Silverpop and partner Baynote take a look at using recommendations in email marketing to drive cross- and up-sell. Joined by the CTO of Musicroom.com, the team take a look at a dozen or more real-world examples of how personalised recommendations are driving conversion in triggered email marketing programmes.
2. Our Presenters Chloe RigbyWeb Editor – Internet Retailing Rolf DoerrDirector, Business Development – Baynote Alistair McLeishCTO, Musicroom.com Richard EvansDirector, Marketing – Silverpop
3. Today’s Agenda Personalising the Web The Concept of Collective Intelligence Creating the Customer Experience The Power of Triggered Email Marketing Personalising Email Marketing Live Q&A
7. CONVERGENCE OF RECENT MARKET DYNAMICS Rising Commerce Complexity Higher eCommerce Revenue Targets The Battle for Consumer Attention eCommerce growing at 12.6%/yr. Senior execs and board perceive online channel as a “miracle cure” e-Commerce dominated by large players, brands selling direct, increasing global competition More sku’s, prices, bundles, terabytes of data to analyze, multi-channel touch points,internationalization Consumers are Ahead of Merchants Social, mobile, local, flash sales, group buying, video, what’s next??? The Result: Increasingly Difficult to Make Your Revenue 3
8. BREAKING THROUGH THE 3% CONVERSION BARRIER Traditional online personalization strategies are based on past shopping history and profile data. 20% of online shoppers have an intent to buy, but only ~3% actually purchase. Personal in-store experience starts with understanding and acting on intent – “how can I help you today?” In comparison, 30% of shoppers who enter a physical store complete a purchase.* 7
9. TODAY’S REQUIREMENT: NEW APPROACH TO PERSONALISATION WHO are you? UNDERSTAND What is your intent, this time? ACT Deliver relevant product & content at every moment RESPOND Continually adapt to ever-changing interests Traditional Profiles And Targeting Rules Buyer Intent Streaming Modeling Revenue Multiplier Effect … Across All Channels 6
10. POLL: Do you currently use recommendations on your website, in email or both?
44. Basic recommendations algorithms can suggest related products based on meta-data. i.e. With a flute, recommend flute strings, flute books, flute cleaning products.
59. 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.
60.
61. Beyond the buzzword... This IS Relationship Marketing
72. Recipients receive 3,694 of these messages received per yearSource: Jupiter Research “US email Marketing Forecast, 2007 to 2012” Source: Quris, Harris Interactive, Executive Summary Consulting, November 2004 Source: Forrester Research, September 2003
103. Cart Abandonment Best practice: - Send within 24 hours for optimal results - Recommend similar items - Use business rules to determine if up-sell can be done
104. POLL: How long do you wait to follow up on abandon carts, etc?
115. Wrapping Up Personalised product recommendations create a more relevant experience on site and in email – leading to more engagement. Including recommendations in triggered email marketing can lift revenues from 5-12% by providing more options and a more personal experience. Implementation shouldn’t be daunting. Much of your investment has already been made in your email marketing solution.