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Email Marketing: Avoid the pitfalls of a direct-mail mindset

February 7th, 2012 1 comment

New technology is always bewildering. We get a newfangled tool. We play with it. We relate it to other stuff. We try to understand it.

The problem is that new technology is new. You can relate it to older stuff at first, but you have to move on. Thinking about it in old ways can hold you back.

Take email marketing, for example. Companies used it as a digital form of direct mail for years. We now know email is not direct mail, but some companies continue reliving the past. Here are a few examples:

 

Sending unsolicited email (spam)

Aside from a rare catalog, never in my life have I requested direct mail. Yet, every time I go to the post office, I pick up a few bills and toss out a horde of unsolicited junk.

Companies brought this tactic to email marketing, and we gave it a new name: spam. Under the CAN-SPAM Act, it is legal to send unsolicited commercial emails in U.S. But, just because something is legal does not make it a good idea (it is illegal in Canada and the EU).

When you send an unsolicited email, the person does not toss it into a recycling bin at the post office. Sure, they can delete it. They can ignore it. But they can also report it as junk to their ISP or webmail provider. All they have to do is click “junk” and a complaint is registered.

This complaint is a strike against your reputation as a sender. If you get too many strikes, your delivery rate will drop and more of your emails will land in the junk box. This is like having the post office preemptively throw your direct mail in the trash to save customers the trouble.

Some companies get results from renting lists and sending unsolicited email, which is why billions of spam emails are sent every day. However, in my eyes, this is a carry-over from the direct mail world, and it’s not a good way to build an effective email program.

 

Avoiding email segmentation

In direct mail, segmentation is used to keep costs down. Rather than paying to print and mail 100,000 postcards, marketers will identify a segment of the list that is more likely to respond. They might mail 50,000 people and get a similar number of responses at a significantly lower cost.

When email came along, direct mail marketers saw a bonanza. An email cost less than a penny to send. Companies stopped seeing the point in segmentation. They thought, “Why not grab every address we can get our hands on? We’ll email everyone in every campaign. It will cost less than a cup of coffee!”

And, spam surged into the market. ISPs and webmail providers fought to give customers a better service. They filtered billions of unwanted emails from the handfuls of wanted ones. They started tracking sender reputations, making sure to punish companies that routinely sent unwanted email.

Then, the email marketers came around. They realized they had a reputation to maintain. They started segmenting. They removed irrelevant contacts from their campaigns. They spoke directly to each segment to increase response and cut spam complaints. Suddenly, email was no longer direct mail.

So keep this in mind: email segmentation is not direct mail segmentation. The point is not to save money on printing and postage. The point is to maintain your sender reputation, improve relevance, and keep response rates high.

 

The next tool will be new

Discovering how a new technology should be used is hard. Marketers took at least a couple years to figure out social media. We’re still working on mobile marketing. And, there’s bound to be something new around the corner.

When the next great tool comes down the pike, remember the assumptions companies held onto when email came to life. Those assumptions might help you get your feet wet, but you’ll find your feet stuck in cement if you hold them for too long.

 

Related Resources:

Analog Designs in the Digital Age

Trigger Happy: Why emails are the magic bullets of marketing automation and shopping cart recovery

Email Marketing: A toxic misunderstanding that could kill your response rates

Email Relevance: 8 tactics for leveraging timing, segmentation and content

 

Marketing Analytics: What the heck is ‘cross-channel management?’

January 24th, 2012 1 comment

Technology and language have a strange relationship. Technology pushes the limits of what we can do. Language lags behind, trying to explain what we’ve done.

For example, take “cross-channel management.” Or is it called database integration? Or multi-channel management? Or a unified customer database?

All these phrases strive to describe a similar technology — one in which a company centralizes all its customer data and makes it actionable. The vendors appear to differentiate themselves in their language and their features.

But marketing teams are reaching the limits of their databases and they need more than snappy jargon. They need clarity.

Nearly 90% of email marketers say integrating email data with other data is at least a “somewhat significant” challenge, according to the MarketingSherpa 2012 Email Marketing Benchmark Report, written by W. Jeffrey Rice, Senior Research Analyst, MarketingSherpa. And just last week, we published a case study about a credit union that replaced its database to push its email marketing forward.

To help clarify this topic, I spoke with Kristin Hambelton, VP of Marketing at Neolane. Neolane provides “conversational marketing technology” (which is another phrase you can add to the list).

Read more…

Email Research: Top 3 tactics to grow your list

January 17th, 2012 3 comments

Growing your email list has benefits beyond the obvious increase in size. For example, new subscribers are often more active than older ones. They just signed up for your emails and want to click and open them.

For this reason (and many others) you should always strive to grow your email list. Doing so will help keep your engagement numbers healthy and ensure your brand is connecting with new prospects.

Growing your database can seem daunting, though, with the number of tactics at your disposal. Thankfully, marketers have been running list growth campaigns for years. Here is a chart of 10 popular tactics, starting with the most effective on top. The chart is pulled from the all new MarketingSherpa 2012 Email Marketing Benchmark Report.

 

The Most Effective Tactic: Registration during purchase

More than 90% of email marketers say adding an opt-in request to the purchase process is at least “somewhat effective” at growing email lists. This tactic is also the only one to have more than half of email marketers (61%) saying it is “very effective.”

Digging deeper in the Benchmark Report, we find this tactic was only the sixth-most used among the 10 listed. The tactic is vastly more popular among e-commerce marketers (59% use it) compared to marketers in other industries:

  • Professional or financial services: 31%
  • Software and software as a service: 28%
  • Education or healthcare: 26%

 

Most Effective Tactic #2: Online events (webinars, etc.)

Offering content or something else of value is a common way to build an email list. We’re seeing online events prove to be effective incentives. More than 90% of email marketers say they are at least “somewhat effective” at building lists and 41% say they are “very effective.”

Online events appear to work best in the software sector, with 46% of email marketers there saying the tactic is “very effective.” That number drops to only 24% in the e-commerce sector, which is understandable. When was the last time you attended an event to buy something on Amazon?

 

Most Effective Tactic #3: Website registration page

Website registration pages are, far-and-away, the most popular tactic for growing email lists, with 75% of email marketers using them. Their popularity remains above 70% across email marketers who target consumers, businesses or a mix of both.

Adding several calls-to-action to join your list throughout your website is an effective tactic, and you can greatly improve results by following best practices. Kodak, for example, captured 33% more email subscribers by updating its email capture form, adding more opt-in requests, and adding a capture form to Facebook. (The team overhauled its welcome emails, and added social subscribers, too.)

 

Related Resources:

MarketingSherpa 2012 Email Marketing Benchmark Report

Email List Growth: Finding low-cost and no-cost ways to grow your database

Email Research: The 5 best email variables to test

Email Marketing: How to sprinkle subscribers with a well-timed welcome in 5 steps

MarketingSherpa Email Summit 2012

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Trigger Happy: Why emails are the magic bullets of marketing automation and shopping cart recovery

January 10th, 2012 3 comments

Triggered emails are rarely discussed as a standalone tactic. Buzzwords like “marketing automation” and “shopping cart recovery” are everywhere, but the automated messages behind them seem to be taken for granted.

After 2011, I am no longer taking triggered emails for granted. I interviewed scores of marketers that used them to achieve fantastic results by:

Through these and many similar campaigns, I have noticed that triggered messages have tremendously higher engagement rates than most other emails. Why is that?

  Read more…

Content Marketing: Web-based tool to help email marketers

January 3rd, 2012 No comments

Editor’s Note: Since MarketingSherpa recently formed an affiliate partnership with ClickMail to help the value-added reseller of ESPs get more attention for its nifty ESPinator tool, we thought it might be worthwhile to rerun this blog post to give you ideas for using a Web-based tool in your own content marketing. (Original publication date: Feb. 22, 2011)

Content marketing goes well beyond publishing whitepapers and blogs. Your company can provide videos, slide decks, webinars and even Web-based tools — like ClickMail’s ESPinator.

ClickMail pairs companies with email service providers (ESPs) and helps them establish effective programs. For years, its marketers have published a blog and an annual PDF guide on how to select an ESP.

“We’ve always felt that we had a clear view of the strengths and weaknesses of the various ESPs,” says Marco Marini, CEO, ClickMail. “From that, we evolved into an annual guide on selecting the best one. It’s completely vendor-neutral. It doesn’t talk about any vendors at all, just what the factors are.”

The ESPinator is the next step in that strategy, Marini says. Launched in early 2011, the tool asks users a series of questions and suggests up to three ESPs that are well-suited to their needs.

“Every vendor at a trade show says their solution is the best. There truly isn’t a best solution. It all depends on what your specific needs are,” Marini says. “There are more than 30 ESPs in the tool, and we don’t have a relationship with the vast majority of them. So this is truly more for the email marketing audience.” Read more…

Content Marketing: Statistics are not engaging stories

December 20th, 2011 3 comments

What if I told you 42% of U.S. cell phone owners used their phones to fight boredom? Who cares, right? It’s a factoid. It should pass through one ear and out the other.

But, let me tell you about a completely fictional teenager named Jamal. Jamal wakes up every day at 6:00 a.m. and eats breakfast while checking his phone. He plays Angry Birds on the school bus, and checks his Facebook page in the bathroom during class.

“I use it when I get bored,” Jamal says. “Most of my friends are the same way.”

This little anecdote adds life to the stat. It shows us that 42% is not just a number on a screen. It represents something real.

Read more…

Content Marketing: Case studies are stories — so be a storyteller

December 13th, 2011 4 comments

Have you ever watched a movie that was happy from beginning to end? Just sunshine and roses and everyone was happy and lovely the whole time? Probably not, but if you have, I’m sorry because it must have been terrible. Every good story needs struggle.

In a good story, no one is happy for more than a few seconds (usually at the end). Cinderella and Snow White struggle. Odysseus struggles. Snooki struggles. What engages us is our connection to the character’s feelings. We relate to them and we want the character to win.

This is why customer testimonials are powerful. People see the quote and think, “This is a real person, just like me! And look, they love this thing!” A good testimonial wonderfully illustrates why someone should buy your product, and it resonates because people relate to the customer.

Read more…

Email Research: The 5 best email variables to test

November 29th, 2011 2 comments

You test subject lines. I know you do. Nearly every email marketer I ask tests subject lines. You can’t imagine the number of times I’ve heard: “Yes, we test our emails. We test the subject lines every week.”

The fact is the subject line is only a tiny fraction of what you can test. It reaps only a tiny fraction of what you can achieve. There is so much more. Let’s look at the five most effective variables you can test in email campaigns, pulled from a chart in our brand-spankin’-new 2012 Email Marketing Benchmark Report.

 

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Read more…

Social Media Marketing: Analytics are free and plentiful, so use them

November 15th, 2011 6 comments

For years, the debate on social media marketing centered on ROI. Marketers asked themselves “How can we measure the impact of social media?” “What’s the ROI on Twitter?” “How do we know if LinkedIn is worthwhile?”

Thankfully, those days are behind us. Data is available from tools both paid and free. Unfortunately, for whatever reason, not every marketer has taken advantage, as you can see in the chart below from Adobe and Econsultancy, which we pulled from The Social Media Data Stacks e-book.

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Five of the six metrics listed above have a greater number of marketers saying they’re important than the number of marketers tracking them. This is like saying it’s important to eat right and exercise while eating chili cheese fries and canceling your gym membership. It just doesn’t make sense.

But don’t worry — we have you covered. Here is a list of free tools you can use to start measuring each social media metric.

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Search Marketing: Optimize social media, images, video and everything else

November 8th, 2011 6 comments

Search engine marketers have based entire careers on improving rankings. They fight tooth and nail to reach the top of the page, win more traffic, and push all their competitors down a notch.

But what if you could get more traffic by pushing your competitors down a few more notches? Or pushing them down on more keywords? By focusing on universal search, you can do just that.

Search engines do not strictly deliver links to webpages anymore. They deliver links to images, videos, products, news and more. This is called “universal search.” Just check out the results from this recent Bing search for “storage shed.”

 

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This page links to five different types of content. If you become a master at creating and search-optimizing this content, then you can claim not just higher rankings — but more rankings.

Here are some key categories of content and tactics pulled from MarketingSherpa research: Read more…