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Customer Engagement: The 2010 Email Marketing Imperative Follow on Twitter: @LorenMcDonald @Silverpop Loren McDonald VP, Industry Relations

Customer Engagement Email Marketing eMA

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By most measures, email marketing continues to provide the highest ROI of all marketing channels. However, the explosion of social media and mobile, changing consumer uses of communications and overloaded inboxes dictate that email marketers must take their program to a higher level in 2010 and beyond.Increasing customer engagement is the most critical strategy that email marketers must focus on in this changing environment. With most companies faced with limited resources, where should your efforts be focused in 2010? This session presented at the eMA conferenc in San Fracisco on April 22, 2020, makes the case for a number of initiatives and tactics; provides both good and bad examples; and recommended best practices that attendees can put into practice. Areas covered included:• Preference centers and data collection• Welcome email programs• Incorporating user-generated content, reviews and recommendations• Frequency and value-add message streams• Behavior and event-triggered emails• Remarketing and shopping cart abandonment emails

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Page 1: Customer Engagement Email Marketing eMA

Customer Engagement: The 2010 Email Marketing Imperative

Follow on Twitter:@LorenMcDonald@Silverpop

Loren McDonaldVP, Industry Relations

Page 2: Customer Engagement Email Marketing eMA

#4

If they were countries…

#1

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Email is the #1 way consumers want to be communicated to by

businesses.

Microsoft/Hotmail

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So, Email Engagement…

What’s all the fuss?

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Social Media Explosion

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Mobile / Small-Screen Devices

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Some Consumers are Tuning Out

25% to 80%+ of your listis “inactive”

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Customers Have the Last Word

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“Retention is the new acquisition.”

Joseph Jaffe

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The customer-led and social

revolution has ushered in…

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…the need for companies to better Engage with their Customers and

Prospects…

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..and Deliver the

Right Message

at the

Right Time

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Because Hope is Not a Strategy

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Relevant Emails Rock!

Note: Metrics and salary costs based on JupiterResearch executive survey. Broadcast assumes $3 CPM, and all others assume $4.5 CPM. All assume $89 AOV, 50 percent product margin, and 2.8 million pieces of mail per month.

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3 Keys to Better Engagement

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Data as the Foundation

Explicit Data

Implicit Data

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Content as the Value

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Automation and Rule sets as the Enablers

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Data is the Foundation

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No Data, No Relevance

Logical data capture

• Gender• Marital status• Age ranges on signup• Wedding anniversary• Significant other’s birth

date

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26th Anniversary…and I get This?

How About Product Selection & Content that recognizes I’m:

• Male• Married• Kind of old guy • Married 26 years

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Explicit and Implicit Data Types

Demographics

Psychographics / Interests

PreferencesBehavioral

SocialGraphics

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Why Preference Centers?

•Demographics & interests

•Up to date/changes

Data Capture•“My

Email”

•Better retention

Subscriber Empowerment

•Preferred frequency, lists

•Basis of personalization, segmentation

Increased Relevance

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Explicit Data/Preferences

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Behavior-Based Segmentation

Customers• Active – Buying, opening and clicking regularly

• Semi-Active – Buying, opening and clicking

occasionally

• Inactive – No longer buying, opening and clickingProspects • Active – Opening and clicking regularly

• Semi-active – Opening and clicking

occasionally

• Inactive – No longer opening or clicking

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Engaging Content

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Old Rule:Sell the sizzle, not the

steak.

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New Rule:Educate with grilling tips, recipes and wine pairing.

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Content that is Engaging is…

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Surprise & Delight

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Leverage Reviews

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Recommendations

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Cross Sell / Upsell

Best Practice:Recommend accessory itemsor complementary items for each product in cart

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Sell by Educating

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Be Human – Incorporate Personality (I’m Too Sexy for My Subject Line)

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Be Helpful

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• Personal reviews/ comments from staff members

• While not objective, puts real people behind the products and emails

Be Relatable

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“Doughboy” + Valentine = Shareworthy

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Lifecycle / Automated Emails

“Set it and forget it”

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Question is not What is

the optimum frequency?,

but How do we send

more relevant emails,

more often but with

fewer resources?

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Triggered Emails:

3-5% of email volume45% of profits

Orbitz

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Automated Email Program

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Within two months of opt-in, the open rate typically

falls 20% to 25%.

Source: MarketingSherpa

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Welcome emails may be the most important email

you will ever send.

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Bring the Flowers

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Welcome to the Tafford Community

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Three Reasons You Will Love Tafford + A Special

Offer

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Personalize Your Tafford Experience

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2009 Welcome Series Indexed Results…

Welcome #1 Performs 6X Better!

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Happy Birthday

• 52% Open Rate

• 13.8% CTR

• 10% higher conversion rate

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2009 Birthday Campaign Indexed Results…

Almost 25X

better…

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Product Review Email

14% of those who click place another order

Second highest conversion rate next to Abandon Cart emails.

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Thank You

60% higher conversion rate than overall broadcast average

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Purchase Anniversary

15% higher conversion rate than average from broadcast messages

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Multiple Opportunities in the Funnel

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Samples of RemarketingCategory Views /

Abandonment

Product Views

Cart Abandonmen

t

Purchase History

Product Purchased

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Following up with abandoners by email

yields

up to 50% conversion.

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Cart Abandonment w/ Discount

CTR 350% higher50% higher conversion rate

than broadcast

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A Special Offer To

Return To Tafford

Did You Forget

Something?

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2009 Abandoned Cart Indexed Results…

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25% conversion on cart abandoners.

Cart program account for almost 1/3 of TOTAL yearly email sales

First and most effective in the series sent within hours after abandonment.

Abandon Cart Emails

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Rewards for Fabric.com’s Efforts

1. 35+% of revenue comes from email

2. Nearly 50% annual growth in email

revenue

3. 140% increase in conversion rate

4. More than 50% increase in visitors

5. 7% increase in avg. order value

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Are You Engaged With Your Subscribers?

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Resources

• Resource Center– White papers– Webinars– Blogs– Case studies– Newsletters– http://www.silverpop.com/marketing-resources/index.ht

ml

• Many presentations on SlideShare– www.slideshare.net/Silverpop

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Thank you!

On Twitter: @Silverpopwww.slideshare.net/silverpop

www.silverpop.com