email marketing week 5. seeuthere.com idm works!!!!!
TRANSCRIPT
Email Marketing
Week 5
• Seeuthere.com IDM works!!!!!
“Spam”
• ‘Spam’ is Unsolicited Commercial E-mail(UCE)• No existing relationship of permission from
recipient.– If they visit the booth
• Customer point of view• Sender point of view
• Not sent directly to your email address• Mailed in Bulk• Commercial in nature• Hard (or impossible) to unsubscribe
What is Permission Marketing
• A “courting ritual” with your customers and prospects
• Recognizes the most valuable commodity is attention
• An ideal application of email
• Complete knowledge and communication with your customer
Why We Hate Spam
• Spam erodes our value to ALL of our customers (mail blocking by mail administrators)
• Spam hurts our clients’ reputation Newsgroup chatter: “I hate this company”
• Spam can seriously damage our business• Spam clutters the inbox and reduces the
effectiveness for legitimate email messages
Opt Out
• Practice: A marketer obtains email addresses from customer and mails without prior permission
• Theory– We have an existing relationship– It is very simple to unsubscribe– This is just like traditional direct mail– They can always just hit “delete”
Opt-Out
• Reality– Complaints will be sharp, frequent and may
result in blocking actions by ISP’s– Does not scale
• Imagine if every business you ever patronized sent you an email marketing message.
– Encourage distrust• 60% of customers have given false information
when filling out forms ( BCG privacy white paper)
Opt-Out Permission
• Pre-checked box
• Confirming email ( auto responder) may or may not be sentDo you wish to receive our free monthly
newsletter
Check here to receive additional valuable offers from selected sponsors & partners
X
X
Opt-In Permission
• Customer must select box
• Confirming email may or may not be sent
Do you wish to receive our free monthly newsletter
Check here to receive additional valuable offers from selected sponsors & partners
Confirmed Opt-In Permission
• Customer must select choice
• Confirming email will be sent
• Customer must verify their addition to list
Do you wish to receive our free monthly newsletter
Check here to receive additional valuable offers from selected sponsors & partners
Double opt-in adds a confirmation step into the subscription process. When an email address is entered into our subscription form, we will respond with a message to that email address.
The potential subscriber must reply to that email in order to actually start receiving our newsletter.
ProblemsNo disclosure of Use on sign-up pageFuture promotions not addresses
Problems:Privacy policyDisclosure
Future Promotions notaddressed
Disclosure
The right wayNot must fill fieldsTrue Opt-InFull Disclosure of use
Please enter your e-mail address ifyou would like to receive special offersand product information via electronicmail. You may unsubscribe from anye-mail communications you receivefrom us at any time.
By filling out and submitting this form you are being added to the Dell mailing list. The Dell mailing list is private and not sold to other merchants.
The Right WayHTML defined,And asked
The Email Marketing Spectrum
SPAM OPT-OUT OPT-IN CONFIRMED OPT-IN
Addresses gathered from anywhere
Existing customers.They haven’t given you permission,
A check box gave you permission to send mail
A checkbox gave you the permission and you have confirmed the address
PITFALLS
•Doesn’t work•Creates complaints•ISPs shut you down
•Many complaints
•Doesn’t scale
•Not bullet proof
•Distrustful visitors use wrong addresses
•None.
•100% clean and loyal audience
Acceptability
A Grass Roots Call To Action
Forward all spam e-mail:
Abuse@domain
And spamrecycle.com
Tell them: E-mail is great marketing medium, but you are not playing by the rules.
You are inviting government oversight
Practice permission marketing
Netizen Psychology 101
• Advice– Don’t surprise– Show respect
• Time
• Intelligence
• Privacy
– Test small
Why Email is a Powerful Marketing Medium
E-mail Most Effective OnlinePromotional Tool
• Email users click on email 3x-10x vs. banners ( Ernst&Young 1/00)
• Survey of online consumers 12/10 – 12/22– 63% purchased via email promotion– 38% purchased via banner ad– 29% purchased via offline advertising
» Buyersguide.com 1/00
The Email Revolution
Response Rate
0%
2%
4%
6%
8%
10%
12%
Direct Mail Email
Cost Per Unit
$1.25
$0.25
$0.00
$0.20
$0.40
$0.60
$0.80
$1.00
$1.20
$1.40
Direct Mail Email
Response Time
05
10
15202530
354045
Direct Mail Email
Faster Cheaper Better
5-15%
1-2%
Sources : Forrester, DMA, Gartner GroupMay 25 2000
3-6 Weeks
3 Days
Email Marketing Spending will Triple by 2004
% of Online marketing budget
Annual Spending 1999
Annual Spending 2004
% of email budget for acquisition
%of Email budget for retention
All Companies
5% $ 240.000 $ 720.000 36% 64%
Traditional Companies
5% $ 144.000 $ 950.000 12% 88%
Internet Pure Plays
7% $ 290.000 $ 600.000 55% 48%
“How much do you spend on email?”
Source: Forrester research (Jan 2000) Based on interviews With email marketing managers from 22 traditional and 28 internet pure plays.
$1+billion E-mail Marketing by 2001
• Marketers will shift Sales&Marketing resources to permission email marketing
• Marketers will spend at least $5 per name per year maintaining permission
• Email service and solution providers are proliferating
• Scale agencies, bureaus and solution suites will emerge to support this market
E-mails Role in the Relationship Marketing Spectrum
How is e-mail marketing used?
66%
48%
34%
28%
24%
8%
4%
0% 10% 20% 30% 40% 50% 60% 70%
Promotions&Discounts
Newsletter
Product releases
Advertising/Marketing
Alerts/reminders
Market Research
Other
Forrester Research
House List
Prospects
Email Communication Strategy
Knowledge of customer behavior and preference
Bulk
Segmented
Targeted Content
Daily NewsletterAutomated GreetingsSpecific channel/Service InterestAdhoc PromoRemindersWelcome backCustomer feedback
WelcomeRegistrationSurveys
Flash EmailsContest Follow-up
Subscriber AdvantageLocal content NewsletterTarget AIM 1.0 users
Crafting E-Mail Campaign
• Beginning with the basics– Define your target– Establish objectives– Develop a strategy – Determine the offer– Build the plan– Test assumptions– Measure results
Crafting an E-Mail Campaign
• Strategy Development
Keys to response Postal Email
List 50% 30%
Offer 25% 25%
Format 15% 15%
Copy 10% 5%
Crafting E-Mail Campaign
• Strategy development
Focus on offer first– Don’t mail unless you have something to say– Use email for direct response capabilities rather
than brand awareness.– Audience more rush than any other medium
Crafting E-Mail Campaign
• Free Information• Free Service• Free give away• Sweepstakes• Discount offers• Rewards Programs• Partner promotion• No offer
Determine Offer
House File Creation
• The pitfalls to avoid– Problem: Details within Privacy– Essential: Disclosure at Time of collection
House File Creation
• Ask for email address via every channel– Printed order forms– Call centers– Customer Service calls– Give customers a reason to register at your web
site
• Tell them what you will do with their name
House File Creation
• Audit trail– Protect yourself– Proof of permission
• Date
• Time
• IP address
– Proof of confirmation
House File Creation
• HTML, TEXT and AOL – Three different environments…
House File Creation
• Domain Segmentation– Yahoo, Hotmail, Excite, Mail.com, USA.net
( these represent about 75 % of all HTML enabled email accounts)
– “Sniffer” Technology • Identify HTML enabled Email Clients while mail is
being sent.• 90 % accurate• The other 10% is a problem
House File Creation
• AOL Segmentation– AOL is not TEXT or HTML
• Without Tag in AOL
• With HREF tag in AOL
• AOL can be up to 30% of some consumer mailings.
Components of the Message
• From Line
• Subject Line
• Header/Footer
• Remove/Unsubscribe
• Prospect Header issues
• Personalization
• Body copy
• From Line– CNET Digital Dispatch– [[email protected]]
• As short as possible
• As clear as possible
• It is the envelope, misperceive that you are spam.– You don’t want to be deleted
Components of the Message
Components of the Message
• The Don'ts– Important Message
– SUPER SAVER
– Re: how are you
– Free Software
– Unlimited access
– “Guaranteed”
– Hi
• The Do’s– Identify your company
– 35 Character or less
– Personalization in subject works
– Put your company name
Subject Headings We Can Live Without
• Important Message
• PLS support us
• Very important Announcement
• Protect your health
• SUPER software sale
• “Work smarter not harder”
• “$4370 a month for life
• Great mortgage Leads
• We’ll pay your debts!!!
• Start earning money while you are sleeping
• RE: How are you doing
• LOSE 30 POUNDS IN 30 DAYS, GUARANTEED
• Unlimited Long Distance Calling for Only $25/month
• Free web site analysis
• The Internet Spy! Find out anything about anyone
• FRAMELESS BUILDING CONSTRUCTION
The Components of the Message
• Header/Footer• Header
– This special offer is only sent to fake email list.com registrants who have opted-in to receive information and special offers. This message is delivered to you via Emailtransmitter.com
• Footer– [email protected]
– If you would like to be omitted from future offers from the fake emaillist.com please reply to offer@fakeemaillist .com with remove in subject line.
The to email address
Where did the message come from and why?
From: Our company and or Brand
You are receiving this message because you opted in at your web site to receive new product information. If you do not wish to receive these messages in the future, please
click here or follow the instructions below.
Which name is the customer Likely to recognize
Recipients are more likely to Read your message if you are specific about the relationship
Easy Unsubscribe
From: Our company and or Brand
We only want to send e-mail to those wish to receive it. If you wold not like to receive email from us please go to [email protected] or reply to this message with the word “unsubscribe” in the subject line
The Components of the Message
• Body Copy– Newsletter Mailings
• 500-1500 words
– Prospect mailings• 200-500 words
– Repeat Links• Put your URL everywhere
– Lots of people read mail from preview. – Good for testing
» Htm1» Htm2» Htm3
Some quick tips
• Include more than one link within mailing
• Keep it short-no longer than 1 printed page
• Sign the email from real person…not just a company
• How often can you mail? Watch your unsubscribe rate carefully…that will tell you
– More than once a week is dangerous!
• When to mail
– B2B 10:00 Tuesday thru Thursday works best (before lunch)
– Consumer anytime??
– Within 24 hours you will know the 70% response rate
– 48 hours 70-80%
Some quick tips
• Subject Lines– Make sure your subject line is killer
– Be very careful of the use of FREE
– Keep your subject line to 35 characters
• Personalized mail is guaranteed to out pull• First line extremely important
– May be displayed within recipients email client
– 50% decide whether to keep reading after 1st two sentences.
Rules of Thumb with Email
• Make it very clear where the message is coming from and why
• Make it very easy to unsubscribe• If the customer did not explicitly opt-in,
DO NOT assume they will accept opt-out.• Don’t rent your list! Transferring permission is
difficult and should be done cautiously• Avoid spammish copy
Writing Effective Email
• Before you begin, tell them how to unsubscribe
• Begin&End with a hyperlink
• Tailor message to your audience– Keep it short & Sweet
• Raise excitement, include call to action– Web site, not email, closes the transaction
Crafting an Email Campaign
• Targeting– Personalization
• In-house list,established relationship-YES
• Prospect list, no relationship – Tread carefully– Could trigger privacy fears
– Risk may exceed reward
Measuring Success
Maximize ROI
Test MeasureRefine
Before you mail
• Segment out HTML, TEXT..
• Important: Segment AOL users
Steps in Measuring the Campaign-Emails delivered
• Bounce rate
• Retry programs
• Soft Bounce – [email protected]– A soft bounce occurs most often because of an error in a subscriber's email
address. A misspelled name or something as simple as a missing space or dash can cause a soft bounce.
• Hard bounce – [email protected]– A hard bounce occurs most often because of an error in a subscriber's email
address (wrong host). You should unsubscribe hard bounces from your list.
Steps in Measuring the Campaign-Emails delivered
• Actual were delivered– Hard/soft bounce– Hotmail and Yahoo issues– Retry programs- How often do you try to re-
mail bounces• Some of your bounces can be fixed.
MeasurementWhat you should be measuring
• Lists, Newsletters all email
• Emails delivered
• CTR
• TEXT vs. HTML vs. AOL
• Inquiries, Sales or depth of site
• Transactions
• Pass alongs
• Yes, Yes, Yes– Huge benefit of email
• High response rate, requires smaller test cells– 500 HTML message 1000 text message
• 75% of responses within 48 hours
• Costs to change copy, graphics, inexpensive
Testing
• http://www.clickz.com/article/cz.2369.html#
• http://www.clickz.com/article/cz.3137.html
Outside Email Lists
• Discussion list sponsorships
• Newsletter sponsorships
• Standalone permission lists
Email Discussion Lists
• Similar to newsgroups
• Moderated, open
• Topically driven
• Earn revenue driven through sponsorships
• Generally small….but targeted
• Not widely known about by marketers so may be a hidden gem
Newsletter Sponsorships
• Niche oriented
• Content driven– Provide free Free Value-Added benefits to
those who want to be informed, educated or entertained
• Loyal readership
• Revenue driven by sponsorships,text ads
Newsletter Sponsorship
Newsletter Sponsorship Universe
• Response is likely to be 25% or less than response from an email list
• But costs are lower too.
• Greater targeting available– Especially BtoB
• Where to find them….– www.e-zines.com
– Sites that sell banner ad space
• List brokers
• Time sensitive availability– Holiday Seasons
Newsletter Sponsorship Universe
• Size can be deceiving• Must make sure all names are unique
– Newspaper sites generally– 300 000 may mean 100,000 sent x 3
• This is a space medium!!!!– Must buy 2 months in andvance– Nearing any holiday buy 3 months in advance
Newsletter Sponsorship Universe
List Exchange
• Fastest growing part of Email Marketing
Standalone Permission Lists
• People who have said “Yes I am interested:– In the market for something,have a need or interest in a
type of product or service
– Relevant to lifestyle,household, family need, hobby, passion etc.
• Subscribers have control• Marketers get results
– Because customers want to receive their information
Standalone Permission Lists
Only use true permission lists
• User selection tremendously better than default opt-in program
• Be afraid-be very afraid
• Ask for case studies or references
• Find out how people opted in
• Verify it.
Never use a list like this
• 77 million fresh email addresses for only $69
That is right 77 million with no duplications.That is less than $1 per million names. Can you make 1 cent from each of these names?
Standalone Permission Lists
• Typical price range: $150 to $500+ CPM– Cost driven by demand– Consumer lists at lower end of pricing range– B2B lists at upper end of pricing range.– Some lists are standalone…although the source
of the list is usually mentioned.
Standalone Permission Lists
• Consumer Lists– Few response files on the market…most are
lists where people have indicated an interest in a particular subject.
– Selects include recency, geographic location, interest area, gender.
• B2B Lists– Very selectable: SIC codes, title, number of
people in company etc.
Standalone Permission Lists
• Targeting– Lists do’s and don’ts
– Do not mail unless you are 100% permission sure
– Do ask the source-many companies selling the same lists
– Do not be cheap-the risks are great
– Do scrub list for duplicates
– Do provide clear “remove” access
Permission List Networks
Problems with Permission Lists
• You can’t merge/purge– List owners are very concerned about the security of
their list. They usually designate one trusted company to deliver all email to their names
• Some will allow you to send them your house file for suppression– But marketers may need to send their file to multiple
service bureaus and that is a concern for marketers own list security
Prospects List Universe
• List Brokers Role– Media – Tracking– First Usage– Cut costs– Advice