Email Marketing Still Thriving

10/1/2013
1
State of the State of
Email Marketing
Karen Talavera
President, Synchronicity Marketing
Karen Talavera, President of Synchronicity Marketing
Providing enlightened email marketing coaching, training
and consulting since 2003
• Who is Karen?
Nationally‐recognized email marketing expert, educator, writer,
speaker and thought‐leader
• DMA Email Marketing lead training instructor since 1999
• Member Email Experience Council, Only Influencers
• Top 100 Women in Ecommerce 2012 (WE magazine)
• Yoga teacher, writer, international traveler living in south Florida
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About Your Speaker

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© Direct Marketing Association & Karen Talavera. All rights reserved.
Source: SmarterTools presentation give at Hosting Con 2011
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Scale of Online Marketing
Communication Channels
• Worldwide, there are about 2 billion people online with a
total of 3.4 billion email accounts
– On average 75% are consumer accounts, 25% corporate
Source: The Radicati Group Email Statistics Report, 2012‐2016
Global Email Channel Size
4

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Email’s Global Penetration Rate
• The 3.4 Billion worldwide email accounts represent more than 60%
of the population of the “more developed” countries as defined by
the UN
– 35.8% use the English language
5
Source:: Litmus
Email Marketing Is THRIVING
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US Internet Population Almost At
Saturation Point
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Fast Facts: Email in the US
• About 79% of the Adult US population – or 189 million Americans ‐ are
online in the US (this is 95% of US adult internet users) (eMarketer)
• 83% of people online say email is their primary reason for using the
Internet (Price Waterhouse Coopers)
• 61% of adults send and receive email daily
(Pew Research Center Internet and American Life Project)
• 65% of Internet users age 15 and older made a purchase in response to
receiving an email marketing message (Exact Target)
• About two‐thirds of emails sent by companies to consumers are
promotional; the remainder are transactional or administrative in nature
(DMA)
• The annual US commercial email volume is expected to double between
2010 and 2013 from 420 to 840 billion messages/year (Forrester Research)
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Increasingly Mobile
• 60% of all email is now opened initially on a mobile device
(Litmus)
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• Top channel for promotional/marketing messages sent from
companies granted permission
Source: ExactTarget 2012 Channel Preferences Survey February 2012
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Consumers Prefer It For Marketing
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Email Has High Trust Factor
• Compared to other both mass and targeted marketing
channels, email ranks higher in trust
Source: North American Technographics Interactive Marketing
Online Benchmark Survey 2010 – US Online Adults
11
Yet Subscribers Demand Relevancy
• Marketers need to do a
better job on frequency,
segmentation, and
relationship building
12

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Relevancy Defined
• What exactly is relevancy anyway?
“The intersection of content and context
that is metered by frequency”
‐ David Daniels, CEO of The Relevancy Group
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• Although email is
growing as preferred,
trusted channel for
promotional/marketing
communication, it is
losing ground to text
and social media for
personal
communication
Communication Preferences Are
Evolving
14

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• 66% of consumers have made at least one purchase as the
result of an email marketing message
Do They Buy From Email?
Of Course!
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Economic Impact is HUGE
• Email Marketing generated
$63.1 Billion in 2011 sales
compared to $57.8 Billion in
2010
– Social Media‐driven 2011 sales:
$31.9 Billion
– Total Internet Marketing‐driven
sales 2011: $576 Billion
• Email‐driven sales expected to
exceed or at least match social
media‐driven sales through 2016
– Both will grow at expense of
offline DM (Source: DMA)
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• For every dollar spent on email
marketing in 2012 marketers achieved
$28.50 in return
• Email's ROI index is 70 percent higher
than any other direct‐response
marketing channel
DMA
• Email generates 1% to 2.5% of sales for
18.7% of all retailers in the survey
• 11.1% of online merchants count on
email messages and campaigns to drive
more than 25% of total sales
Internet Retailer
Highest ROI Of All Direct Channels
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• According to the DMA’s annual Response Rate study for 2012,
the average purchase value from email is double that of direct
mail:
Most Cost‐Effective Of All Direct
Response Channels
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Marketers Rate Highly Effective For a
Variety of Objectives
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• Email is crushing social
media when it comes to
new customer acquisition
and is second only to
organic search
– In last four years online
retailers have quadrupled
the rate of customers
acquired through email
Source: Custora E‐Commerce Customer Acquisition Snapshot June 25, 2013
Email Also a Top‐Performing Channel
for Acquisition
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• The recession slashed marketing
budgets and motivated more
businesses than ever before to move
dollars online due to low cost of
entry
• Majority of Small Businesses rely
heavily on email and social media as
low‐cost ways to promote
themselves
• 25% of small businesses using social
media marketing; 60% using email
Channel Use Flourishing Due to Cost‐
Effectiveness
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Email Budgets Continue to Rise
• StrongMail survey found two‐thirds of companies plan to
increase spending on email marketing, more than any other
online channel
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Email Budget Distribution
• Almost one third of email
marketing budgets are
allocated to Email Service
Providers (ESPs)
• Most email marketers
outsource to an ESP vs. use a
home‐grown software or
delivery service
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With Rapid Growth Comes Volatility
• Despite rapid increases in the
total number of email
addresses, email address
turnover has remained constant
at about 30%
– Every year about 25% of all email
addresses become undeliverable
due to subscriber address changes
– The average organization’s email
list experiences 60% growth in
combination with 25% attrition
(mostly from unsubscribes) per
year, for a net growth rate of 35%
per year
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Integrating With Other Channels
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Email Is Not Without Challenges
• According to the
2012 EEC Email
in Action Report,
competing for
online
time/attention
and resource
constraints top
the list of email
challenges
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But Is Continually Evolving
• Ongoing innovations and recent changes in both consumer use
and email technology create challenges AND opportunities
• Video
• Dynamic
Content
• Mobile and
“mobile triage”
• Foldering
• Shrinking time
and attention
span
• Send‐time
• Behavior‐driven
algorithms
• Predictive
modeling
• Greater Anti‐
spam measures
• Structured
inboxes
(Gmail tabs)
• Growing volume
Inbox
Landscape
Response
Optimization
Tools
Creative
Innovations
Access
Devices &
Habits
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How We Got Here
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Why Permission?
• Permission=Recognition=Trust=Engagement
• The email box is perceived as personal space ‐ intrude
uninvited, and you may not be welcomed back
• Cost of receiving email is borne by both sender and recipient
• Spam has created suspicion, caused measurable harm, and
made consumers defensive
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Why Permission Is So Confusing
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Consumers Value Consent and
Relationships
31
Permission email
marketing is an advertising
medium which facilitates
interaction between
organizations and
individuals who have given
their permission
to receive promotional
messages and other
information via email
Organizations
(Senders)
Email
Address
Owners
(Recipients)
Permission Email Defined
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Permission
CONSENT
A person
consciously
agrees to receive
email CHOICE
Subscribers
choose
frequency,
content and
format
preferences
CLARITY
The sign‐up
process is easy
and non‐
deceptive
CONFIRMATION
The sign‐up
process is
acknowledged
and verified
CONTROL
The subscriber
may adjust or
stop the flow of
email at any time
CANDOR
The sender of
each
communication is
clearly and
honestly
identified
The Six C’s of Permission
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Degrees of Permission
2x
Opt-In
Confirmed
Opt-In
Pre-Checked Opt-In
Opt-Out
Spam
Constitute 100%
opt‐in, self‐initiated
action and affirmative
consent
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What is Opt‐Out?
• Also known as “negative option”
• At the lower end of the permission scale
• Requires no action before being added to a list
• Opt‐out requires recipient to take an action if they don’t want to
receive email rather than requiring an action if they do
• Status quo for offline marketing, but online is different
• the cost of postal mail is paid by the sender, but the cost of email is
shared by sender and recipient
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A Step Up: Pre‐Checked Opt‐In
• Subscriber joins through a pre‐checked box or pre‐determined
condition of registration/membership
– May or may not realize he is being added to a marketing list
– Be conscious of “division of permission”
• Proceed with caution; can be considered
– Sneaky:  “I’m going to sign you up anyway just in case you decide not to”
– Desperate:  “I might not get enough sign‐ups any other way”
– Lazy:  “It’s just easier this way and I’ll get more names”
– Hard sell:  “I’m going to flood you with enough offers that you’ll have to
eventually buy something”
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Pre‐Checked Opt‐In Example #1
• National Geographic
– Example of good pre‐checked box clarity
37
Pre‐Checked Opt‐In Example #2
• Movie
Tickets.com
– Good use of
multiple opt‐in
requests
38

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• The key to solid permission is not whether a box is checked
or un‐checked, it is
Clarity!
• If using a pre‐checked box for email address gathering:
» Is it clear to the subscriber that they’ll be receiving marketing
emails above and beyond functional emails?
» Do they know what to expect? What the marketing email
messages will look like?
» Do they know how often marketing emails will arrive?
• Clarity is enhanced by asking subscriber to affirmatively
grant permission by taking a definitive action ‐ like checking
a box
• If you want the clearest permission, do not pre‐check boxes
Pre‐Checked: Good or Bad?
39
Confirmed Opt‐In
• Emailaddress owner grants explicit permission by taking a
self‐initiated action to receive future email communications
from a known sender
• A confirmation from the list owner is provided either via
• A return email message
• A web page
• When no further action is required, this process is known as
“single opt‐in”
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Single Opt‐In Example
• Clear Benefits Statement
• Not asking for too much
information
• Custom Data gathering
• Un‐checked boxes
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Single Opt‐In Confirmation
Source: Blue Hornet 2013 Consumer Email Study
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Double Opt‐In
• The “gold standard” in email marketing
– Better‐qualified subscribers
– Higher response rates
– Lowest opt‐out rates
– Better deliverability; least problems
• Makes fraudulent sign‐ups impossible
• Email address owner gives and confirms explicit permission to
receive future email communications
• User must take a confirming action required by list owner:
– Click on link in confirmation email message
43
Double Opt‐In Step 1: Invite to Join
• Ducerus, College
Planning Services
for Parents and
Students
44

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Step 2: Send Confirm Request
45
Step 3: Subscriber Confirms
• Clicking on confirm link leads to web page
acknowledging confirm action
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Step 4: Send Sign‐Up Confirmation
• This welcome message
completes the
subscribe process by
confirming subscriber
has verified their sign‐
up, welcoming them,
and commencing
“onboarding”
47
Step 5: Onboard/Provide Access
48

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Double Opt‐In: Quality over
Quantity
• Double opt‐in may result in fewer registrations, but the tradeoff
for quantity is more responsive names, higher open rates, lower
deliverability issues and better reputation
Source: Marketing Sherpa Email Marketing Benchmark Guide 2010
49
Permission Affects Not Only
Deliverability, but also RESPONSE
• A study by Merkle found 52% of respondents will delete an
email from an unrecognized sender without opening it
– ISPs now monitoring consumer inbox behavior and this can impact your
future deliverability, or put you in junk folder
• Responders said about 40% of permission email is actually
valuable, while another 40% is deleted without being read
• Why?
– No permission = zero trust, poor relevancy, and low or no recognition
of sender
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Components of a Successful Program
List & Data –
Building &
Management
Technology
Legal
Compliance
Offer &
Messaging
Strategy
Design &
Content
Testing
Metrics &
Analytics
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Four Areas Needing Ownership
Database
Offers,
Messaging &
Content
Deployment Analytics
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Ownership Areas: Database
1. Database (List)
• Inventory:
• Number of records
• Database management/segmentation ability
• Subscribe/unsubscribe processes
• Assign Responsibility:
• Subscribe/unsubscribe process/audit (and overall Legal Compliance)
• Frequency controls
• Suppression (opt‐out) file
• Data correction
• Overall list hygiene
53
Select & Map Permission Practices
by Channel & Source
Select
Allowable
Permission
Practices
• Single opt‐in?
• Double opt‐in?
• Pre‐checked?
Map by Channel
• Email
• Mobile
• Blog
Map to Contact
Data Sources
• Email Addresses
• Mobile
numbers
• Postal
Addresses
Monitor &
Audit
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Ownership Areas: Offers/Messaging
2. Offers and Call‐to‐Action Strategy
• Inventory:
• Consider Past offer performance
• Life‐stage specific offers
• Partner/affiliate offers
• Legal terms and conditions
• Map offers by objective
• Map offers by customer life‐stage
• Offer approval
• Retired offers
• Offer progression
• Maintain “Offer Stable”
55
Ownership Areas: Content
3. Content & Creative
• Inventory:
• Copywriting resources (internal? Agency? Freelancer?)
• Graphic design resources
• HTML layouts/templates
• Content itself (see Content Library Inventory slide)
• Administrative functions/boilerplate language
• Design & graphic standards compliance
• Copywriting
• HTML coding
• Proofing (including technical/link tests)
• Image Rendering
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Join/Subscribe
• Free information
• Sweepstakes
• Premium
Buy (hard offers)
• Savings
• Fee Waiver
• Convenience/speed
Onboarding/Welcome
• Show and tell
• Teach, inform
• Sneak previews
Develop Offer Stable, Strategy
• Different offers work better in certain channels and for specific objectives
Resell/Upsell
• Exclusive Discount
• Gift w/purchase
• Deadline
Retain/Grow
• Interactive Tools
• Useful information
• Exclusive
savings/incentives
Reactivate
• Interactive Tools
• New Information
• Behavior‐driven reward
57
Ownership Areas: Deployment
4. Deployment & Deliverability
• Inventory:
• System for processing/managing bounced messages
• Problem resolution for failures
• ISP Relations
• Reputation score
• Service bureau oversight
• Frequency rules
• Bounce processing working as intended
• Authentication
• Reputation management
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Ownership Areas: Analytics
5. Performance Tracking, Measurement & Analysis
• Inventory:
• Response tracking capability (delivered, opens, click, redemption, conversion)
• Reporting
• Analysis/comparison system
• Past performance benchmarks/history
• Campaign response measurement
• Key metrics/performance indicators
• Channel analysis/attribution
• ROI analysis
59
List Growth, Management &
Optimization
Austin Bliss, President
FreshAddress, Inc.

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Austin Bliss
• Speaking at shows since 2003
• Awarded “Rising Star” award by DMEF
• Past Chair, EEC List Growth Roundtable
• President & co‐Founder, FreshAddress
• Email Database Services Company
• Founded in 1999
• Exhibiting here at EEC
Agenda
List Growth
Starting Clean
Staying Clean

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What’s the easiest way
to grow an email list?

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Find & Keystroke
Buy
Scrape/Extract
Why Not?
• The addresses have no “permission”
• It may break laws
• It WILL contain spamtraps
Outcomes:
• Low/no performance
• Angry recipients
• Blacklisting
• Kicked off your ESP

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So what’s the SAFE way to build your
email list?
Get people to
• Opt‐in
• Volunteer
• Give Permission
…You Have To ASK!

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Ask!
• Website
• Paper (order form, etc.)
• Phone (customer orders, etc.)
• In Person (POS, check in, etc.)
Can I Have Your Email Address?

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Not all emails are created equal!
• Deliverable (non‐bouncing)
• Accurate (reach the right person)
• Primary (at the right email address)
• Permission (volunteered)
Easy
Beneficial
Safe
Three Components To A Successful ‘Ask’

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Easy
Beneficial
Safe
Value… WIIFM?
Make sure there is an ONGOING value exchange

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Easy
Beneficial
Safe
Reassure
How you will use their email addressHow you will use their email address
How you will protect their privacyHow you will protect their privacy

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List Growth ‐ Recap
Ask and…
• Make it EASY (KISS, say why)
• Provide a BENEFIT (wiifm, sample)
• Make it SAFE (reassure, give control)
… Is There More You Can Do To Build Your List?
Ask EVERYWHERE!

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Postal Mail
Name Address Email
Joe Smith 15 Shire Street, New York, NY 10024
Sarah Watson 643 Main Street, Palm Springs, FL 33406
Ken Chapman 514 Broadway St., Los Angeles, CA 90079
Austin Jordan 13 Green St., Salem, NH 03079
Email Append
Jsmith@hotmail.com
Sk8girl@earthlink.net
Kchapman@aol.com
Austin@jordanz.com

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d) A Welcome Email is sent to your
customers to confirm deliverability and
confirm permission.
a) Send your postal database
in for processing.
b) Your file is matched against vendor’s
database. Make sure it is 100% opt-in!
e) The enhanced file
with deliverable email
addresses is sent back
to you.
c) Suppressions are run.
Email Append
Twitter

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Google Adword
Facebook

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Agenda
List Growth
Starting Clean
Staying Clean

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• Lowered response rates
• Inadvertently abandoned prospects
Lost revenues
Opens door for competitors
Customer dissatisfaction
• Wasted marketing effort and expense
• Risk of being blacklisted
Typos Are A Problem

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Typo Prevention ‐ Design
Vs.
Typo Prevention ‐ Design

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Typo Prevention – Double Opt‐in
List protected but customer lost

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• Simple software code can enforce RFC standards
• More advanced software and services can filter out invalid addresses
• The best services and APIs can actually notice and correct typos in real‐time
acbliss@gmail.cmo
Typo Prevention – Services
…Caught and Corrected
before it entered their database
Typo Prevention ‐ Services

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Agenda
List Growth
Starting Clean
Staying Clean

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Stop Fearing Unsubscribes!
If someone wants out, let them
… and make it easy!
But all is not lost.

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Over 50 million people changed their
email address this year
– Switched Jobs
– Changed ISPs
– Graduated from School
– Abandoned b/c of spam
– Corporate rebranding
– Etc.
Run Regular List Audits

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Question Assumptions
Get A Backup

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• Just like NCOA, but for your email list
• 6‐15%+ Update Rate
• Ideal for large (100k+) lists of bouncing or inactive
email addresses
• Pay per email address recovered
Use Email Change of Address (ECOA)
Try Postcards

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Final TakeawaysAsk!
Improve your ‘ask’
1. Easy
2. Beneficial
3. Safe
Invest in your growth
– Ask EVERYWHERE
– Consider vendors
– Prevent typos
No email address is forever
– Allow unsubscribes
– Do routine list audits
– Get an alternate address
– Consider ECOA or postal recovery
My “Ask”

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Thanks!
Austin Bliss
austin@freshaddress.com
(617) 965‐4500
www.freshaddress.com
@FreshAddress
Understanding Your Subscriber:
Data Analysis Fundamentals
Phil Davis, CEO, Rapleaf

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Introduction
Phil Davis, CEO
@phildavis1966
phil@rapleaf.com
About Rapleaf
• Technology-based consumer data
company
• At least one data point on 80% of all
U.S. emails
• Over 30 demographic, purchase and
interest data fields
• Highest coverage and accuracy in the
industry
www.rapleaf.com @rapleaf
• Email marketing veteran
• Launched digital agency
• 15 yrs experience in data
driven DM
Understanding Your Subscribers
• Data driven marketing provides the science that drive direct
mail
• It’s time to apply lessons learned from direct mail to improve
email and digital marketing

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Perfecting the Customer
Experience
Great companies provide great customer experiences.
Customers with great experiences spend more money.
The Traditional In-Store
Experience

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The Email Experience…
The Customer Experience
Kick off your email campaign by making a great first
impression.
• Create a
experience for your new
customer.
• Differentiate your brand
by providing for an
engaging experience with
each communication.

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A customer signs up for your email
list
First Impressions
sam845@gmail.com
Who is sam845@gmail.com?
First Impressions

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131
Male
Female
Married Female
w/ Kids
Use 3rd party data to get to
Know your Customer
I’ve lived
in my
house 10
years
I’m a
Mother
I am a
High
Earner
I’m a bargain
shopper
I buy baby
products
I live in
the
Northeast
Listen to the data to better
understand your customer?

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Create a Great First Impression
Armed with the right data.
Ongoing Optimization
Continue to:
• collect behavioral data
• use data to optimize your
marketing campaigns.

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Customer Data Sources
• Who is this customer?
– Demographic Data
• How do they interact with
the brand?
– Purchases
– Email responses
– In-store behavior
– Social interactions
– Web analytics
• Greater customer engagement
• Differentiate your brand in the inbox
• Greatly improve your open and conversion
rates
• Consistent multi-channel experience
• Improve sender reputation scores
Benefits of Data Driven
Campaigns
Purchase
Data
3rd Party
Data
Behavioral
Data

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Challenges with Data
Budget
Different Platforms Consolidating Data
Different Levels of Sophistication in Data Analysis
6 Ways You Can Use Data to
Improve Your Email Program

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1. Clean email address
2. Customize Subject Lines
Personalized email subject lines using data see 26% increase in open
rates.
Married Female
w/ Kids
Fun links for singles
10 restaurant chain your kids will love

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3. Customize Content
Personalized email content using data sees 30% higher clickthrough
rates
4. Customize Image (and
Content)
Gender Based
Email
Gender Based
+Marital Status
Increase Engagement
!
Jane,
Tired of holiday shopping for your
loved ones?You deserve it:
Treat yourself to aday of relaxation at
ABCSpa: $25 o $100 purchase.
John,
Looking for away to showyour wife just
howmuch they meanto you?
Treat themto aday at ABCSpa. She
deservesit. $25 o $100 purchase.

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5. Customize Formatting
41% of consumers buy more from retailers who send personalized emails
6. Create automated customer
profiles

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Other ways to create campaigns
that convert:
• Customized Offers
• Personalized Call to Actions
• Landing Page Relevance
• Engaged Social Interaction
• Upsell/Cross-sell Automation
What should that Nordstrom’s
email have been?

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Q & A
Any
questions
?
Email Content Marketing in the
New Marketing Democracy
Chris Marriott
VP & Principal Consultant
The Relevancy Group

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75
Who Am I?
• As agency ad‐man spent a decade
working for agencies such as
Ogilvy & Mather
• Worked at one of the first ESPs,
Digital Impact; ultimately ran
world‐wide services for Acxiom
Digital
• Board member of multiple
technology start‐ups and industry
conferences
What We’re Going to Cover
• The New Marketing Democracy
• Can Email Help you “Win Election”s in the New Marketing
Democracy?
• What is Content? Where Does it Come From?
• The 7 Rules of Content Marketing

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Say Hello to the New Marketing
Democracy
• Power to the people
– Everyone can contribute;
– Everyone has influence;
– Everyone has a voice.
• Empowered by digital channels,
people now “vote in” for the winners &
losers in the battle for their hearts,
minds & wallets — & THEY decide when
& where these “elections” are held
In the New Marketing Democracy
• Consumers trust each other
more than they trust you
• Online conversations…
– Persist…forever
– Immediately global &
potentially hyper‐local
• Word of mouth… amplified
by Internet & mobile

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In the New Marketing Democracy
• Non‐linear accounts for 1/3 of
mass‐market TV viewing
• Media glut = tuning out
– Between 30–50% of users have spam
blockers
– At least 20% have pop‐up blockers
– 58% regularly delete the tracking
cookies
• People don’t share ads… they read &
share things that interest them…
Sources: Ramsey Report eMarketer Oliver Wyman
Understanding the Challenge
“Google always gets me everything I want, whenever I want it, so I
don’t have to pay attention until it’s convenient for me”
Media hyper-saturation
+ Time-shifting technologies
+ Selective filtering
Consumers who choose to remain
“unaware” until they inform themselves
Your marketing is a faucet with each customer’s hand on
the spigot

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Marketing Democracy in Action
"recommendations from others" and even "consumer opinions posted
online" significantly outrank TV, radio, print, and online advertising on
the trust scale
73% of consumers say positive customer reviews make them trust a
business more (up from 58% in 2012)
So when your prospect is in the store, will they remember this?
or this….
http://www.youtube.com/watch?v=GURvHJNmGrc
They’ve Got Their Own Web Site

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Marketing Democracy On Facebook
How To Win Elections
• Remember every interaction
(and learn!)
– Know where I’ll be seeing you
– Whenever & wherever I see
you, recognize me & treat me
like an old friend
• Seek to understand & predict
– Build strategies around me
– Remember what I’ve already
told you
– Know what I might – & might
not – be interested in at that
moment
The “Groundhog Day”
theory of marketing
http://www.youtube.com/watch?v=9hq5jZrFTbE

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159
Can Email Help you Win Elections in the New
Marketing Democracy?
How Important is the Email Channel? We Asked!
Question Asked: What are the primary ways that you stay aware of a brand or store online that you have
purchased from and continue to purchase from online? (select all)
Source: The Relevancy Group, LLC Consumer Survey, n=1052 1/13, United States Online Consumers Ages 13+
15%
5%
10%
13%
19%
22%
22%
23%
38%
41%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
Not sure
Via ads, messages or apps on my mobile device
Brand information on Social Networks
Online social recommendations from friends, etc.
News stories in a paper, magazine or online news sites
Ads on the Internet
TV commercials
Face to face recommendations from friends, etc.
The brands own corporate/brand web‐site
Email marketing messages
Primary Ways Post Purchase, That Buyers Stay Aware of and Engage
with Online Stores and Brands
Pct. of US Online Shopping Consumers Survey Respondents

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Email
Each channel has its own hurdles in regards to engaging the
marketing democracy, and email is no exception
Email
• In theory, an opted‐in customer should represent someone
who has “turned on the faucet”
• In practice, you face that moment of truth every single time
someone opens his or her email and sees one of your emails
in the inbox.
• At this point, consumers can turn on the faucet (open the
email), or keep it turned off (ignore or delete your email)

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To Mail or Not to Mail?
• How do you keep customers engaged between transactions?
• The time between transactions could be anywhere from 2
weeks to 12 months!
This Guy Has the Answer!

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The Permanent Campaign!
• Successful email marketing goes beyond selling products at a
great price
– Hammering with “buy now” messaging quickly turns to noise
– Savvy email marketers find ways engage customers between
purchases
– Leaders create messages that don’t hard sell
• Winners create the content that keep customers engaged
between transactions
– Reviews, promotions, rewards, special sales to share, forums to
connect with other customers
166
What is Content?
Where Does it
Come From?

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What is Content?
• Today it’s often
viewed as the
association of a
brand with popular
entertainment—
branded
entertainment

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85
What is Content?
• However, any approach
that focuses on branded
content can be very
expensive!
What is Content?
• 60 Years ago branded content was a new idea…

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What is Content?
• Today some companies—like Whole Foods—assume
they have the burden of creating original content
77%!!
Biggest Content Marketing Challenge

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Is This Where You Find Content?
This Is a Better Place to Start
Your Customers Your Team

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Content Is Everywhere!
Catalogs
Extensive product selection
- Sorting tools (low to high,
bestselling)
Context
Information to assist shoppers
- Product Selectors
- How to’s
- Unexpected uses for same product
Conversations
Forums for customers to connect with
the brand and with each other
-Reviews, blogs, user videos, social
(SWYN)
Content is Everywhere you Look
• Customer reviews (remember, consumers trust each other
more than they trust you!)
• Videos that educate/demonstrate
• Webinars
• White Papers
• Product purchase guides
• Sponsorships
• Promotions and contests
• Mobile Apps

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B2B Content Marketing Usage (by tactic)
Let’s Start With The Obvious
• Some product and service categories are inherently more
interesting than others
– Automotive, travel, apparel vs. laundry detergent
• The more interest a consumer holds in a product or service
the easier it is to create content
• “That’s just the way it is”
– Thomas Pfeiler (my father‐in‐law)

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Catalogs
Catalogs

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Context
Conversations

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Conversations
Conversations

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187
The Seven Rules of Email Content Marketing
Rules of Email Content Marketing
1. Never say “buy now”—if that was the objective we’d call it
“content selling”
2. Understand your audience to ensure that tone and
substance of your content sits correctly with the subscribers you
already have, or want to attract
3. Engagement is your goal—top of mind awareness is your reward
4. It’s ok to ask for things other than a purchase—information,
contest entry, feedback
5. Reviews and pictures are very relevant content—and can be
crowd sourced from your list! (yes, I hate that term too)
6. Don’t try to compete with publishers—your job is to inform, not
entertain (though it’s a lucky strike extra if you are also
entertaining!)
7. Always be prepared to react to “I’m now ready to buy” signs

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1. Never say “buy now”, if that was
the objective we’d call it “content
selling”
2. Understand your audience

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3. Engagement is your goal—top of
mind awareness is your reward
4. It’s ok to ask for things

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5. Reviews and pictures are very
relevant content
6. Don’t try to compete with
publishers—your job is to inform,
not entertain

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7. And Finally, Always be Prepared
Getting Started
• What’s your purchase cycle?
• What would your subscribers value?
• What’s already “lying around”?
• What role can automated campaigns play?
• What are the “buying signs” for what you offer?

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Questions?
The Relevancy Group
Connect - chris@therelevancygroup.com
203-856-1296
Connect on Twitter @csmarriott
Produce Engaging Creative–
Every Time
Wacarra Yeomans
Director, Creative Strategy
Responsys, Inc.

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Reaching the Inbox: What Subscribers (and
the ISPs) Really Think of your Email Program
Melinda Plemel
Return Path

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Training Goals
• Understand the
rules of reputation
and engagement
in the email
ecosystem
• Steps to take
improve
reputation and
avoid filtering
Agenda
• Email
• Why it’s Important
• Reputation
• What is it
• Why it matters
• What can you do
• Spam Filtering
• Engagement
• Why is it important
• Challenges
• Trusted Network
• What can you do to improve engagement and reputation?

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Email is perfect for
developing loyal and
active subscribers.
But what good is it if your
subscribers never see it?

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No Inbox. No Click.
No ROI
The Main Players
• The Email Marketer
• The ISP or Mailbox Provider
• And The End User
In fact, 1 in 5 emails sent
never sees the inbox!

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Good money
down the drain
Why are my emails
being blocked?

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Sender reputation drives inbox
placement and therefor, response.
I’m a rock
star. This guy
can’t get
anything
done.
Reputation
ISPs use your sender
reputation to make
filtering decisions. A poor
reputation means, your
email will get filtered.

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Heading
• Text here
Reputation is the leading factor
impacting inbox placement.
6%
17%
77%
What is
Reputation?

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Reputation is a set of metrics based
on your sending behavior
1. Keep complaints to a minimum

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Marketing
Emails
Generate the
Most
Subscriber
Complaints
What can you do to reduce
complaints?
• Manage the registration process so
that it meets your subscribers
expectations
• Always respect unsubscribe requests
• Recognition
• Understand that content/program
relevancy impacts behavior
• Conduct complaint analysis

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Sign up for Feedback Loops
• AOL
http://postmaster.aol.com/Postmaster.Feed
backLoop.php
• Bluetie http://feedback.bluetie.com/
• Comcast http://feedback.comcast.net/
• Cox http://fbl.cox.net/
• Fastmail http://fbl.fastmail.fm/
• Hotmail
https://support.msn.com/eform.aspx?produ
ctKey=edfsjmrpp
• Open SRS http://fbl.hostedmail.com/
• Synacor http://fbl.synacor.com/
• Rackspace http://fbl.apps.rackspace.com/
• RoadRunner
http://feedback.postmaster.rr.com/
• Terra http://fbl.mail.terra.com.br/
• USA.net http://fbl.usa.net/
• Yahoo! http://yahoofbl.senderscore.net/
2. Keep your subscriber list healthy
and clean

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Unknown
Users
Spam Traps

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60% of all
emails received
by spam traps
are sent from
commercial
marketers.
How do I
keep my
list clean?
1. Know and Monitor your
Unknown User Rate
2. Collect good data up front
3. Grow Your List Organically
4. Monitor Bounce Logs for high
unknown user rate or Spam
Traps
5. Remove Bad Email Addresses
Immediately
6. Keep an eye on blacklists
7. Review Offline Email Entries
8. Be cautious when using list
vendors

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3. Maintain a solid Infrastructure
4. Sending Permanence

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Stay put and
build your
reputation
5. Message Quality

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Test Campaign Rendering
See how your content behaves
in every desktop, webmail and
mobile email environment
Quality Assessment
Identify content issues that
would affect your inbox
placement
Spam Filter Testing
Get spam scores and filtering
results before your deploy your
email
What can you do?
6. Engagement

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Why is engagement so
important?

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116
50
Shades
of
Graymail
But there are some
challenges

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Slightly Different Goals
• Email Marketer
• Increase ROI
• Increase Opens/Clicks
• Keep their subscribers
happy
• ISP
• Keep their systems
safe
• Keep their
subscribers happy
• Everything Else
Each ISP has their own rules that
are used to determine inbox
placement

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Spam Filtering:
A Cat and Mouse Game

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• Most sophisticated systems for measuring Engagement
• Trusted community
• The power of this is and this is not spam
• The greater the community is involved the more
likely for inbox placement.
• The less the community is involved, the more
likely for bulking or filtering
• List Hygiene is key
• How active are the subscribers with the mail
• Email Marketer’s data
• Open/Clicks/Conversions
• ISPs/mailbox provider data
• Who is the mail being sent to?
• How much time do they spend reading ?
• Do they move messages (tabs)
• Time to deletion
• Who is the end user?
The Trusted User
Community

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Yahoo!: Spam vs. Not Spam
0.38%
0.21%
0.19%
0.53%
0.08%
0.16%
0.22%
0.13%
0.29%
0.31%
0.11%
0.25%
0.00% 0.10% 0.20% 0.30% 0.40% 0.50% 0.60%
Business
Education
Entertainment
Finance
Groups
Home
Jobs
News
Real Estate
Shopping
Social Networking
Travel
Average
Yahoo! “Not
Spam” Rates
by Industry
What Subscribers are Really Reading
(Or Not)
1. Messages read, then
deleted
2. Messages deleted
without being read
3. Messages replied to
4. Frequency of
receiving and
reading a message
from a source

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Sender Reputation Data – the
Microsoft Spam Fighter’s Club
Smart Network Data Services
https://postmaster.live.com/snds/

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Gmail, Engagement, and the Priority
Inbox
• Social Features – how much mail from that sender is read by the
recipient?
• Content Features – what headers or recent terms are used that are
correlated with the subscriber engaging with the email?
• Thread Features – how has the user interacted with the thread so far?
• Label Features – how is mail labeled?
How Gmail Priority Inbox Works

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Spam and Not Spam a
major indicator of
wanted and unwanted
email
.01% ‐ .1% is an
Acceptable Complaint
Rate
Gmail: Spam vs. Not Spam
Primary (Default) ‐ person‐to‐person conversations and messages that don't appear in other tabs
Social (Default) – messages from social networks, media‐sharing sites, online dating services,
and other social websites
Promotions (Default) – deals, offers and most other marketing emails
Updates – personal, auto‐generated updates including confirmations, bills, receipts, and
statements
Forums – messages from online groups, discussion boards and mailing lists
.1% is an Acceptable Complaint Rate
Gmail: Tabs

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AOL Mail
What can you do to
improve engagement
and your reputation?

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39% of
Marketers
Remove
Inactive
Subscribers
to Improve
Deliverability
Use Data to Define the Lifecycle
Re‐Engagement
Opportunity

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Be Pro‐Active in Messaging to Non‐
Responders
• Recognize the change in interest
• Provide options (preferences, anyone?)
• Encourage them to re-engage
• Revisit subscribe benefits
• Provide clear and easy unsubscribe
• Honor those choices!
Create Killer Content Using Data to Understand
What Resonates (and What Doesn’t)
Website Page Views
Email Content Click Detail
Facebook Posts with the
Most Likes/Shares/
Comments
Tweets with the Most Re‐
Tweets

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Use a Recency‐Based Segmentation Strategy to
Identify Changes in Subscriber Response
Group A Group B
• 0-30 Days
• 30-90 Days
• 3-6 Months
• 6-12 Months
• 12-18 Months
• 18+ Months
• 0-30 Days
• 30-90 Days
• 3-6 Months
• 6-12 Months
• 12+ Months
Review

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Components of Reputation
• Complaints
• List Hygiene
• IP Permanence
• Infrastructure
• Message Quality
• Engagement
How to Improve Reputation
• Complaints
• FBLs and remove
• List Hygiene
• Keep it clear
• Remove Unknown Users
• Monitor for Spam Traps
• IP Permanence
• Stay put and repair
• Infrastructure
• Review and monitor
• Message Quality
• Test
• Engagement
• Send relevant and engaging content

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How to Improve Engagement
• Ensure you are mailing to the most active users
and purging aged/inactive subscribers
• Be relevant! Ensure your messages are striking a
chord with your subscribers and peak their interest
• Segment your mailstreams
• Remind your users to add you to their address
book
melinda.pleme@returnpath.com

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The Answer is Always, “It
Depends” – So Test It!
Ryan Phelan
• Prior Industry Experience
– Vice President, Strategy at BlueHornet
– Director, Email Marketing & Acquisition at Sears
Holdings
– Responsible for East Coast Operations at
Responsys
• Thought Leadership
– DM News : Email Gets Personal (Cover Story)
– Keynote address – March 2012, EEC12
– Ranked as one of the top 40 Digital Marketing
Strategists in the country by OMI
– Co‐Chair of the EEC
– Member of:
Ryan Phelan
Vice President,
Global Strategic Services

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“OMG Honey, look at
that compelling
subject line ….totally
made me open it”
This is more like it…

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Tier 3:
Advanced
Tier 2:
Medium
Complex
Tier 1:
Foundation
programs
Existing
programs
Persona development, cluster analysis, next logical product, behavioral
attitudinal segmentation, dynamic messaging, shopping cart abandonment,
preference center phase 2, social messaging
Video in email, creative testing, promotional optimization, triggers, win‐back,
preference center, social media
Testing & Reporting
Welcome, transactional messaging, opt‐down, acquisition, promotional,
attrition
Optimize programs based on easy changes (Low Hanging Fruit)
Testing & Reporting
Testing & reporting
Email Program Development
1,000
Consumers
from across the
United States

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Nearly 49%of respondents have an email
account for emails they rarely intend to open
Lesson: Ensure that when you ask for an email
address, you make the reason very compelling
2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006
268
When an email is
saved to be read
later, 60%
never read it
Lesson: Make your CTA immediate, urgent, laced
with benefit and time sensitive in email

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Lesson: 21% to get updates and 13% because
they love the brand269
40% of consumers sign
up for email to receive discounts
270
36%of
respondents check
email, social media
and texts before
doing anything else
after they wake up
Lesson:  Think about your message and test the
optimal time of the day to send your message.

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Lesson: Test when you send and be wary of
complex CTA in the morning.271
21%
check their
email before
breakfast
Consumers have shifted their consumption and are
active at the very start of the day
Lesson: Try testing in the evening or even Friday
evening for retail based business.2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006

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273
Things are tiny in the morning…
Lesson: If you have to pinch it, you’re doing it
wrong.  Track mobile opens and design a template.
274
Phone calls, texts, browsing the
internet and email are the top uses for
smart phones
Lesson:  Lesson: Track statistics for your consumers
that are consuming email on a mobile device.

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Lesson: Track statistics for your consumers that are
consuming email on a mobile device.275
The shift in consumption is increasing based on
consumer need for and ease of access
276
Consumers don’t see silos, they see devices
Lesson:  Consumers have adopted more devices
and marketers have to be truly Omni‐Channel

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Lesson:  Capture and track the mobile opens of your
subscribers and implement a template277
91% of
consumers
check email
on their
mobile
phones
278
…25% of those that use iPhone Passbook used it to access coupons
Of those that use iPhone Passbook (33%), 22% use it for Movie Tickets…
Lesson:  Try linking a coupon for a sale or event to
the Passbook functionality and then track use

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279
72%of consumers
read email when they
are bored…
…29%read email
while in the bathroom
Lesson: Don’t make your email creative boring –
inspire, delight and amaze
QUIZ: WHICH TEST WON?
DMA2013 | Email Testing in the Digital Age

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Which Test Won?
Up or Down Arrows
Which Test Won?
Up or Down Arrows

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Which Test Won
Which Test Won

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Which series won?Images Courtesy of:
Which series won?Images Courtesy of:

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CHALLENGES OF THE EMAIL
MARKETER
The email marketer’s challenge
• More subscribers
• More data
• More email
• More targeting
• More expectations
• Poor attribution

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What do we struggle with
You’re not alone…everyone
struggles with email
Chart 4.21 Email campaign element testing and optimization
Which of the following email campaign elements do you routinely test to optimize performance? Please select all that apply.
86%
62%
58%
48%
47%
46%
44%
44%
42%
32%
26%
Subject line
Call‐to‐action
Message (eg greeting, body, closing)
Days of the week sent
Layout and images
Time of day sent
Landing page
Target audience
Personalization
From line
Layout and images specifically for
mobile viewing
Other
None of the above
Source: ©2013 MarketingSherpa Email Marketing Benchmark Survey
Methodology: Fielded December 2012, N=264
2%
2%
Message (e.g. greeting, body, closing)

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Why do we care?
• Campaign on
10/17
– 166 individual
email
segments
– 84 were tests
Images Courtesy of:
Does this look bad???
The highlighting
worked…for a
while
Images Courtesy of:

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Testing Challenges
We don’t (as an industry) know how to test
Types of Testing
A|B Testing
• Testing one element against a control
Multi‐Variant
• Testing multiple elements against a control
Local Control Groups
• Isolation of a population on a campaign level to see % of lift
Universal Control Groups
• Isolation of a permanent population to see percentage of lift over time

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A|B Testing
Cons
• Populations must be equal
• Time periods must be
significant to judge results
• Limited to one variable so
extended testing can be long
Definition
• 2 email creative that are
identical but with one
element changed in one
version
Pros
• Simple testing that is built
into most email platforms
• Systems usually handle
division of population
• Results are easy to
understand and act upon
Multivariate Testing
Cons
• Populations in each group
must be equal
• Most email populations do
not have enough equal parts
to be statistically relevant
Definition
Using one region in multiple
email creative with changes in
each sent to equal populations to
determine a better performing
email
Pros
• Multiple elements can be
tested at the same time

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Local Control Groups
Cons
• Sometimes hard to manage
from a population
• Some people that are
active/buyers will not get a
message
• Must involve pre‐planning
Definition
Isolation of a small but significant
population from an email
campaign to see what happens
with their behavior against those
that received an email
Pros
• Can show the influence that
and individual email has on a
campaign level
• Population must be reflective
of the entire list
Universal Control Group
Cons
• Isolation of a population
means that some customers
don’t get an email
• Hard sell internally
• Must educate various groups
internally
Definition
Isolating a population over a
longer period of time to see
what their behavior is against
those that receive email
Pros
• Gives email a true ROI
number

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CONFIDENCE INTERVALS
Sample Size Determination
There is no perfect answer in determining sample size. It is a trade‐off between
sample size and the difference between A and B it is important for us to detect.
Acxiom presents a chart (as seen below) to help clients find their optimal balance.
300
The smaller the
difference we want to
be able to detect, the
greater the required
sample size

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Example Confidence Interval
• We have some results from an A/B Test:
o How much confidence do we have in these estimates?
o Do we feel comfortable enough in the observed gain of .3% to switch
to B?
– It’s all about Sample Size when considering confidence in
Response Rates.
301
• The 95% Confidence Interval indicates we are 95% certain the RANGE of the interval
captures the True response rate
• We observed B as 0.3% greater than A.
• We can now use our confidence interval for the difference (B – A) to establish how tight
that 0.3% difference is based on our sample sizes
• The range includes A being .8% greater than B all the way to B being 1.4% greater than
A. With this wide range of possibilities, taking action based on our estimates becomes
very dangerous
302

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• Let’s say we have the same results, but instead of results based on
samples of 1,000 each, they are now based samples of 50,000 each.
• We now have more evidence, due to our greater sample size. This
results in greater belief in our results (estimates), and hence tighter
intervals
• We still observe B as 0.3% greater than A, however now we can
now conclude B is greater than A by between 0.1% and 0.5%.
303
THE RULES OF TESTING

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buck∙shot mar∙ket∙ing
n. Marketing without a plan, clue, intelligent design or path toward success
Rules for Testing
1. What needs to be tested
2. Get a plan
3. Execute the test
4. Report on the results

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What needs to be tested
• To develop a plan, take time to define what’s broken
– Mobile creative
– Subjects
– CTA
– Lifestyle images vs action images
– personalization
– Audience/Segment
– Landing page
– Discount type
Get a Plan
1. Develop a plan that lasts from 1‐3 months
1. Set rules for populations
1. What determines a valid population
2. What is success in each test
1. What is the KPI that will be judged
2. Define from prior test/campaigns what the range of KPI success
exists
3. Determine the right amount of time to build a significance to
achieve the desired KPI
4. What are your exclusions
5. Get extra pairs of eyes – make it a team effort

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One point to remember about the plan
• Does the result really prove the
point?
– Always work to validate your
testing
– Sometimes thing “win”
because they’re different
• Recognize the “shiny objects”
Images Courtesy of:
Execute the Test
• Define equal populations
• Define the optimal timeline for response and adhere to it
• Monitor results
• Verify that the test has been carried out

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Report on the Results
• Each test should have a post‐mortem report
– Reason
– Goal
– Creative
– Population
– Results
• Should be one page per report and stored
• How does the result inform the next test
1. Track results
1. You must be able to track testing results
2. Determine who’s on the strike team to examine results
EXERCISES

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YOU NOW ALL WORK FOR
…AND GET PAID $1,000,000 A YEAR
(SO DON’T SUCK)
• Come up with a
testing plan for
this creative
Images Courtesy of:

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Small Groups
• Define what you could test (10 things
over 3 months)
– Cannot be subject line
– Why are you testing it
• Define how you would test it
• Define the audience
• Define the exclusions
Assumptions
• Customer is a male
• 42 years old
• Lives in Half Moon
Bay, CA
• 20 miles south
of SF
• Single
Teams will present their testing plan to the group. Best one, wins something gooooooood.
Go…now…be smart

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Conclusion
• Think about your testing plan
• Find equal populations
• Test things that move the needle
• Stop testing only subject lines
Questions?

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© 2013 Acxiom Corporation. All Rights
Reserved.
Ryan Phelan
Vice President, Strategic Services
ryan.phelan@acxiom.com
402-630-5836
Thank you!
Keep the learning going. Follow me on twitter
@ryanpphelan
@acxiom
APPENDIX

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321
How did we get the confidence intervals?
Confidence Interval for one proportion:
Test A = 0.015    +/‐ 1.96*SqRt (  (0.015  x  0.985)  /  1,000 )    =   0.015   +/‐ 0.008   =   (0.7%, 2.3%)
Test B = 0.018    +/‐ 1.96*SqRt (  (0.018  x  0.982)  /  1,000 )    =   0.018   +/‐ 0.008   =   (1.0%, 2.6%)
Confidence Interval for difference between two proportions:
Test (B – A) = 0.003    +/‐ 1.96*SqRt (  ((0.015  x  0.985)  /  1,000 )  +  ((0.018  x  0.982) / 1,000)    )
Test (B – A) = 0.003    +/‐ 0.011   =
Test (B – A) = (‐0.8%, 1.4%)

10/1/2013
1
10 Cool Ideas to Test or Steal
Stephanie Miller
VP, Member Engagement
DMA
1
10 Cool Ideas
1. Be shocking.
2. Don’t believe your test results. Be data‐driven in all things.
3. Send a welcome series.
4. Keep your data clean. Combine offline and online data.
5. Celebrate your best customers.
6. Don’t be so serious.
7. Personalize.
8. Hype the Holidays.
9. Invest in your people
10. Ignore everything you heard in this workshop.
2

10/1/2013
2
Tourettes Action Fools the Spam Filter
3
61% Click
Increase!
Was it the
“skinny”
mobile
design?
4

10/1/2013
3
Take 2!
Clicks were
exactly the
same on
both
versions.
5
Zulily Welcome Series
6

10/1/2013
4
DOI Data Is Perfect. Right?!
• 100% Double Opt In
• 1,000 Invalid Confirmation Message a DAY
• Sources with 2‐5% undeliverable
7
Welcome
Back,
Active
Checker‐In!
8

10/1/2013
5
Don’t be So Darn Serious.
9
Personalize
10
 Increase In Repeat
Visits/Purchases
 Highest Engagement
Rates

10/1/2013
6
Hype the Holidays
11
Permeate the Season
12

10/1/2013
7
Never
Assume
SWYN
13
Choice: By the Piece
14

10/1/2013
8
Stop Selling, Already. Be Human.
15
Make Collection of Email #1
16

10/1/2013
9
Content Rules.
17
Resources/Inspiration
• DMA Advance Blog & Email Experience
Council
• Only Influencers (Membership Required)
– http://www.onlyinfluencers.com/
• Why Email Rocks! From Mark Brownlow
– http://www.email‐marketing‐reports.com/basics/why.htm
• Exact Target Swipe Files
– http://pages.exacttarget.com/resources/HolidayInspirations
18

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