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new thinking for direct marketing




    Ten Commandments for Email Marketing
                                (Circa 2010...
new thinking for direct marketing




    strategy       branding          design   analytics




2                       ...
Email marketing has become the fastest growing
    strategy for many direct marketers and will
    certainly continue to b...
Agenda

〈 10 Strategies to maximize email
〈 Tactics to add incremental sales
〈 Scalable to your size needs




4          ...
Learnings

〈 Integrate meaningful data
〈 Increase click-through rates
〈 Develop trigger emails to add immediate sales




...
Ten Commandments for Email Marketing
                 (Circa 2010)




6                                 new thinking for ...
Ten Commandments for Email Marketing
          Commandment Number One




    Thou shalt collect, clean, update &
     ver...
Ten Commandments for Email Marketing
             Commandment Number One

Thou shalt collect, clean, update & verify email...
Ten Commandments for Email Marketing
               Newsletter Sign-ups

Example of Newsletter Sign-Up above the fold…



...
Ten Commandments for Email Marketing
               Newsletter Sign-ups

Example of Newsletter Sign-Up above the fold…



...
Ten Commandments for Email Marketing
           Commandment Number Two




     Thou shalt segment your file or perish



...
Ten Commandments for Email Marketing
             Commandment Number Two

Thou shalt segment your file or perish…
      Ba...
Ten Commandments for Email Marketing
                Email Segmentation

Small marketer that listens…
      Personalized w...
Ten Commandments for Email Marketing
             Commandment Number Two

Thou shalt segment your file or perish…
      Tr...
Ten Commandments for Email Marketing
            Commandment Number Three




     Thou shalt realize email marketing is
 ...
Ten Commandments for Email Marketing
             Commandment Number Three

Thou shalt realize email marketing is a strate...
Ten Commandments for Email Marketing
                “Welcome” Emails

First contact delivers multiple messages
      Offe...
Ten Commandments for Email Marketing
             Commandment Number Three

Thou shalt realize email marketing is a strate...
Ten Commandments for Email Marketing
               Abandoned Cart Emails

Approach is C/S
      Performance
      reports...
Ten Commandments for Email Marketing
           Commandment Number Four




      Thou shalt not take your customer
      ...
Ten Commandments for Email Marketing
             Commandment Number Four


Thou shalt not take your customer’s name in va...
Ten Commandments for Email Marketing
               Commandment Number Four

     Mailers uses zip code to
     drive reta...
Ten Commandments for Email Marketing
             Commandment Number Four

Thou shalt not take your customer’s name in vai...
Ten Commandments for Email Marketing
               Commandment Number Four

     Collect more than email
     or mailing ...
Ten Commandments for Email Marketing
               Commandment Number Four

     Find the right
     “segmentation” varia...
Ten Commandments for Email Marketing
           Commandment Number Five




     Thou shalt realize that if NCOA adds
    ...
Ten Commandments for Email Marketing
            Email Change of Address (ECOA)
〈 Fact 1:
     – 50 million people changed...
Ten Commandments for Email Marketing
              Email Change of Address (ECOA)
〈 Quarterly (yes, quarterly) email list ...
Ten Commandments for Email Marketing
           Commandment Number Six




           Thou shalt be relevant…




29      ...
Ten Commandments for Email Marketing
             Commandment Number Six

Thou shalt be relevant…
      Establish area for...
Ten Commandments for Email Marketing
           Commandment Number Six




31                                   new thinki...
Ten Commandments for Email Marketing
                    Commandment Number Six
〈        Thou shalt be relevant
         –...
Ten Commandments for Email Marketing
                 Commandment Number Six

Thou shalt be relevant with your email conta...
Ten Commandments for Email Marketing
          Commandment Number Seven



          Thou shalt use templates…




34     ...
Ten Commandments for Email Marketing
           Commandment Number Seven

Thou shalt use templates…
      Let the customer...
Ten Commandments for Email Marketing
           Commandment Number Seven

Thou shalt use templates…
      Develop an email...
Ten Commandments for Email Marketing
           Incorporate visual call to action areas

     Buttons and…




37         ...
Ten Commandments for Email Marketing
           Incorporate visual call to action areas

     Buttons and…

     …photos a...
Ten Commandments for Email Marketing
            Incorporate visual call to action areas

     Buttons and…

     …photos ...
Ten Commandments for Email Marketing
           Commandment Number Eight




     Thou shalt be multi-channeled in your
  ...
Ten Commandments for Email Marketing
             Commandment Number Eight

Thou shalt be multi-channeled in your approach...
Ten Commandments for Email Marketing
         Impact of Mobile & Smart Phones



        “We expect the mobile-phone email...
Ten Commandments for Email Marketing
         Impact of Mobile & Smart Phones




                 Does your
             ...
Ten Commandments for Email Marketing
            Be Multi-Channeled in your Approach

     Put your 800 number in your
   ...
Ten Commandments for Email Marketing
             Be Multi-Channeled in your Approach

     Use email to support
     dire...
How to Better Connect Your Catalogs to Your Website


           Ten Commandments for Email Marketing
              Be Mul...
Ten Commandments for Email Marketing
         Be Multi-Channeled in your Approach


– E-mail drives store traffic




47  ...
Ten Commandments for Email Marketing
         Be Multi-Channeled in your Approach


– E-mail drives
  store traffic




48...
Ten Commandments for Email Marketing
         Be Multi-Channeled in your Approach

– Facebook – link to catalogue request
...
Ten Commandments for Email Marketing
           Commandment Number Nine




       Thou shalt “measure & manage”




50   ...
Ten Commandments for Email Marketing
            Commandment Number Nine

Thou shalt measure & manage…
     Determine list...
Ten Commandments for Email Marketing
                         Commandment Number Nine
        Nearly 20% of emails fail to...
Ten Commandments for Email Marketing
            Commandment Number Nine

Thou shalt measure & manage…
     Create your sa...
Ten Commandments for Email Marketing
            Commandment Number Nine

Thou shalt measure & manage…
     Create your sa...
Ten Commandments for Email Marketing
             Commandment Number Nine

Is your marketing spend by channel shifting fas...
Ten Commandments for Email Marketing
           Commandment Number Ten




            Thou shalt not spam…




56        ...
Ten Commandments for Email Marketing

1. Thou shalt collect, clean, update & verify email addresses
2. Thou shalt segment ...
Bonus Commandments




58                  new thinking for direct marketing
Ten Commandments for Email Marketing
             Bonus Commandments




        Thou shalt always be testing…




59     ...
Ten Commandments for Email Marketing
               Bonus Commandments

Thou shalt always be testing…
      Subject line
 ...
Ten Commandments for Email Marketing
               Bonus Commandments

Thou shalt always be testing…
      Match your tes...
Ten Commandments for Email Marketing
               Bonus Commandments

Thou shalt always be testing…
      Always have Co...
Ten Commandments for Email Marketing
               Bonus Commandments

Thou shalt always be testing…
      Continually te...
Ten Commandments for Email Marketing
                 Testing Offers

Club ABC Tours
     Membership
     Renewal Offer
  ...
Discussion




65                new thinking for direct marketing
Ten Commandments for Email Marketing
                Contact Information

For copies of this presentation, please contact ...
new thinking for direct marketing




        Ten Commandments for Email
                Marketing
                       ...
May 2007 - Reactivation Results




   68                             new thinking for direct marketing
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Transcript of "Ten Commandments for Email Marketing"

  1. 1. new thinking for direct marketing Ten Commandments for Email Marketing (Circa 2010) Presented by: Ken Lane Senior Marketing Consultant J. Schmid & Assoc. March 18, 2010 1 new thinking for direct marketing
  2. 2. new thinking for direct marketing strategy branding design analytics 2 new thinking for direct marketing
  3. 3. Email marketing has become the fastest growing strategy for many direct marketers and will certainly continue to be an important component of the marketing mix. As technology changes, so do the rules or “commandments” marketers must follow. 3 new thinking for direct marketing
  4. 4. Agenda 〈 10 Strategies to maximize email 〈 Tactics to add incremental sales 〈 Scalable to your size needs 4 new thinking for direct marketing
  5. 5. Learnings 〈 Integrate meaningful data 〈 Increase click-through rates 〈 Develop trigger emails to add immediate sales 5 new thinking for direct marketing
  6. 6. Ten Commandments for Email Marketing (Circa 2010) 6 new thinking for direct marketing
  7. 7. Ten Commandments for Email Marketing Commandment Number One Thou shalt collect, clean, update & verify email addresses at every point of contact 7 new thinking for direct marketing
  8. 8. Ten Commandments for Email Marketing Commandment Number One Thou shalt collect, clean, update & verify email addresses at every point of contact Use your Call Center Referrals Change of address Use the Social Networking sites as sources…i.e. Facebook Newsletter Sign ups 8 new thinking for direct marketing
  9. 9. Ten Commandments for Email Marketing Newsletter Sign-ups Example of Newsletter Sign-Up above the fold… 9 new thinking for direct marketing
  10. 10. Ten Commandments for Email Marketing Newsletter Sign-ups Example of Newsletter Sign-Up above the fold… 10 new thinking for direct marketing
  11. 11. Ten Commandments for Email Marketing Commandment Number Two Thou shalt segment your file or perish 11 new thinking for direct marketing
  12. 12. Ten Commandments for Email Marketing Commandment Number Two Thou shalt segment your file or perish… Based on RFM Average “M” as well as total “M” Assign and segment by “engagement” metrics Open History Click History Email Appends 12 new thinking for direct marketing
  13. 13. Ten Commandments for Email Marketing Email Segmentation Small marketer that listens… Personalized with first/last name Product offer based on past history Short term offer based on a cancelation with customer’s preferred service provider Includes offer for Referral 13 new thinking for direct marketing
  14. 14. Ten Commandments for Email Marketing Commandment Number Two Thou shalt segment your file or perish… Traditional Direct Mail best practices are applicable… Time-sensitive promotions motivate readers to take a specific action in the desired timeframe. This is a classic DM technique that works well when applied to email marketing. This approach applies to offers and purchase requirements, as well as to creating a sense of urgency to buy by a certain date. 14 new thinking for direct marketing
  15. 15. Ten Commandments for Email Marketing Commandment Number Three Thou shalt realize email marketing is a strategy… …not a tactic 15 new thinking for direct marketing
  16. 16. Ten Commandments for Email Marketing Commandment Number Three Thou shalt realize email marketing is a strategy…not a tactic Triggered programs… Send email to those that didn’t purchase Re-send those that didn’t open First purchase Newsletter sign-ups Tag on category / mark as interest in category “Welcome” responses 16 new thinking for direct marketing
  17. 17. Ten Commandments for Email Marketing “Welcome” Emails First contact delivers multiple messages Offer w/purchase requirement Sale Items New Product Cross Brand Support Credit Offer Find a Store Change your preferences 17 new thinking for direct marketing
  18. 18. Ten Commandments for Email Marketing Commandment Number Three Thou shalt realize email marketing is a strategy…not a tactic Abandoned shopping cart programs Daily, automated email sent to shoppers with items in their cart for more than 24 hours Recoup up to 25% of abandoned sales Collect email early in the order process Consider/test price incentives 18 new thinking for direct marketing
  19. 19. Ten Commandments for Email Marketing Abandoned Cart Emails Approach is C/S Performance reports “Noticed” cart Problems? Click to complete No offer No “big brother” 19 new thinking for direct marketing
  20. 20. Ten Commandments for Email Marketing Commandment Number Four Thou shalt not take your customer name (or email address) in vain… 20 new thinking for direct marketing
  21. 21. Ten Commandments for Email Marketing Commandment Number Four Thou shalt not take your customer’s name in vain Personalize when you can Offers based on region where you have retail locations Collect more than just an email address for newsletter sign- ups 21 new thinking for direct marketing
  22. 22. Ten Commandments for Email Marketing Commandment Number Four Mailers uses zip code to drive retail traffic 22 new thinking for direct marketing
  23. 23. Ten Commandments for Email Marketing Commandment Number Four Thou shalt not take your customer’s name in vain Manage contact frequency – helpful if it is done right. Frequency testing should be stratified based on the engagement levels of the list. Certain segments that are highly engaged might support higher frequency levels. Consider different frequency of blasts on parts of your list that aren’t responding to frequent e-mails. Don’t ignore the inherent seasonality of your business. 23 new thinking for direct marketing
  24. 24. Ten Commandments for Email Marketing Commandment Number Four Collect more than email or mailing address 24 new thinking for direct marketing
  25. 25. Ten Commandments for Email Marketing Commandment Number Four Find the right “segmentation” variables 25 new thinking for direct marketing
  26. 26. Ten Commandments for Email Marketing Commandment Number Five Thou shalt realize that if NCOA adds value and saves money, shouldn’t “ECOA?” 26 new thinking for direct marketing
  27. 27. Ten Commandments for Email Marketing Email Change of Address (ECOA) 〈 Fact 1: – 50 million people changed their email addresses last year… 〈 Fact 2: – Companies experience ~ 30% email list attrition per year… 〈 Fact 3: – Good address hygiene (email & Dmail) is good for you, good for business & good for your customers 〈 Fact 4: – Your customer email database is one of your most valuable assets 27 new thinking for direct marketing
  28. 28. Ten Commandments for Email Marketing Email Change of Address (ECOA) 〈 Quarterly (yes, quarterly) email list hygiene processing - identifying bad emails and updating them with good ones – maximizes your results 〈 Benefits: – Reconnect with lost customers faster – Improve email deliverability – Avoid being blacklisted by major ISPs – Reduce marketing costs associated with bouncing emails – Several companies are now capable of doing this 〈 Make this a Program within your marketing/IT department 28 new thinking for direct marketing
  29. 29. Ten Commandments for Email Marketing Commandment Number Six Thou shalt be relevant… 29 new thinking for direct marketing
  30. 30. Ten Commandments for Email Marketing Commandment Number Six Thou shalt be relevant… Establish area for customer to define “preferences” Frequency of Contact Product Using zip codes wisely 30 new thinking for direct marketing
  31. 31. Ten Commandments for Email Marketing Commandment Number Six 31 new thinking for direct marketing
  32. 32. Ten Commandments for Email Marketing Commandment Number Six 〈 Thou shalt be relevant – If they ask for Italy… – If they have already booked… – Personalize email contacts as much as possible… 32 new thinking for direct marketing
  33. 33. Ten Commandments for Email Marketing Commandment Number Six Thou shalt be relevant with your email contacts • Personalization improves relevancy. • Find an internal champion of advanced personalization techniques and encourage pushing the envelope for improving results. • Develop a “behavioral” segmentation approach • Recognize that it is not a matter of “if”…it is a matter of “when.” Your competition is already making this a priority. • Build loyalty by giving customers what they want, when they want it, wherever they go (mobile). 33 new thinking for direct marketing
  34. 34. Ten Commandments for Email Marketing Commandment Number Seven Thou shalt use templates… 34 new thinking for direct marketing
  35. 35. Ten Commandments for Email Marketing Commandment Number Seven Thou shalt use templates… Let the customer recognize you & your brand Align your email creative with your other creative identity Catalogue Website 35 new thinking for direct marketing
  36. 36. Ten Commandments for Email Marketing Commandment Number Seven Thou shalt use templates… Develop an email template that is concise yet clear and impactful. More is not always better, especially if your catalogue or website are not jammed with products & messages. Your emails have only a few seconds to make an impression on the recipient. Concise layouts help direct the reader where you want them to go: to a desired focal point and call to action. Incorporate visual call to actions (i.e. buttons, photos, hyperlinks) into your layout, improving “involvement”, click-through rates and campaign performance. 36 new thinking for direct marketing
  37. 37. Ten Commandments for Email Marketing Incorporate visual call to action areas Buttons and… 37 new thinking for direct marketing
  38. 38. Ten Commandments for Email Marketing Incorporate visual call to action areas Buttons and… …photos and… 38 new thinking for direct marketing
  39. 39. Ten Commandments for Email Marketing Incorporate visual call to action areas Buttons and… …photos and… …links 39 new thinking for direct marketing
  40. 40. Ten Commandments for Email Marketing Commandment Number Eight Thou shalt be multi-channeled in your approach 40 new thinking for direct marketing
  41. 41. Ten Commandments for Email Marketing Commandment Number Eight Thou shalt be multi-channeled in your approach… Direct Mail Don’t abandon Don’t exclude Social Media Facebook Impact of mobile & smart phones “There’s an app for that” 41 new thinking for direct marketing
  42. 42. Ten Commandments for Email Marketing Impact of Mobile & Smart Phones “We expect the mobile-phone email market will increase at an average annual rate of 68% over the next four years, totaling more than 1 billion mailboxes by the end of 2013.” Radicati Group – March, 2010 42 new thinking for direct marketing
  43. 43. Ten Commandments for Email Marketing Impact of Mobile & Smart Phones Does your message fit here? 43 new thinking for direct marketing
  44. 44. Ten Commandments for Email Marketing Be Multi-Channeled in your Approach Put your 800 number in your emails Multiple studies have found up to 20% of sales will be made via the 800 number 44 new thinking for direct marketing
  45. 45. Ten Commandments for Email Marketing Be Multi-Channeled in your Approach Use email to support direct mail All the data suggests there is a lift in response rates 45 new thinking for direct marketing
  46. 46. How to Better Connect Your Catalogs to Your Website Ten Commandments for Email Marketing Be Multi-Channeled in your Approach – E-mail promotes both site and mentions catalog options 46 new thinking for direct marketing
  47. 47. Ten Commandments for Email Marketing Be Multi-Channeled in your Approach – E-mail drives store traffic 47 new thinking for direct marketing
  48. 48. Ten Commandments for Email Marketing Be Multi-Channeled in your Approach – E-mail drives store traffic 48 new thinking for direct marketing
  49. 49. Ten Commandments for Email Marketing Be Multi-Channeled in your Approach – Facebook – link to catalogue request 49 new thinking for direct marketing
  50. 50. Ten Commandments for Email Marketing Commandment Number Nine Thou shalt “measure & manage” 50 new thinking for direct marketing
  51. 51. Ten Commandments for Email Marketing Commandment Number Nine Thou shalt measure & manage… Determine list of key metrics and expand list accordingly Include deliverability, bounces What are the metrics that drive success in your business… Open rates Click thru rates Forwards to friends 51 new thinking for direct marketing
  52. 52. Ten Commandments for Email Marketing Commandment Number Nine Nearly 20% of emails fail to deliver - Despite improvements, about 1-in-5 emails still fail to reach consumers' inboxes. In the second half of 2009, 19.9% such emails never reached consumer inboxes in the United States and Canada. • 3.5% went to “junk” or “bulk” email folders • 16.3% were missing or not delivered at all -- with no hard bounce message or other notification. Only emails that reach a subscriber's inbox can be opened, clicked and converted to sales. Each ISP has their own criteria for inbox placement. 52 new thinking for direct marketing Source: Feb, 2010 research from email and reputation management firm Return Path
  53. 53. Ten Commandments for Email Marketing Commandment Number Nine Thou shalt measure & manage… Create your sales “pie” Direct shoppers typically type in your site’s URL directly into their browser or have your site bookmarked. Natural SEO orders PPC SEM orders Emails Catalogue/Direct Mail Social Media sites etc 53 new thinking for direct marketing
  54. 54. Ten Commandments for Email Marketing Commandment Number Nine Thou shalt measure & manage… Create your sales “pie” Direct SEO PPC EM Dmail Social 54 new thinking for direct marketing
  55. 55. Ten Commandments for Email Marketing Commandment Number Nine Is your marketing spend by channel shifting fast enough… 120.0% 100.0% 80.0% 60.0% …you can 40.0% only spend 20.0% to 100% 0.0% 2005 2006 2007 2008 2009 2010 2011 Other 0.0% 0.0% 5.2% 4.4% 8.0% 5.0% 3.0% Internet 0.7% 3.8% 4.5% 5.5% 11.0% 22.0% 35.0% Brox/DM 90.1% 94.1% 78.0% 79.9% 72.0% 65.0% 55.0% Advertising 9.2% 2.1% 12.4% 10.2% 9.0% 8.0% 7.0% 55 new thinking for direct marketing
  56. 56. Ten Commandments for Email Marketing Commandment Number Ten Thou shalt not spam… 56 new thinking for direct marketing
  57. 57. Ten Commandments for Email Marketing 1. Thou shalt collect, clean, update & verify email addresses 2. Thou shalt segment your file, or perish 3. Thou shalt realize that email marketing is a strategy…not a tactic 4. Thou shalt not take your customer name (or email address) in vain… 5. Thou shalt realize that if NCOA saves money, shouldn’t “ECOA”? 6. Thou shalt be relevant 7. Thou shalt use templates 8. Thou shalt be multi-channeled 9. Thou shalt “measure & manage” 10. Thou shalt not spam 57 new thinking for direct marketing
  58. 58. Bonus Commandments 58 new thinking for direct marketing
  59. 59. Ten Commandments for Email Marketing Bonus Commandments Thou shalt always be testing… 59 new thinking for direct marketing
  60. 60. Ten Commandments for Email Marketing Bonus Commandments Thou shalt always be testing… Subject line Offers Buying opportunities Shout out the offer Navigation bar in email creative 60 new thinking for direct marketing
  61. 61. Ten Commandments for Email Marketing Bonus Commandments Thou shalt always be testing… Match your tests with your business objectives Testing subject lines will affect open rates, not address opt-out problems… …but contact & frequency testing will. 61 new thinking for direct marketing
  62. 62. Ten Commandments for Email Marketing Bonus Commandments Thou shalt always be testing… Always have Control Groups Manage what you are testing with a KIS approach Change too many variables and you will not know what affects results Test new elements one at a time If you are an expert, consider multivariate testing— simultaneous testing of multiple elements and variables….better than A/B splits 62 new thinking for direct marketing
  63. 63. Ten Commandments for Email Marketing Bonus Commandments Thou shalt always be testing… Continually test “timing” Day of Week, Time of Day It is different for your business and differs by time zone BTB is different than BTC Are you ignoring weekends? 63 new thinking for direct marketing
  64. 64. Ten Commandments for Email Marketing Testing Offers Club ABC Tours Membership Renewal Offer Percentage savings versus dollars off Split cells by segment 64 new thinking for direct marketing
  65. 65. Discussion 65 new thinking for direct marketing
  66. 66. Ten Commandments for Email Marketing Contact Information For copies of this presentation, please contact Jennifer Wells at DMInsite - jwells@dminsite.com For information regarding J. Schmid & Assoc, please contact Ken Lane at kenl@jschmid.com or call 913-236-8988 and mention this webinar. 66 new thinking for direct marketing
  67. 67. new thinking for direct marketing Ten Commandments for Email Marketing (Circa 2010) March 18, 2010 67 new thinking for direct marketing
  68. 68. May 2007 - Reactivation Results 68 new thinking for direct marketing
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