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© 2007 ExactTarget, All Rights Reserved Entire Presentation Copyright © 2003 - 2008 ExactTarget. All Rights Reserved. No portion of this presentation may be recreated, reprinted, distributed, published or represented without the written permission of ExactTarget. The New Essentials of Email Marketing How to Leverage Digital Marketing Technology and Media for Long-Term One-to-One Marketing Success Joel Book Director, eMarketing Education ExactTarget, Inc.

Interactive Integration & Email Marketing - Presented by Joel Book for IS08

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Presentation by Joel Book of ExactTarget for Interactive Strategies 2008 on Email Marketing and Integration with Interactive Channels

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Page 1: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Entire Presentation Copyright © 2003 - 2008 ExactTarget. All Rights Reserved.No portion of this presentation may be recreated, reprinted, distributed, published or

represented without the written permission of ExactTarget.

The New Essentials of Email MarketingHow to Leverage Digital Marketing Technology and Media

for Long-Term One-to-One Marketing Success

Joel BookDirector, eMarketing Education

ExactTarget, Inc.

Page 2: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

Marketing 2008 Channel Proliferation.Media Fragmentation.

Diluted Messages.Detached Customers.

Page 3: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

<1990 1990s

Direct MailTelephone

1999 2000s 2008TVRadioPrintDisplay

IMEmailDirect MailTelephone

TVRadioPrintDisplayWebsiteSearchOnline Display

IMEmailDirect MailTelephone

TVRadioPrintDisplayWebsiteSearchOnline DisplayPaid SearchLanding PagesMicrositesOnline VideoWebinarsAffiliate Marketing

Mobile EmailSMSIMEmailDirect MailTelephone

TVRadioPrintDisplayWebsiteSearchOnline DisplayPaid SearchLanding PagesMicrositesOnline VideoAffiliate MarketingWebinarsBlogsRSSPodcastsWikisSocial NetworksMobile Web

Addressable VoiceMobile EmailSMS + MMSIM EmailDirect MailTelephone

TVRadioPrintDisplayWebsiteSearchOnline DisplayPaid SearchLanding PagesMicrositesOnline VideoAffiliate MarketingWebinarsBlogsRSSPodcastsWikisSocial NetworksMobile WebBehavioralSocial Media & AdsVirtual WorldsWidgetsTwitter

Page 4: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

The average customer is exposed to 1600 ad messages each day.

Page 5: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Is anybody listening to

me?

Page 6: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

*SOURCE: 2008 Spam Complaints Survey from Marketing Sherpa & Q Interactive

56% consider messages from known senders to be spam if they aren’t “interesting”

50% consider messages from known senders that are sent too frequently to be spam

48% are using “report spam” buttons for reasons other than to report unsolicited email

Consumers are Pushing Back

Page 7: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

Marketers Must Stop Selling and

Start Serving.

Page 8: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Serve the subscriber’s

needs

…and they will serve

yours

Page 9: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

Welcome to the New Era of

Email Marketing

Page 10: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

Integration.Automation.

Optimization.

Page 11: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

THESE TACTICS MUST BE YOUR FOUNDATION

WEBSITE

SEARCHEMAILBLOG

PAID SEARCH

ONLINE VIDEO

MOBILE

SOCIALSMS

WHATEVER YOUR UNIQUE MIX UP HERE…

WHY?THESE THREE FOUNDATIONAL

TACTICS PRODUCE THE HIGHEST LONG-TERM ROI AND HELP EVERY OTHER TACTIC PERFORM BETTER

Page 12: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

WEBSITE

SEARCH

EMAIL

CRM

Analytics Multi-Channel Interaction

BLOG

PAID SEARCH

ONLINE VIDEOMOBILE EMAIL

PHONESMS

Page 13: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

1. Design Your Website to Engage Visitors.The New Essentials of Email Marketing

Page 14: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

YOUR DIGITAL FOUNDATION

WEBSITE

Page 15: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Trade Shows

Sponsored Events

Print Advertising

Direct Mail

Social Networks

Broadcast Advertising

Public Relations

Webinars

Search Engine Marketing

Word of Mouth

Online Advertisements

Corporate Blogs

The Web

Websites have become the “Hub” of Marketing

Page 16: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

“92% of business buyers go online to research products and suppliers.”Source: Forrester Research (July, 2007)

“51% of consumers are researching on the Internet, then completing their purchases offline.”Source: Jupiter Research (July, 2007)

The Customer Life Cycle

Interest Evaluation Purchase Usage LoyaltyRe-PurchaseWebsite Visit

Engagement Begins with Website Visit

Page 17: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Many Visit. But Do They Convert?

Website Visitors

Print Ad

98% of website visitors do not convert.Source: WebTrends

Page 18: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Page 19: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

HP Sells the Value of Email Registration!

Page 20: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

HP invites subscribers to identify preferences for newsletter content

Page 21: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

HP explains why these questions are being asked.

Page 22: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

HP Technology at Work

Newsletter content is dynamically personalized based on customer-defined interests and preferences.

Special offers, event invitations and alerts are based on HP products used and subscriber-defined product interests.

Page 23: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

1. Design Your Website to Engage Visitors.2. Use Search to Attract Potential Email Subscribers.

The New Essentials of Email Marketing

Page 24: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

YOUR DIGITAL FOUNDATION

WEBSITE

SEARCH

Page 25: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Lead Generation

Online Advertising

Print Advertising

Marketing Events

Acquisition Tactics

Social Networks

Search (Paid and Organic) 87% of commercial website traffic comes from organic search.Source: Forrester Research

Search is Vital

Interest

The Customer Life Cycle

Evaluation Purchase Usage Re-Purchase Loyalty

Page 26: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Page 27: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Potential visitor searches on “Indianapolis.”

The ICVA Website is Optimized for Search

Page 28: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Multiple Calls to Sign up on Every Page of Website.

Page 29: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

ICVA Sells Visitors on Benefits of Email Subscription

Page 30: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

ICVA Captures Subscriber Interests Email subscribers are invited to

identify their travel interests and preferences. Data is transferred to the ICVA

Subscriber Profile Management Center in ExactTarget Customer attributes are used to

personalize email content

“83% of consumers want more control of what email content they receive.”Source: MarketingSherpa, 2007

Page 31: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

1. Design Your Website to Engage Visitors.2. Use Search to Attract Potential Email Subscribers.3. Use Email to Aid the Decision-Making Process.

The New Essentials of Email Marketing

Page 32: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

YOUR DIGITAL FOUNDATION

WEBSITE

EMAIL

EMAIL

SEARCH

Page 33: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

WEBSITE

SEARCH

EMAIL

“Selling now takes more time and resources then ever before. The sales cycle has become 22% longer as buyers are taking longer to consider their decisions.”Source: Sirius Decisions

Page 34: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

Retentionis the New

Acquisition

Page 35: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

Email isthe “Linchpin” of

Retention.

Page 36: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

The Customer Life Cycle

Interest Evaluation Purchase Usage LoyaltyRe-Purchase

Email Aids the Decision-Making Process

“Those who buy products marketed through email spend 138% more than non-readers of email.”Source: Forrester Research “E-Mail Marketing Comes of Age.”

“Once a person has been attracted to your web site, email can move the prospect through theconsideration and evaluation stages . . . all the way to purchase.”Source: Forrester Research

Page 37: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Email is #1 for ROI

Source: The Direct Marketing Association As reported in eMarketerDaily, October 30, 2007

“Commercial email ROI will hit $45.65 for every dollar spent in 2008.”

“Email produces the highest response rate of direct marketing methods studied."

Page 38: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Case Study:EMC My EMC Insight, was awarded the DMA’s Database Excellence Award in 2007

Page 39: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Purpose: To cultivate global prospects by: • Providing content, tailored to

their country and their specific selected interests.

• Keeping them actively engaged as they move from awareness through consideration to a purchase decision.

My EMC Insight

Page 40: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

My EMC Insight

EMC invites email subscribers to identify their geo location and topics of interest. Data is transferred to the EMC

Global Marketing Database Subscriber-supplied data is

used to dynamically personalize email content

“83% of consumers want more control of what email content they receive.”Source: MarketingSherpa, 2007

Subscription Center

Page 41: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

How does it all work together?

We

External Data Loads

Telemarketing, Data Entry, Sales and other External

Files Loaded Daily

Prospects

List Extract and Enterprise Reporting

CRMSystem

Lead Delivery to Sales

My EMC Insight

Market First

Contacts, Activities, Source Codes and Email Subscriptions are

synchronized

My EMC Insight Subscription

Center

Page 42: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Segmentation for Email Marketing

Market FirstProspects Selection of Email

Recipients

InterestIndicators

Previous Content Viewed

CountrySegments

Output FileFor Email

My EMC Insight

Send My EMC Insight

Page 43: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

How Content is Personalized9 Solutions of Interest

• BURA • Information Security• Business Continuity • Content Management • Oracle• Microsoft • SAP • Storage

• Virtualization

3 Buying Process StagesEarly: prospect researching a solution• High level overviews• Analyst whitepapers

Middle: prospect evaluating vendors• Customer case studies • In-depth technical notes

Late: prospect ready to buy product or a solution• Product spec sheets• Technical whitepapers

Three Stages X 9 Tracks = 27 Different Pieces of Content for Each Issue.

A second Multiplier is X Each Country

My EMC Insight

Page 44: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

1. TOC (Dynamic Content )− Changes by country, user –

defined interests, and buying stage

2. Feature Article (Static Content)− Features events, products, and

content that the whole subscriber base receives

3. Other Articles (Dynamic Content)− Changes by country, user

interest and intensity of interest− Creative expands to allow up to

9 dynamic offers

2.

3.

1.

My EMC Insight

Page 45: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

0

2000000

4000000

6000000

8000000

10000000

12000000

14000000

16000000

2006 2007 2008 2009

ContactsSubscriptionsOutbound Activities

Consistent Growth in Email Subscriptions and Prospect Contacts

Exponential Growth in Prospect Engagement!

My EMC Insight Drives Engagement!

Page 46: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

1. Design Your Website to Engage.2. Use Search to Attract Potential Email Subscribers.3. Use Email to Aid the Decision-Making Process.4. Use Analytics to Optimize Email Relevance, Timing.

The New Essentials of Email Marketing

Page 47: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Analytics

WEBSITESEARCHEMAIL

Page 48: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Behavioral Targeting Optimizes RelevanceVisitor arrives at your website

Visitor Profile Repository

Call goes out toVisitor Profile

Repository

create profile

First-time visitorAutomated Self-learningPredictive Modeling Engine

Repeat visitor

retrieve profile

Optimalcontent decisionsent to ExactTarget

Content Library

ExactTarget sends email with content tailored to visitor profile

Page 49: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Cable Shopping Network Gets It!The Challenge

−Maximize revenue and improve overall customer lifetime value

−Capture potential lost sales by automating manual re-marketing activities

The Solution−Re-marketing program targets customers who purchase

specific products or abandon the shopping cart− Highly targeted offers sent to customers drive adoption

of continuity programs

The Results− Increased overall site conversion rate by 1% (50%

improvement!)− 100% increase in site traffic− $1MM revenue increase in 2008!

Page 50: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Johnston & Murphy Gets It!The Challenge

−Acquire new customers−Accelerate re-purchase and cross-sell

The Solution− Invite opt-in through website and stores−Automated email campaign triggered by

“life-cycle events” (i.e. opt-in, first purchase)

−Personalized offers based on interest or purchase behavior

The Results−New Customers: Up 29% in last 24 months −Email Open Rate: Up 18%−Email Response Rate: Up 44%−Sales Generated from Email: Up 33%

Page 51: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

“Targeted email campaigns – personalized to subscriber needs – drive 9 times more revenue and deliver 18 times more net profit than broadcast e-mailings.”

Email Blast

Source: David Daniels, Research Director – Jupiter Research

Behavior Targeting in Email

Page 52: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

1. Design Your Website to Engage Visitors.2. Use Search to Attract Potential Email Subscribers.3. Use Email to Aid the Decision-Making Process.4. Use Analytics to Optimize Email Relevance, Timing.5. Integrate Email and CRM.

The New Essentials of Email Marketing

Page 53: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

CRM

WEBSITESEARCH

EMAIL

Page 54: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Customer Data – and the ability to Leverage it – is

a Huge Competitive Advantage

Page 55: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

WEBSITE

SEARCH

EMAIL

SOURCE: “Business Gain From How You Retain,” CMO Council

“More than of CMOs

report that they have little or no

customer demographic, behavioral,

psychographic or transactional data.”

50%

Page 56: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Needs and Interests

CampaignResponse History

Leads/Opportunities

Purchase Transactions

HH or BusinessDemographics

Account/Contact Information

Database Management

Segmentation and List Creation

Customers with Specific Needs

Iden

tify

Prospects with Specific Needs

Offer

InformationSele

ct

Timing

Trigger

Det

erm

ine

ExactTarget

Offline

Online

Offline

Email Marketing Program Creation and Execution

Emai

l Cre

atio

n

Cus

tom

izat

ion

/ Per

sona

lizat

ion

Segment A• Offer/ Message• Timing• Response Plan

Segment C

Segment B• Offer/ Message• Timing• Response Plan

• Offer/ Message• Timing• Response Plan

Data Capture / Lead Qualification

Nur

turin

g / S

ellin

g

Customer / Prospect Interaction

Land

ing

Page

/ M

icro

site

Salesforce.com Omniture

Closed-Loop CRM Model

Page 57: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Closed-Loop CRM Works!Enterprises with best-in-class closed-loop marketing achieved:• 36% average increase in year-over-year revenue• 21% average lift in year-over-year conversion rates• 26% average increase in year-over-year marketing ROI

Page 58: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Send Email on Behalf of the Account “Owner”

Page 59: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Thomson CompuMark sends information to attorneys on behalf of individual account managers.

Each Email is Dynamically Personalized! 22 sales person versions5 customized offers2 format choices

That’s 220 versions!

Page 60: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

“CRM is reemerging as a basic business enabler for revenue acceleration and retention management . . . and email is the core enabling technology.”

The Bottom Line? CRM is HOT!

Source: Forrester Research, Inc.The Top Marketing Technologies

Page 61: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Resources to Help You Improve

Your Game

Page 62: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Must-Have Resources for eMarketers!

Email Marketing SMS Triggered Email

ExactTarget Field Guides.

Page 63: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

New White PaperIntegrating Email, CRM, and Web AnalyticsHow to Build a One-to-One Marketing Machine that Strengthens Relationships and Boosts ROI

Page 64: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

A Philosophy To Drive Long-Term 1-to-1 Success

www.subscribersrule.com

Page 65: Interactive Integration & Email Marketing - Presented by Joel Book for IS08

© 2007 ExactTarget, All Rights Reserved

Entire Presentation Copyright © 2003 - 2008 ExactTarget. All Rights Reserved.No portion of this presentation may be recreated, reprinted, distributed, published or represented

without the written permission of ExactTarget.

Thanks!Joel Book

Director, eMarketing EducationExactTarget, Inc.

Email: [email protected]: 317.275.5444