A4U EXPO:How to Build a Successful Email Marketing Campaign

Agenda• Introduction• Tesco Kitchens – Email & Lead Generation

– Creative Design– Importance of Mobile– Sending Strategy – Frequency– Analysing your results

• Matalan – Email for Retail– Creating a strong proposition– Testing– Subject Lines– Targeting

• Drink Aware – Retargeting & CRM– User journey– Sending Strategy – When to send– Retargeting– Optimisation

Background• Performance emailing for customer acquisition

• Working with advertisers on a CPA/CPL/CPC basis but monetize email data on CPM model

• Send over 18M emails per day

• Run over 120 different advertising campaigns per week in UK, Spain, & Italy

• Test up to 40 new campaigns per week

• Generate more than 10,000 clicks per day

• Work with 100 different lists – with consent to mail third-party offers

• Member of the DMA

Introduction

70% of companies surveyed ranked email marketing as providing "excellent" or "good" ROI

Almost 40% of companies describe

their strategy for optimising email

marketing for mobile as “non-existent”

50% of companies don’t know how much email sent is read on mobile

eConsultancy Email Marketing Census 2012

Tesco Kitchens

Aim - To promote their kitchen installation service, driving leads for both brochure requests and design visits

Payment Model - Cost per lead

Target Audience - Homeowners, 30 plus

Tesco Kitchens – Creative Design

First Design

•50% of your audience will look at the email without images

•Knowledge of brand/offering

•Call to action above the fold

•Clear to the point messaging

Second Design• More informative• Choice of brochure/Design visit

targets different touch points in the consumer journey

• Free must be an image or use complimentary

• Call to action stands out• low ratio of text to image area

gives you a spam score of 0.9

Tesco Kitchens – Creative Design

• Tesco changed their strategy and wanted to focus purely on design visits

• Initial creative delivered 50% design visit leads & 50% brochure requests

• New designed changed this to a 85% design visit 15% brochure request split

Tesco Kitchens – Creative Design

Opens by Device - 2011 Opens by Device – 2012

MobilePC/Laptop

MobilePC/Laptop

Tesco Kitchens – Importance of Mobile

Tesco Kitchens – Importance of Mobile

• Clicks haven’t seen the same rate of year-on-year growth as opens• Silverpop claimed in their recent white paper that users

increasingly appear to open emails on their mobile device & then engage with them again on their desktop/laptop – with each opener viewing a message an av. 1.71 times

• In fact very few users open a message on more than one device – Litmus claim as little as 3%

• The biggest challenge in driving interaction via mobile is designing creatives make it hard for users to interact with the message

• Despite the increasing number of people opening via mobile the recent eConsultancy Email Census shows that almost 40% of companies do not have a mobile optimisation strategy in place

Call to action – large & clear

Scale – ideally no more than 320-500 px wide

Layout – single column templates are more

mobile friendly

Short, concise messaging

Avoid javascript etc which is not supported

by mobile devices

Font Size – should be slightly larger than

standard – 14px body/22 px headline

Tesco Kitchens – Sending Strategy

Sending Strategy

With a new brand it essential to retarget people who have expressed an interest with a

consistent and relevant message

Initial Send: Homeowners

Retargeting: Opens/Clicks

Retargeting: Inactive users

Tesco Kitchens – Frequency/Reach

Send1 Send2 Send3 Send40

100000

200000

300000

400000

500000

600000

700000

800000

900000

1000000

0

0.5

1

1.5

2

2.5

3

Total SenteCPM

Tesco Kitchens – Analysing Results

•Indicates the strength of the subject line & data selection

Open Rate•Re

move variables such as delivery & open rates

Net CTR

•Demonstrates the response to messaging & content

CTR

•Shows the strength of the conversion process, can be skewed by high clicking data

EPC

•Key measure for email success – takes into account impact of all factors across the data

eCPM

Results

• In Q1 2012 we delivered:– 23,426 clicks– 1,762 design visits– 1,362 brochure requests

• 11% Dupe rate across whole program• 77% of appointments generated via email

Tesco Kitchens – Analysing Results

Matalan

Aim - To increase awareness of the brand and drive sales for their 50% off sale

Payment Model – Hybrid: Cost per Click + Cost Per Action

Target Audience - Female, 20 to 60years, low to mid salary

Matalan – Creating a Strong Offer

Merchant View

Your Brand

Strong Offer

High Volume of ClicksUnique

AudienceIncremental

SalesBrand

Presence

Matalan – Creating a Strong Offer

Strong Offer

Good eCPM

High Volume Sends

Premium Data

Highly Active Data

Affiliate View

Matalan – The Importance of the Offer

Subject Line

• Irresistible Christmas treats from Monsoon

• 25 percent off until Sunday – hurry

• Reiss Sale. Up to 50 percent off

Open Rate

• 2.36%

• 7.16%

• 17.73%

Matalan – The Importance of the Offer

Strength of the Incentive vs. Exclusive

Subject Line Open Rate Click Through Rate

Exclusive 10 percent off at Ann Summers until the 31st May

5.33% 18.83%

Hurry, Up 80% off in Ann Summers Sale 9.01% 27.46%

N.B. – For some verticals such as travel an exclusive voucher is beneficial

Matalan - Testing

Test SendsPure CPA

Send Size: 29,497

Open Rate: 11.09%

CTR: 11.39%

ECPM Index: 35% below av. for retail vertical

CPA + CPC

Send Size: 29,562

Open Rate: 10.98%

CTR: 29.19%

ECPM Index: 75% above av. for retail vertical

Matalan – Subject Lines

Importance of the subject line

Phase 8 – Subject Lines Open Rate

Because we missed you! 5.64%

A treat for our friends and family 5.17%

20 percent off everything 6.17%

One week – 20 percent off 3.88%

Other factors to test:

Brand: Average uplift in ECPM of 34%Time: Average uplift in ECPM of 196%

Personalisation: Average uplift in ECPM of 119%

Matalan – Subject Lines• Using the right subject line can

have a huge impact on performance

• Mailer Mailer recently published a report detailing open rates by subject line

• However, our experience shows shorter subject lines can have a significantly lower CTR

• Ultimately, the best subject lines convey the offer in concise & compelling manner

1-15 16-27 28-39 40-50 51+0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

O/R by Subject Line Length

Open Rate

Subject Lines to AvoidThe obvious...

As Seen on

Multi level marketing

You’re a winner

Reverses Aging

Online pharmacy

Viagra

Casino

Double your income

Don’t delete

The not so obvious...

Click here

Call now

Free

50% off

Compare

Act Now

Save up to

Discount

Buy Direct

Subject LinesDO

Keep your subject lines short

Use company or brand names relevant to the offer

Use features & benefits of the product

Give customers a sense of urgency

DON’T

Overuse exclamation marks!!!

USE CAPITALS FOR EVERY WORD

Forget to tell the customer the point of the emailTrick the customer into opening the email – subject lines needs to be relevant to the email content

Matalan – Customer Journey

•Big call to action

• Strong Sales message

• Navigation to specific areas of the site

•Details of delivery and returns

•Indication of prices

•Social Media

Matalan – Customer JourneyCustomer Journey

Matalan - Targeting

•Source

•Demographic Information

Data Profile

•Analysis of previous opens/clicks/sales

•Seasonal trends

Past Behaviour

•Test to most suitable data first

•Identify similar data & test again

Testing

Matalan - Targeting

Demographic Targeting• Taking information you know about the data to identify

the users most likely to convert• Age/Sex/Location etc

Behavioural targeting • Looking at past activity and sending similar/related

offers • E.g. sending pet insurance offers to users who

responded to a cat food campaign

Matalan - Targeting

Demographic Behavioural0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

0

1

2

3

4

5

6

7

8

9

OpensCTRConversions

Matalan

Results:

Sent Open Rate CTR NCTR

455,546 7.23% 32.44% 1.70%

• 125% more clicks than any other publisher during the "main period of promotion". • Same click volume as another top retail best true content publisher.•30% of orders came in after a 7 day lag• Latest order came 28.77 days after the first click (cookie only tracked 30 days)

Drink Aware

Aim - To raise awareness and encourage people to sign up to DrinkAware.co.uk to monitor their alcohol intake

Payment Model – CPM

Target Audience – Over 18’s

Drink Aware – User Journey

Subject Line: How many calories are in your drink? Find out with MyDrinkaware

• Relevant Incentive

• Raising awareness and overall marketing strategy

• No CTA above fold = Clickable

Drink Aware – User JourneyLanding Page

Drink Aware – Sending Strategy

Monday Tuesday Wednesday Thursday Friday Saturday Sunday

OpensClicksCTR

Monday Tuesday Wednesday Thursday Friday Saturday Sunday

WebmailDesktopMobile

Drink Aware – Sending Strategy

Drink Aware - RetargetingRetargeting the Openers

Capture the data

Maintain Familiarity

Do not over mail

Mail once a week, if you don't get a response keep halving the sendsInitial Mailing

2nd Mail – 1 week later

3rd Mail – 2 weeks later

4th Mail – 1 month later

5th Mail – 2 months later

6th Mail – 3 months later

Drink Aware - Creative

V

Drink Aware

Results:

Creative Open Rate CTR

Original Creative

36.33% 3.49%

Redesigned Creative

27.95% 5.41%

Analysis• Stronger open rates for the

initial send due to frequency of mailing

• Clearer call to action & layout saw CTR increase by 55%

• Overall performance increased by 19%

Optimisation

•Informs your future activity for each listCampaign Analysis

•Typically 15-20% of your list will respond on a regular basis•This group will contribute 80% of your revenue80/20•Maintain a balance between profit & sustaining the offer/data•Over mailing will increase unsubs, damage deliverability & reduce long-term profitProfit/Sustainability

•Create groups based on what users have interacted with•This can increase response rates by up to 70%Behavioural Groups

•Tailor your sending strategy based on user behaviour:•New subject lines to non-openers•New creative/offer for non-clickers

Mailing Strategy by Group

Summary

Test Everything

Always consider mobile in your strategy

Analyse performance & consider all metrics

Segment & optimise your data as often as possible