Keynote presentation delivered at DMA2011-Brazil in Rio de Janeiro on November 22nd

1. The Renaissance of
Direct Marketing
How Smart Companies Leverage
Digital Media to Attract, Engage and
Retain Customers More Effectively
Joel Book
Principal, Marketing Research & Education
Twitter: @joelbook / #ExactTarget

3. Media [R]evolution Mobile Email
SMS
Mobile Email
SMS + MMS
IM IM IM IM
Email Email Email Email
Fax Fax Fax Fax Fax
Direct Mail Direct Mail Direct Mail Direct Mail Direct Mail
Telephone Telephone Telephone Telephone Telephone
<1990 1990s 1999 2000s 2011
TV TV TV TV TV
Radio Radio Radio Radio Radio
Print Print Print Print Print
Display Display Display Display Display
Website Website Website Website
Search
Search Search Search
Online Display
Online Display Online Display Online Display
Paid Search
Paid Search Paid Search Landing Pages
Landing Pages Landing Pages Microsites
Microsites Microsites Online Video
Online Video Online Video Affiliate Marketing
Webinars Affiliate Marketing Webinars
Affiliate Marketing Webinars Blogs
Blogs RSS
RSS Podcasts
Podcasts Wikis
Wikis Social Networks
Social Networks Mobile Web
Location Based Ads
Mobile Web
Social Media Ads
Virtual Worlds
Location Based Svcs
QR Codes

4. Marketing to The Power of ONE
From:
one-way
broadcast
To:
one-to-one
interaction

5. It’s All About Customer Engagement
“To effectively cultivate
meaningful relationships
with their customers,
companies will have to
connect with them in
ways their customers
perceive as valuable.
This entails engaging with
customers throughout
the entire customer
lifecycle.”
From Stretched to Strengthened
IBM Institute for Business Value Global CMO Study
Ibm.com/cmostudy2011

6. Customer Retention Remains #1 Marketing Priority

7. Life Cycle Engagement Drives Customer Retention
The Customer Life Cycle
Business Getting Business Keeping
Product Product Product Product Repurchase/ Brand
Inquiry Evaluation Purchase Usage Renewal Advocate
Acquire Engage Convert Serve Grow Retain
Engaging with customers throughout the life cycle . . .
• Drives initial and repeat purchase.
• Keeps customers connected and informed.
• Improves retention. Fuels brand advocacy.

8. Cross‐Channel Engagement is a Must
Managing the Customer Conversation
Requires Integration of Outbound & Inbound Channels

9. Life Cycle Customer Engagement Strategy
The Customer Life Cycle
Life Cycle
Stage
Product Product Product Product Repurchase/ Brand
Inquiry Evaluation Purchase Usage Renewal Advocate
Marketing Grow Retain
Acquire Engage Convert Serve
Goal
• Thank customer • Deliver relevant • Thank customer for • Send personalized • Send renewal- • Ask for referral to
for inquiry information purchase product news and triggered cross- friend or colleague
• Invite email • Provide links to • Promote related service updates sell /upsell offer • Invite customer to
subscription website content products/services • Send triggered • Provide incentive contribute content
• Send Welcome to aid purchase • Reinforce the value offers and service to renew or for blog or
Customer Email; Link to decision they will receive alerts repurchase newsletter
Interaction Preference • Send invitations from product or • Provide links to • Reward customer
Center to webinars and service product-related for loyalty.
• Invite customer live events • Invite customer to resources on
to identify • Invite product opt-in for product website
product needs, trial updates & service
interests reminders
• SEO • Email • Email • Email • Email • Email
• PPC • Website(s) • Direct Mail • Mobile (SMS) • Direct Mail • Website(s)
• Print / Broadcast • Webinar / Seminar • Field Sales / Agent • CSR • Website(s) • Social Media
Channels • Social Media • CSR • Direct Mail • Field Sales / Agent • Field Sales / Agent
• Mobile (SMS) • Field Sales / Agent • Social Media
• Website(s) • Website(s)

12. • Aids the Buying Process
• Improves Service
• Maximizes Retention

13. Email Aids Purchase, Improves Customer Retention
The Customer Life Cycle
Product Product Product Product Repurchase/ Brand
Inquiry Evaluation Purchase Usage Renewal Loyalty
Business Getting Business Keeping
“56% of US consumers say the message that
caused them to purchase was delivered by
email.”
Source: ExactTarget
Research Report: Subscribers, Fans & Followers, 2011

14. Email is Most Preferred for Receiving Promotions
Online
shoppers
prefer email
for hearing
about sales or
other
promotions

15. More People are Subscribing to Email

17. • Increases Brand Awareness
• Fuels the Conversation
• Attracts New Customers

18. Social Media Users
Facebook: 750M Worldwide / 225M U.S. (1) (1)
Twitter: 150M Worldwide / 20M U.S.
(2) (2)
LinkedIn: 100M Worldwide / 44M U.S.
(3) (3)
YouTube: 2B Views/Day; Avg. View: 15 Min. (4)
Sources: (1) Facebook (2) Twitter (3) LinkedIn, (4) YouTube

19. Social Media Facts
46% of consumers combine 24 hours of video are
uploaded to YouTube
social media and search engines in
their buying process (GroupM) each minute.
There will be nearly 21 million Twitter
(YouTube)
users in the U.S. by the end of this year
(eMarketer) Thirty-four percent of
marketers have generated
83% of US Online Adults participate in leads using Twitter, and 20%
social media (Forrester) have closed deals using
77% of consumers
Twitter (AllTwitter)
Approximately said they interact
US marketers will spend
55% of Twitter with brands on
Facebook primarily $3.08 billion to advertise on
users are through reading social networking sites in
mobile users posts and updates 2011.
from the brands Source: eMarketer, Jan. 2011
(Mashable)

20. 75%To monetize social media, convert the
of social media users say email is
best way for companies to communicate
“Fans them. (MarketingSherpa, 2010)
with and Followers” to email subscribers!
© 2009 Online Marketing Connect

21. • Delivers Exclusive Offers
• Drives Traffic
• Extends Customer Service

22. EMAIL DOMINATES
SMARTPHONE USE

23. Smartphones and iPads Have Accelerated Interaction
65.8 million people in
the U.S. now own
smartphones. Of these, 35.3%
use apps.
Source: comScore MobiLens
2011 U.S. Mobile Subscriber Market Share
March , 2011
24 million tablet
computers will be sold in the
U.S. in 2011.
More than 19 million will be
iPads
Source: eMarketer
December, 2010

24. iPads are Latest
Weapon in
Medical Sales
Medtronic orders 4,500 iPads
"[The iPad] enables our sales
employees to do a much better
job of engaging in a really
different way than we've done
before," said Michael Hedges,
Medtronic CIO.
Wall Street Journal, Dec. 8, 2010

25. Digital
Marketing
Innovators
Real Marketers
Real Solutions
Real Results

26. Best Use of Email to
Deliver Relevant
Information and Offers

27. BEST BUY Stays
Connected with
Customers Long
After Purchase

28. Relevance and Timing are Keys to Success
Email Communications Driven by Customer
Behavior Produce Best Results
>10% Conversion Rate
3.9%
1.1% 2.8%
Conversion Rate
Conversion Rate
Conversion Rate
Blast Driven Profile Driven Persona Driven Behavior Driven Real‐Time Triggered

29. Best Buy Does 1to1 Marketing on a Large Scale
Best Buy Weekly Email Campaign
Email Volume: 20Million
10 – 12 themes Email Versions: 18Million
segmented by
customer type
Loyalty Program
Information
Examples of other product themes
Home
Theater
Closest Best Buy
Store
Personalized Message for Best
product Buy Credit Card
Jogos
recommendations Holders
Message from
Partners
General Messages
Mobile

30. Life Cycle Engagement Drives Customer Retention
The Customer Life Cycle
Business Getting Business Keeping
Product Product Product Product Repurchase/ Brand
Inquiry Evaluation Purchase Usage Renewal Advocate
Acquire Engage Convert Serve Grow Retain
Engaging with customers throughout the life cycle . . .
• Drives initial and repeat purchase.
• Keeps customers connected and informed.
• Improves retention. Fuels brand advocacy.

31. Microsoft Office 2010
Lifecycle CRM Program Fundamentals
three key elements
based on tenure
month 1 month 2 month 3 month 4 month 5
(T+0 – T+29) (T+30 – T+59) (T+60 – T+89) (T+90 –T+119) (T+120 – T+149)
welcome
email series
integrated targeting retargeting
create a table in use sparklines apply conditional
two steps in charts formatting

32. Microsoft Office 2010
Get Started Welcome Series
get started from Takeshi print and save from Matt top features with Matt

33. Microsoft Office 2010
Encouraging Ongoing Usage
integrated targeting month by month
based on tenure
Month 1 Month 2 Month 3 Month 4 Month 5
(T+0 – T+29) (T+30 – T+59) (T+60 – T+89) (T+90 –T+119) (T+120 – T+149)
welcome
email series
integrated targeting retargeting
create a table use sparklines apply conditional
in two steps in charts formatting

34. Microsoft Office 2010
Email and Ads Go To Excel Landing Page
customer receives “Excel a table in two steps”

35. Microsoft Office 2010
Encouraging Ongoing Usage
integrated targeting month by month
based on tenure
Month 1 Month 2 Month 3 Month 4 Month 5
(T+0 – T+29) (T+30 – T+59) (T+60 – T+89) (T+90 –T+119) (T+120 – T+149)
welcome
email series
integrated targeting retargeting
create a table use sparklines apply conditional
in two steps in charts formatting

36. Microsoft Office 2010
Building on Excel
customers who engage get email to try Sparklines

37. Microsoft Office
Lifecycle CRM Program Results
The more targeted the email, the better the engagement!
50% 9x Open Rate
63%
22x CTR
Above Above Viewed entire
average email average email instructional
open rate click‐through video

38. EXPEDIA USES EMAIL TO
Expedia’s PreTrip Email Series
• Begins on purchase date and
MAKE TRAVELING concludes on date of travel
• Provides travel itinerary and
EASIER check‐in procedure
• Includes links to resources such
as hotels, car rental, restaurants

39. Motorcycle Superstore
Increased Sales 21% by
Personalizing Product
Recommendations

40. SkyMall’s
triggered remarketing email
campaign recaptures 3‐5% of
abandoned cart sales and
increases sales by 30%

41. Scotts’ Lawn Care Update
Teaches Consumers When
Overview
• Started in Spring 2000
• Subscribers: 1,500,000+ Scotts
and How to Use
Products to Get Best
• 355 unique geo-demographic versions
Objectives
Results
• Educate Consumers
• Drive Traffic to Channel Partners
• Create Brand Advocates
Content is Personalized based on:
• Consumer’s Grass Type
• Consumer’s Zip Code (Climate Zone)
• Weed and Insect Problems

42. Scotts’ Invites Website Visitors to Subscribe
Scotts invites website
visitors to subscribe its
monthly newsletter.

43. Scotts Uses Lawn Care
Update to Invite Customers
to Opt-in for “Scotts Alert”
Product Use Reminders
Scotts Alert: Now is the
perfect time to apply
Scotts Turf Builder
WinterGuard Fall Lawn
Fertilizer to your lawn.
Reply STOP to end alerts.
Other charges apply.

45. Universal Music
Group Uses
Facebook to Attract
Email Subscribers

46. Universal Music Group
Winner of the 2011 ExactTarget
Cross‐Channel Marketing
Campaign of the Year

48. Best Use of Email + Social
Media to Attract and
Engage Customers

49. SCOTTS INVITES
FACEBOOK FANS TO
BECOME SUBSCRIBERS.
( And 50% Convert! )

50. Papa John’s Uses
Social Media +
Email to Fuel Sales

51. Each Week, Crocs
Converts 2000+
Facebook Fans to Crocs
Email Subscribers!
Crocs’ Uses ExactTarget’ s Social Pages to
Convert New Facebook Fans to Email
Subscribers
Example of Crocs’ “Deal of the Week” Email
Personalized to Subscriber Preferences

52. Gordmans Invites New
Facebook Fans to become
Gordmans Email Subscribers
And says “Thank You” with a
20% Off Coupon

54. WHOLE FOODS FUELS THE
CONVERSATION
USING EMAIL & TWITTER

55. Local Whole Foods Stores Use CoTweet to:
• Promote in‐store events
• Promote special offers
• Target tweets to customer preferences like
wine, cheese, and organic products
• Respond to customer questions, and
invite customers to opt‐in to Whole Foods’
email newsletter

56. Ally Bank Uses CoTweet to Engage Consumers
“[CoTweet] allows us to find the
conversations we want to be a part of
and take action quickly. This year, we
have had almost 7K conversations
with consumers through CoTweet .”
Eric Rinebold
Ally Financial Global Marketing
(*) In October 2011, Ally Bank won a
Forrester Groundswell Award for its
innovative use of real‐time online content
creation and social media to engage
consumers.

58. ANDRETTI AUTOSPORT
INVITES FACEBOOK FANS TO
SUBSCRIBE TO FAN ALERTS

59. TWITTER KEEPS Meet & Greet Promotion
FANS CONNECTED
AND ENGAGED
Merchandise Promotion
Race Tune‐In Reminder
Fan Alert Promotion

61. Best Use of Mobile to
Attract Email Subscribers
and Serve Customers

62. Pier 1 Imports
Invites Shoppers
to text “Join” to
“59609” and
become Pier 1
Email Subscribers

63. Belk Uses Email, Mobile,
Social Media and Print to
Engage Consumers
Belk Facebook Page
Belk Newspaper Insert Belk Customer Email

64. Pei Wei Asian Diner
Uses Text to Grow its
Email Subscriber List
• Pei Wei Asian Diner invites guests
to join the restaurant’s email list
via text and receive a buy‐one,
get‐one free coupon.
• The campaign generated nearly
20,000 new email subscribers in
just two weeks.
• Coupon redemption rates
exceeded 20 percent, making this
the restaurant’s most successful
new email list growth effort to
date.

65. Ally Bank Invites Customers
to Text for Latest Money
Market Rates
65

66. SCOTTS SALUTES MLB GROUNDSKEEPERS;
INVITES FANS TO BECOME EMAIL SUBSCRIBERS
Thx 4 ur interest in Scotts
Lawn Care Update
monthly email. Reply BAT
[space] ur email address
(ex:BAT mlb@mlb.com) 2
complete sign-up. H help
Std rates apply

67. Best Use of Email + CRM
to Nurture Leads and Fuel
New and Repeat Sales

69. Email is the Backbone of Hitachi Data Systems’
Global E-communications Strategy
Customer Newsletter
Product Launch
Webinar Invite Product News
Event Invitation
Hitachi Data Systems uses email to:
• Nurture leads; Keep existing customers connected to HDS
• Support sales and service efforts of HDS field sales managers

70. The Mission
• Provide email communications capability
to hundreds of Hitachi Data Systems Field
Marketing Managers around the globe.
• Provide continuity in email design,
corporate branding, and messaging.
• Use email to support the selling efforts of
Sean Mattson Hitachi Data Systems Field Sales
Director, Managers.
Global Web Marketing
Hitachi Data Systems
Santa Clara, California

71. Online Marketing & Campaign Management Platform
www.HDS.com
Landing Pages,
Registration Pages
“Thank You” Pages, Webcasts / Podcasts
Closed
Total Integration
Tracking and Analytics Loop
of Customer Data
E‐communications
Marketing Database

72. HITACHI USES EMAIL HELP
IT PROFESSIONALS MAKE
SMART DECISIONS

73. Hitachi Promotes Content Sharing via Social Media
Hitachi makes it easy for
subscribers to share e‐news
articles, respond to offers
and access content on the
Hitachi Data Systems’
website. “Forward to a Friend”
“View the Video”
“Review the Case Study”
“Try it Free for 30 Days”
“Read the Story”
“Register for Webinar”

74. HITACHI USES EMAIL TO DRIVE
ATTENDANCE FOR ITS
WebTech WEBINAR SERIES
WebTech Webinar Series
• 35 webinars per year
• Up to 200 attendees per event

75. HITACHI USES EMAIL TO
PROMOTE ITS EVENTS

76. Hitachi Data Systems’ E-communications Solution
• Deployed in 30 regions globally
• More than 4 Million emails sent per year in 18 languages
• Total compliance with HDS branding and messaging standards
• Enables access approved email templates that can be easily customized
• 24X7 Help Desk provides program consulting using ExactTarget training
materials and tutorials
• All interaction – including email receipt, open, click through – tracked in
Oracle CRM On Demand

78. Customers Engage through Multiple Channels
The Days of the Single‐Channel Consumer
are Gone and they’re not coming back.

79. Direct Marketing Requires Cross Channel Engagement
Source: Forrester Research ‐ April 2009 “Campaign Management Needs A Reboot”

80. Interactive Marketing Hub™ from ExactTarget

81. Cross‐Channel Marketing Workflow
Database Segmentation Campaign Program Customer / Prospect
Management Campaign Planning Development and Execution Interaction
Prospective SegmentOffline
A
Identify
Customers Customers
& Prospects • Offer/ Message
• Channel
Customer Data Acquisition
Customers with
Content Personalization
Landing Page / Microsite
Customer Specific Needs • Timing
Program Development
Demographics
Product /Service Segment B
Needs, Interests Offer
Select
• Offer/ Message
• Channel
Products
Information • Timing Online
Purchased
Offline
Analytics Segment C
and Lead Score
Determine
Timing • Offer/ Message
Campaign • Channel
Response History • Timing
Channels
Campaign Response Tracking
Database Updating / Lead Scoring

82. Obrigado!
Joel Book
ExactTarget, Inc.
jbook@exacttarget.com
EmailMarketingbytheBook.com
@JoelBook
http://www.linkedin.com/in/joelbook