis

● Take a typical database with 50% of customers neither opening nor clicking

● If frequency is reduced such that only 1 in 4 emails are sent to inactive customers, then campaign open and click metrics increase by 60%● For example, 10% open rate increases to 16%

www.emailvision.com

www.emailvision.com

Takeaways

● Don’t ignore or blindly remove customers who don’t open/click● That throws away revenue

● If the message isn’t working● Change it!● Use incentives but don’t oversell

● Test and optimise – always● Whatever your result, it can always be improved

www.emailvision.com

www.emailvision.comwww.emailvision.com

Contact details

www.emailvision.com

Emailvision UK LtdLynton House7-12 Tavistock SquareLondon WC1H 9LTUnited Kingdom

Tel: +44 (0)20 7554 4500Fax: +44 (0)20 7554 4501

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