Email marketing : past, present & future
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An assessment 38 years after the 1st email sent in 1972. Email vs. Social ? Friends after all ?
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Email marketing : past, present & future
- 1. Email Marketing Past, Present & Future
- 2. The future of email: Towards a sustainable model? The future of email : Towards a sustainable model ? Assessment of the situation Inboxes are getting crowded Have we reached a plateau? Changes down the road Email and Social Conclusion
- 3. Email marketing and multi-channel CRM consultancy • Email consulting Diagnostic Help in choosing tools and methods Help in performing campaigns Audit ("mobile diagnostic") Deliverability audit • Published studies Email Marketing Campaign Management Tools • Professional training: Email-academy.com
- 4. eCrm and Email Marketing consultancy Pignonsurmail.com Florenceconsultant.com
- 5. Email marketing An assessment 38 years after the 1st email sent in 1972
- 6. Strengths • Top #1 and #2 end-user internet usage in France • The only direct marketing tool on the Internet • Unrivaled contact cost in a loyalty/retention setting • A channel responsible for 10 to 60% of sales volume of ecommerce sites. Weaknesses • Inboxes are getting crowded • Spam drowning out the message • Often disappointing in customer acquisition • Reliability issues A personalized message sent to a target, with the aim of obtaining a measurable reaction. Email in direct marketing
- 7. Pop-ups/ pop-unders Banners, buttons House email SEO Rented email lists Contextual targeting Rich media/ video Affiliate Marketing Behavioral targeting Text-link ads 0% 10% 20% 30% 40% 50% 60% 100% 90% 80% 70% 60% 50% 40% 30% Marketers Reporting "Great" Return on Investment >>> Usage>>>
- 8. Performics Digital Investments Benchmark (214 respondents) METHODS USED SECOND SEMESTER 2009 EMAIL LOYALTY PROGRAM SITE DESIGN (DESIGN AND CREATIVE) CONSULTING AND STRATEGIC PLANNING SPECIFIC .NET, JAVA & PHP DEVELOPMENTS DISPLAY MOBILE MARKETING NATURAL REFERENCING (SEO) SOCIAL MEDIA MARKETING (NETWORKS, BLOGS) VIDEO CONTENT CREATION AND PRODUCTION EMAIL ACQUISITION PROGRAM SEARCH MARKETING (SPONSORED LINKS: SEM) AFFILIATION
- 9. • Inform • Notify • Convert • Entertain • … Email campaign uses
- 17. Email marketing Inboxes are getting crowded
- 18. Assessment of 2009 Email routing
- 20. Volume up 23% Email volume trend in France Billion emails routed
- 21. Moderate growth Emails/day Emails per day per internet user
- 22. Some figures • Upmarket distance sellers: 3/5 million emails per day. • Bulk MSPs: 5 to 8 million emails per day • EMA study Internet users have on average 2.7 email accounts On average, how much spam and "unwanted" email do you receive per day ? Don’t know More than 30/day Between 11 and 30/day Between 6 and 10/day Between 1 and 5/day None Some figures
- 23. Spam Invasion! The Dark Side of online advertising
- 24. Weaknesses of email • A widespread phenomenon. Considerable deliverability issues Tools Databases Campaigns Messages Deliverability Marketing Quality
- 25. Features of a campaign in 2006 My Database My email My delivery
- 26. Features of a campaign in 2010 My DB New subscribers Customers VIP members Lifecycle dates Opened Unopened 3 mo. Unopened 6 mo. Unopened 9 mo. Inactive 6 months Inactive 2 months Always been inactive Opened? Click through? Click through? Opened? Opened? Opened? Click through? Click through? Welcome email Customer email Lifecycle email Customer email Followup email Followup email Opt-out email Opt-out email
- 27. What about reducing the complaint rate?
- 28. How should I deal with unresponsive contacts after 20 campaigns?
- 29. Greater sophistication Sophistication Customer knowledge Product knowledge Distribution channel knowledge Broadcast Bulk delivery Segmentation Identify the target based on campaign objectives Personalization 1-to-1 content, fine-grained personalization Automation Across the customer lifecycle
- 30. Email marketing Have we reached a plateau ?
- 31. Performances tailing off Open rate Click thru’ rate
- 32. Performances stabilizing Open rate Click thru’ rate Open and CTR trends Q1 08 – Q2 09 Rateas%
- 33. Small is beautiful Open rate by volume sent – S2 2009
- 34. Changes down the road Towards a sustainable email model ?
- 35. Evolutions in email marketing • More fine-grained filtering of commercial messages Categories Spam Commercial messages Personal messages • Greater hurdles to routing databases of poor quality
- 36. 36 Commercial
- 38. Evolutions in email marketing • Improved handling of mobile 2009 EMA study From your mobile handset At least once a week Less than once a week Never Males Under 35 Living in Paris conurbation You connect to the internet…
- 39. Evolutions in email marketing • More automated campaigns Improved transactional messages Optimized lifecycle times • Leveraging user habits Linking of Web Analytics – Email
- 40. Evolutions in email marketing • Statutory evolutions Privacy legislation (Escoffier proposition in France) Transposition into national law of the so-called ‘Telecom Packet’ EU directive Public consultations this year Major directions Opt-in Usage and ownership of cookies Controls on usage of personal data …
- 41. Email vs. Social The match
- 42. Social Media • Foundations of a community: The reality of interactions Opportunities to interact and show oneself Identify of participants Sense of belonging • The address book and the link mechanism are the two pillars of social media • 400 million users worldwide, • Roughly 15 million "active" users in France. Top 5 social sites (France, January 09) Rank Unique Vistors (000) Avg time Source: Nielsen/NetRatings – France, Jan 09 – Internet applications included
- 44. 3 studies on email and social media • The Nielsen Company, “Is Social Media Impacting How Much We Email?,” September 2009 • Merkle: View from the Social inbox 2010 Research conducted Q2 2009 with 3,281 US respondents over 18. • ExactTarget.com: Is Email Marketing Endangered? The Truth About Email Usage Trends in Multi-Channel Marketing 1,579 responses collected in Q3 2009 and 760 in the UK between August and September 2009
- 45. ExactTarget
- 46. Merkle
- 49. Today
- 50. In 3 years
- 51. • Display advertising (#1 source of revenue) Business model similar to that of Google Cost based on CPM or performance Current marketing trends on Facebook
- 52. • Fan pages: Areas for discussion Free of charge Need to curate them New role: Community Manager Fast growth in number of members Marques Nombre de Fan Zara 2377648 H&M 1901353 Agnès b. 85644 Kiabi 46249 La Redoute 18968 Petit bateaux 16124 3suisses 2941 Becquet 1022 DPAM 328 Verbaudet 294 Current marketing trends on Facebook Brand Number of fans
- 53. Remarks
- 54. The Stakes of Community Management • Engage with consumers and develop conversations • Control conversations Respond to criticism, crisis handling Identify e-Leaders Direct themes and discussions • Leverage relationships and viral effects within networks
- 56. Current marketing trends on Facebook • Facebook apps Ability to recover user data (email, Facebook ID) Ability to address the member directly
- 58. An initial assessment of Facebook • A lot of hype • Widespread use in USA • Advertisers are still flirting with the idea • Limited marketing automation • Difficult to determine campaign ROI • Social networks heavily rely upon email for Notifications News feeds
- 60. Differents messages on Facebook
- 61. Social Media: An unstable model of intermediation. Free for brands, but for how long? What Business Model for social media? Security? Intrusive? Reliability? Customers Prospects Social media Advertisers
- 62. Some marketing features of social media • Reduced levels of personalization One-to-Many information delivery No One-to-One personalization • Powerful vectors for viral marketing • Attractive notification tools Twitter (the SMS of the Internet) • Predictions! Gartner, Inc.: "By 2014, social networking services will replace e-mail as the primary vehicle for interpersonal communications for 20 percent of business users.”
- 63. A reconciliation with email in sight • Major changes in preparation Since February 2010: Facebook applications can recover email addresses Project Titan: A full-featured Webmail product (cf. MySpace)
- 64. Conclusion • "Email has had a good run as king of communications. But its reign is over." Jessica. Vascellaro, WSJ Tech Reporter, October 12, 2009 • Customer knowledge developed through email will be very useful in social settings • Complementary uses Email engages users in a personalized context (offer dialogue), but does not enable dialogue itself Facebook provides the means to dialog and drive dialogues Email Social
- 65. Thank you! • Contact Information • Bruno Florence • www.florenceconsultant.com • www.pignonsurmail.com • bflorence@florenceconsultant.com • Tel: +33 4 9136 2594 • Cell: +33 6 6056 1044