Rethinking Inactives:Reduce First, Then Reactivate          Carey Marston,         SmartPak Equine           Fred Swain,  ...
2. Do you know what percentage   of your audience is inactive?
3.
Inactives – a huge issue!
Bios•    –        •        •    –•    –    –    –        •        •        •        •
Overview on SmartPak and Tafford Uniforms
SmartPak’s Email Program                                                Transactional•                                Emai...
SmartPak’s Email Program Framework                               Email Channel     Promotions                Transactional...
Tafford’s Email Program••    •••
Some might thinkwe are heavye-mailers in regardto frequency, but…We tested mail frequencyover several months…-most profita...
Inactives – The Past
Inactives (5 Second) History                        Work in progress…
SmartPak: Attempt #1                           More                       transactional
SmartPak: Attempt #2                          More                       promotional
SmartPak: Attempt #3                         Most                       effective
Tafford Inactives;     The historical perspectiveHaphazardly ran reactivation campaigns– Wanted to institutionalize– Lots ...
Inactive Action Plan!
Root Causes…
No Standard Definition of Email Inactive                                                              Use your data to    ...
Current Inactive Definition for SmartPak
Who Stays (Who Goes?)          What to look for to create a successful inactive definition, for your businessSource: There...
Recently Took Closer Look At Data                      Purchasers Most Recent Ship Date      Purchased in       Last 3 Yea...
Defining Inactives - TaffordThis has been a long and winding road…– changes in product and marketing mixSometimes we could...
Trimming the fat…~ 42k recipients had received 160emails from Tafford without a sniff6.72MM habitually unopened emailsout ...
operation: Tafford still loves you1 month reactivation test started on 2/14/12Test split all subscribers who hadn’t opened...
operation: Tafford still loves you results
operation: Tafford still loves you takeawaysOne month saved 10% of budgeted email qtyGenerated slightly less profit but 4x...
SmartPak: Reactivation Results
Operation: Tafford’s Endless LoveReactivation program is the only program atTafford that is not squarely focused on ROIDis...
Automated Program to Re-Engage
Steps in Re-Engagement Program
Lessons Learned / What’s Next
Some Lessons Learned
What’s Next for SmartPak
Tafford’s Endless Love: ResultsResults are for one monthOpen rate of emails even higher than in testing phase– $/Email how...
Tafford’s Endless Love: One Month TakeawaysResults are limitedWill have May to develop more results and re-evaluate underp...
What’s Next for Tafford
Key Takeaways
Appendix
NOT ALL INACTIVESARE CREATED EQUAL
SmartPak: Analysis/Definition
Determine Root Causes
Retail Reactivation Successes   Proactive changes in email strategy driving permission marketers         Retail industry r...
After Identifying Inactives, Then What?  Options to test                                                                Th...
Deliverability Environment Changing                                                               Reactivation an         ...
Analyze…
Who Stays (Who Goes?)                 Which subscribers have potential, which don’t?Source: Theres Inactive and Theres Ina...
Today: Inactive (Re)Analysis for SmartPak                                            Receives                             ...
Minimize Inactivity with Onboarding
Minimize Inactivity with Onboarding
Minimize Inactivity with Preference CenterGood preference centers help hold onto subscribers even as their needs/ interest...
Interested In Learning More?silverpop.com/marketing-resources    www.slideshare.net/silverpop       Twitter.com/silverpop ...
Reduce Reactivate Inactive Email Subscribers Silverpop US
Reduce Reactivate Inactive Email Subscribers Silverpop US
Reduce Reactivate Inactive Email Subscribers Silverpop US
Reduce Reactivate Inactive Email Subscribers Silverpop US
Reduce Reactivate Inactive Email Subscribers Silverpop US
Reduce Reactivate Inactive Email Subscribers Silverpop US
Reduce Reactivate Inactive Email Subscribers Silverpop US
Reduce Reactivate Inactive Email Subscribers Silverpop US
Reduce Reactivate Inactive Email Subscribers Silverpop US
Reduce Reactivate Inactive Email Subscribers Silverpop US
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Reduce Reactivate Inactive Email Subscribers Silverpop US

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  • Began using “open date” as an arbiter of engagement 3+ years ago for broadcast emailStarted to use 12 months openers as engagedOther “deadwood” was left to receive “miss you” and one off reactivation campaignsPrior to 2012 we had automated welcome (4) abandoned cart (2) and post-purchase (3) campaigns(number of mailings in campaign)
  • Had to pick out what was important
  • Within the reactivation campaigns…Repurposed that saved qty on higher performing campaignsLoss of profit was about 15%
  • Campaign centric currently. Through re-engagement campaigns, we have reactivated about 13,000 names back onto our active mailing list. We reactivated about 5x more names when we targeted those who hadn’t opened in 6 months vs our current definition of open + purchase history.
  • 1) Re-engage – gets them back in the program with the best chance to buy2) Save email qty – allows us to maximize messages to productive members3) Sell – we still want them to purchase…4) Parting is such sweet sorrow – sometimes we have to say goodbye but it can be sweet because if they’re deadwood than we’re just wasting $$$
  • Customers who have not opened, clicked OR purchased in 75 days enter into programEmail to update profileIf no activity in next 60 days (135 days), send a “Why Shop with SmartPak” customer benefits emailIf still no activity by 180 days, send 10% off “we miss you” offerNo activity within 30 days, email profile will be updated to note that the Program was completed with no activityMove into a once a month segment for 6 months, then suppress if no activityAny activity during this period will remove recipient from the Program and, if applicable, the once a month frequency.
  • * We have learned that it is OK to suppress these recipients from the file. Through reactivation campaigns, we win back very few subscribers and have proven that much of our inactive list is truly inactive. We have also learned that you need to have the right message as to not confuse current customers. Before we integrated purchase data into email, we only looked at open rates as our inactive indicator (customers who had not opened/clicked in 6+ months). Our first attempt at a reactivation campaign did get some recipients’ attention by us indicating that we missed them and hadn’t heard from them in a while…there was a response from customers getting our monthly automated shipments who were quite confused. We tweaked the next campaign’s messaging by focusing it solely on the fact that they had not been viewing our emails and they were missing out on great offers, healthcare tips, etc. A bit more “big brother” but there was less of a response from current customers, if any at all. Our current creative (now that we also take into account purchase history) ties a message of both email non-responsiveness and come back and buy from SmartPak. Lesson learned: know your audience and tailor your messages to all potential recipients. A reactivation campaign can certainly be confusing if the recipient is not truly inactive, and you could potentially be throwing a reactivation offer to customers currently buying from you.
  • *Automation and identifying these subscribers earlier in their email life to attempt to wake them up before we view them as inactive. We know we have them on our list, and it’s a problem for all companies, but how can we do something about it to prevent such a dramatic loss of recipients? Send them exclusive offers to entice them to make another purchase or open the email. Subject line and offer testing with inactives. What entices them to open and make a purchase? Looking forward to testing some programs with Loren. I would also like to set up a process that tracks these recipients. After reactivation, are they more likely to fall into the definition of inactive again? Are they serial inactive email recipients who constantly need a jolt?
  • * We have learned that it is OK to suppress these recipients from the file. Through reactivation campaigns, we win back very few subscribers and have proven that much of our inactive list is truly inactive. We have also learned that you need to have the right message as to not confuse current customers. Before we integrated purchase data into email, we only looked at open rates as our inactive indicator (customers who had not opened/clicked in 6+ months). Our first attempt at a reactivation campaign did get some recipients’ attention by us indicating that we missed them and hadn’t heard from them in a while…there was a response from customers getting our monthly automated shipments who were quite confused. We tweaked the next campaign’s messaging by focusing it solely on the fact that they had not been viewing our emails and they were missing out on great offers, healthcare tips, etc. A bit more “big brother” but there was less of a response from current customers, if any at all. Our current creative (now that we also take into account purchase history) ties a message of both email non-responsiveness and come back and buy from SmartPak. Lesson learned: know your audience and tailor your messages to all potential recipients. A reactivation campaign can certainly be confusing if the recipient is not truly inactive, and you could potentially be throwing a reactivation offer to customers currently buying from you.
  • Silverpop brings the expertise and experience to support your marketing needs. We are the only digital marketing technology provider that brings together email marketing, marketing automation and social sharing, including location-based marketing.Silverpop serves over 1,400 clients across a variety of industries, geographies and business sizes. We have been in marketing technology for over 12 years, this brings you a partner with the financial and operational stability to support your business, it brings you a partner with a depth of experience and with a highly scalable infrastructure. Silverpop is a global company, we have over 400 employees worldwide. Our US headquarters is in Atlanta. We also have offices in London and Frankfurt and do business in Asia Pacific through a reseller.
  • Also available at silverpop.com/marketing-resources is more information about future webinars, recordings from previous webinars, You can also access slides from Silverpop presentations on social media and countless other topics at slideshare.net/silverpop. You can also find us on Twitter and Facebook.
  • Reduce Reactivate Inactive Email Subscribers Silverpop US

    1. 1. Rethinking Inactives:Reduce First, Then Reactivate Carey Marston, SmartPak Equine Fred Swain, Tafford Uniforms
    2. 2. 2. Do you know what percentage of your audience is inactive?
    3. 3. 3.
    4. 4. Inactives – a huge issue!
    5. 5. Bios• – • • –• – – – • • • •
    6. 6. Overview on SmartPak and Tafford Uniforms
    7. 7. SmartPak’s Email Program Transactional• Email Volume & Triggered Email, 11% Promotional• Email, 89%• Email Revenue Transactional Promotional & Triggered• Email, 63% Email, 37% » »
    8. 8. SmartPak’s Email Program Framework Email Channel Promotions Transactional Lifecycle SmartPaks On-Hold SmartPaks Newsletters Confirmation Welcome Offers Order Confirmation Order Reminder Order Shipment Confirmation Abandoned Cart Order Delivered SmartPaks On-Hold Confirmation SmartPaks Post Purchase Confirmation/Welcome ReviewToday, ~30 transactional Password and lifecycle emails per Recovery SmartPaks Up-sell day, and 10+ promotional emails per Credit Card Failure month Notification SmartPaks Cancel Confirmation 10
    9. 9. Tafford’s Email Program•• •••
    10. 10. Some might thinkwe are heavye-mailers in regardto frequency, but…We tested mail frequencyover several months…-most profitable was 5X week-some segments could sustain 7X
    11. 11. Inactives – The Past
    12. 12. Inactives (5 Second) History Work in progress…
    13. 13. SmartPak: Attempt #1 More transactional
    14. 14. SmartPak: Attempt #2 More promotional
    15. 15. SmartPak: Attempt #3 Most effective
    16. 16. Tafford Inactives; The historical perspectiveHaphazardly ran reactivation campaigns– Wanted to institutionalize– Lots of excuses for not– no good reasonsOccasional SurveyQuarterly “Miss You” campaignswhich continue to run
    17. 17. Inactive Action Plan!
    18. 18. Root Causes…
    19. 19. No Standard Definition of Email Inactive Use your data to define inactive for your businessSource: Email in Action, eConsultancy & EEC, February 2012.
    20. 20. Current Inactive Definition for SmartPak
    21. 21. Who Stays (Who Goes?) What to look for to create a successful inactive definition, for your businessSource: Theres Inactive and Theres Inactive, Eric Kirby, Magill Report, March 2012
    22. 22. Recently Took Closer Look At Data Purchasers Most Recent Ship Date Purchased in Last 3 Years 45% Have Not Purchased in 3+ Years 55% Opted-in Less Opt-In Date for Non-Purchasers Than 2 Years Ago 25% Opted-in 2+ Years Ago 75% 26
    23. 23. Defining Inactives - TaffordThis has been a long and winding road…– changes in product and marketing mixSometimes we could seeinactives – sometimes, notDefinition of “INACTIVE”has followed this pathStarted to use 12 monthsopeners as engaged
    24. 24. Trimming the fat…~ 42k recipients had received 160emails from Tafford without a sniff6.72MM habitually unopened emailsout of the 60MM sent annually
    25. 25. operation: Tafford still loves you1 month reactivation test started on 2/14/12Test split all subscribers who hadn’t opened inmonths 4-12.– Group A received 5 emails per week– Group B received 1 email per week but they were not our normal email
    26. 26. operation: Tafford still loves you results
    27. 27. operation: Tafford still loves you takeawaysOne month saved 10% of budgeted email qtyGenerated slightly less profit but 4x higher $/email
    28. 28. SmartPak: Reactivation Results
    29. 29. Operation: Tafford’s Endless LoveReactivation program is the only program atTafford that is not squarely focused on ROIDistant, Early Warning to locatesubscribers before they are leftout in the cold as chronic non-responders 1. re-engage 2. save email send qty 3. sell 4. parting is such sweet sorrow
    30. 30. Automated Program to Re-Engage
    31. 31. Steps in Re-Engagement Program
    32. 32. Lessons Learned / What’s Next
    33. 33. Some Lessons Learned
    34. 34. What’s Next for SmartPak
    35. 35. Tafford’s Endless Love: ResultsResults are for one monthOpen rate of emails even higher than in testing phase– $/Email however is lowerWill run as is for May and re-evaluate underperforming partsof the program
    36. 36. Tafford’s Endless Love: One Month TakeawaysResults are limitedWill have May to develop more results and re-evaluate underperforming parts of theprogramIf part of the program doesn’t work…we’lltest something else!
    37. 37. What’s Next for Tafford
    38. 38. Key Takeaways
    39. 39. Appendix
    40. 40. NOT ALL INACTIVESARE CREATED EQUAL
    41. 41. SmartPak: Analysis/Definition
    42. 42. Determine Root Causes
    43. 43. Retail Reactivation Successes Proactive changes in email strategy driving permission marketers Retail industry revamping email strategy » Recognition of customer burn-out (opening/clicking fewer emails than 4 years ago) » “Noise” increasing in average inbox (sophistication required to stand-out) Nicole Miller improved messaging and cut volume (1 per week, down from 3) » Improved unsubscribe rates » Opens rates jumped from 15% to 40% » Email now 17% of sales (up from 10%) GameStop split base into “general” and “rewards” customers » Decreased email to general, increased customization and targeting for rewards customers » High-value rewards customers opening 30% of emails (compared to 10% of generals) Neiman Marcus increased email while stepping up use of customer data » Better targeting drove 10% to 20% increase in open and click-through rates » No increase to unsubscribe ratesSource: Stores Smarten Up Amid Spam Flood, Wall Street Journal , March 2012
    44. 44. After Identifying Inactives, Then What? Options to test The results for active subscribers: Reduce frequency • • Remove bounced addresses » Always remove hard bounces after first • occurrence » Soft bounces after 3 to 5 consecutive occurrences The results for inactive subscribers: Update email addresses • » ECOA campaign • Reengagement campaign » Strong offers and good, re-engaging content » Avoid typical promotions (drive up Results based on split IP complaint rates) (not always necessary to drive improvement)Source: Delivery Rate Increases from 60% to 99% by SeparatingInactive Subscribers, Marketing Sherpa, April 2012
    45. 45. Deliverability Environment Changing Reactivation an imperative, (no longer aMust be more vigilant to ensure you land in inbox nice-to-have…) ISPs determine which emails are delivered to its users (inbox, junk folder, dropped altogether) Healthy bounce and low churn rates no longer enough to ensure inbox placement Increasing focus on engagement in email deliverability » ISPs looking at engagement (e.g. opens, clicks, even “add to address book” and “forward to friend”) » Three biggest players have changed the rules of the game  Gmail’s “Priority Inbox” filters on user’s interaction with emails  Yahoo’s filtering growing more complex  Hotmail behavior-triggered filters (messages deleted without being read, etc.)
    46. 46. Analyze…
    47. 47. Who Stays (Who Goes?) Which subscribers have potential, which don’t?Source: Theres Inactive and Theres Inactive, Eric Kirby, Magill Report, March 2012
    48. 48. Today: Inactive (Re)Analysis for SmartPak Receives reactivation campaign No longer emailing (check purchase activity, quarterly)
    49. 49. Minimize Inactivity with Onboarding
    50. 50. Minimize Inactivity with Onboarding
    51. 51. Minimize Inactivity with Preference CenterGood preference centers help hold onto subscribers even as their needs/ interests change… Source: Good Preference Centers Can Hold Onto Subscribers Even as They Change, Marketing Sherpa, August 2011
    52. 52. Interested In Learning More?silverpop.com/marketing-resources www.slideshare.net/silverpop Twitter.com/silverpop Facebook.com/silverpop

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