Apn E Mail Strategy Slideshare

E-Mail Strategy
Marketing
Mix

E-Mail
and SEM Analytics SEO PR
Mobile

Tuesday, September 29, 2009

E-Mail Strategy

Contents
•Current state of the channel and its viability
•Commercial Models
•Examples of how e-mail databases deliver value beyond clicks
•Analytics and measures of performance for goals and objective setting
•Challenges with e-mail in a publishing organisation
•Learnings from NEWS and Fairfax
•Strategy for developing a valuable list
•Strategy for growth in a publishing business
•Strategy for engagement and retention
•What works and what does not
•How to leverage e-mail channel into print subscriptions
•Research and ﬁndings from primary research on user wants/needs from e-mail
•Products in the market and concepts
•Dealing with operational and capacity challenges through technology
•Recommendations


E-Mail: Channel continues to perform

•E-Mail = real people always there and qualified
•The quality of traffic off of newsletters higher than SEM
•The yields for direct e-mail marketing higher than display

•Figures are significantly below several Aussie newsletters

Open rates (key performance measure) increasing across most industries from 2008-2009 shows that this channel
remains an effective direct messaging medium with end users. While display ads have declined in yield and SEM
stands to go up in cost, e-mail has maintained its commercial viability when strategy is delivered properly.

...and business is ramping up

eMarketer


...where Social Media will play a part

Social media is the future and successful strategies will involve the integration of e-mail with social media
environments and contexts. In fact, both channels complement each other well. Social media sites deliver content and
relevance above and beyond static sites while e-mail complements Social Media through targeting and fulﬁllment.

E-Mail: KPIs and performance
KPIs Analytic Tools

Open rates
Click rates
Follow on traffic Omniture/Web Trends/Unica
Traffic retention E-Mail platform
Display Revenue Sales Force system
EDM Revenue
Profitability

These elements provide measures of
commercial value delivered by e-mail
that can be quantified into dollars. (ie.
Clicks=PIs that are worth ~1 cent each).
The sum of commercial value must
exceed the costs of maintaining e-mail
products.


EDM commercial model

These key players control
~$30,000,000 of the
revenue being earned in the
e-mail/afﬁliates market
Opt in APN commercial
co-branded messages to
consumers
E-Mail Cash
Zoom Direct
SMSpup - Empowered
Great Aussie Survey
Survey Databases

Key takeaways: There is over $50,000,000 nationally being made in this space with more room for
growth. Commercial eDMs may command $100cpm or more depending on content and data.


Key takeaways: Advertising revenue earned through the e-mail channel scales upward relative to
database size for dedicated ‘paid eDM’ promotional e-mail messages to each database.

How businesses use social
media and e-mail

DMNews
May 26, 2009

The traditional commercial e-mail models continue to have a place, but the user context is evolving. Businesses must
have a joint e-mail and social media strategy. Social Media is where the business needs to go to ﬁnd customers and e-
mail is a key fulﬁllment mechanism.

Success Case for E-Mail and Social

DMNews
May 26, 2009


Strategy for acquisition


PR can capitalise on E-Mail...
STRATEGY

Core objectives
Develop national report on consumer sentiment for renovation
Create IP for PR and trade Marketing Strategy
Populate survey with required sample data
Drive additional traffic to homesite.com.au
Drive incremental e-mail sign ups
Create/leverage competitive advantage

Target Audience
National (all sexes and age groups renting or owning)

Prize and promotion mechanics

Survey on housing sentiment/renovation with aspirational offer
Create sense of legitimacy via survey and HIA partnership
RON ad spots and e-mail to network list

Known competitor tactics
Several entities running local surveys of poor quality
No one delivering this output quality on national level


...as a high yielding channel...


...with commercial savvy...


...to drive multiple KPIs...


...and the regard of bitter enemies
Text


Promotion best practice learnings


Strategy for growing databases

Strategy Effectiveness Speed Difﬁculty Progress

Value add all newspaper subscriptions with free e-editions with opt ins via telesales

Deliver sustained editorial promotion in drop zone areas

Add newsletter sign up call to action in article level headers and footers

Use aggressive acquisition based e-mail campaigns with promotional inducements

Use viral promotion and e-mail campaign tactics as part of competitions

Require sign up to newsletters as part of all competition T&Cs

Undertake contra advertising arrangements with outside parties for acquisition

Cross promote newsletter databases in e-mail campaign swaps between brands (geo targeted)

Cross sell multiple newsletters on a single sign up page

Use house inventory to promote newsletter sign ups


Strategy for retention

6 Months Post Acquisition
APN


...focuses on the customer journey...


...and impacts the P&L
!


...this also works for media properties
6 Months Post Acquisition
APN


What works
Newsletters as a product
•Fresh new content
•Personalisation
•Alerts
•User control over delivery
•User input into product

E-Mail as commercial proposition
•Cleansing of dead e-mails
•Surveys of how to improve
•eDMs on a regular schedule
•Quality messaging


When the user talks...listen...


...and innovate with co-creation


...managed proﬁtably

Your news...your way Weekly Editors Review


What does not work

Newsletters as a product
•Staid repurposed content
•No customer contribution to product
•No interactivity

E-Mail as commercial proposition
•Too many eDMs
•Daily newsletters (non-premium content)
•Bad creative
•Bad design and standards


Challenges of publishing organisation

Sales Editorial

IT

Product

Marketing

The organisation may operate like an Amoeba, housed by a commercial brand and culture but able to find touch points with
the customer from different business units (with business units often unaware of what the other is doing). Strategy must find
ways to harvest e-mail and data through its unique touch points BUT WITH A STRUCTURE AND VISIBILITY.

Early stages

Product

Editorial
IT

Sales
Marketing

Customers are a precious resource, use marketing to identify and segment - coordinating the rest of the business to acquire
and retain them through technology and process.


But customer acquisition is expensive

Now you got them, how do you keep them happy?

...you give the customer what they want

Editorial

Marketing

Sales

IT
Product


How can we not make money when the demand
for media has increased more than 10 fold?


Make it easy for customer to consume

Editorial

Marketing

Sales

IT
Product

.and sometimes new products and diets emerge!
Making it easy for users to digest APN content (e-mail is one way), leads to trust and sharing of ideas. A good
business listens to those ideas, lets the customer in and a similar co-creation process emerges. The old
business is not dead, just continuously re-invented.

...with a modern platform


A worst case scenario workaround...

Vendor System

Telesales system data


Print |e-mail | mobile collaboration...


...can pay dividends to the business


...Best case
Enterprise Communications platform

Developing an enterprise application platform allows the business to support a variety of functions, scale to the
business and minimise or eliminate much of the overhead required to support large user base. ASP solution can
integrate with internal systems, enforce business rules and eliminate IT architecture issues.

Recommendations
Providers
Communications Transactional E-Mail
Technology
Platform Newsletter
Open architecture
Outsource for Alerts
API
specialisation and Mobile
interoperability with
internal systems
Leadership and Process
Capacity Centralise control within
Use technology to devolve specialised Marketing
tactical capability to department to manage privacy
greater business to scale and privileges as a resource to
growth and activity the business
Management
Empower senior management that
understands business units and how
they ﬁt together; how to foster autonomy
as it beneﬁts the customer and where to
create discipline and compliance where it
is required; robust planning to educate
all parts of the business to evolve

Emails Email Pis
Page Impressions Email Subscribers @ 4% Open sent / Distribution Click-thrus (avg. 91% of @1.06% of Email Pi Contribution
Time Ubs @ 7% growth @22.16/UB growth Rate % month costs open) total Pis to total %
Month 1 300,000 6,648,000 20,000 31% 80,000 $800.00 22,568 70,469 1.06%
Month 2 321,000 7,113,360 20,800 31% 83,200 $832.00 23,471 75,402 1.06%
Month 3 343,470 7,611,295 21,632 31% 86,528 $865.28 24,410 80,680 1.06%
Month 4 367,513 8,144,086 22,497 31% 89,989 $899.89 25,386 86,327 1.06%
Month 5 393,239 8,714,172 23,397 31% 93,589 $935.89 26,401 92,370 1.06%
Month 6 420,766 9,324,164 24,333 31% 97,332 $973.32 27,457 98,836 1.06%
Month 7 450,219 9,976,855 25,306 31% 101,226 $1,012.26 28,556 105,755 1.06%
Month 8 481,734 10,675,235 26,319 31% 105,275 $1,052.75 29,698 113,157 1.06%
Month 9 515,456 11,422,502 27,371 31% 109,486 $1,094.86 30,886 121,079 1.06%
Month 10 551,538 12,222,077 28,466 31% 113,865 $1,138.65 32,121 129,554 1.06%
Month 11 590,145 13,077,622 29,605 31% 118,420 $1,184.20 33,406 138,623 1.06%
Month 12 631,456 13,993,056 30,789 31% 123,156 $1,231.56 34,742 148,326 1.06%
Month 13 675,657 14,972,570 32,021 31% 128,083 $1,280.83 36,132 158,709 1.06%
Assume sell one EDM
to database per month
at $2,000
Projections
Time Subs Cost Pis EDM Revenue Display PI $ ($1.60 CPM)
Month 1 20,000 $1,000.00 70,469 $2,000.00 ??? $112.75
Month 2 20,800 $1,040.00 75,402 $2,080.00 ??? $120.64
Month 3 21,632 $1,081.60 80,680 $2,163.20 ??? $129.09
Month 4 22,497 $1,124.86 86,327 $2,249.73 ??? $138.12
Month 5 23,397 $1,169.86 92,370 $2,339.72 ??? $147.79
Month 6 24,333 $1,216.65 98,836 $2,433.31 ??? $158.14
Month 7 25,306 $1,265.32 105,755 $2,530.64 ??? $169.21
Month 8 26,319 $1,315.93 113,157 $2,631.86 ??? $181.05
Month 9 27,371 $1,368.57 121,079 $2,737.14 ??? $193.73
Month 10 28,466 $1,423.31 129,554 $2,846.62 ??? $207.29
Month 11 29,605 $1,480.24 138,623 $2,960.49 ??? $221.80
Month 12 30,789 $1,539.45 148,326 $3,078.91 ??? $237.32
Month 13 32,021 $1,601.03 158,709 $3,202.06 ??? $253.93
$16,626.84 1,419,287 $33,253.68 ??? $2,270.86

Year 1 Year 2
YR1 Revenue $33,254 YR2 Revenue $33,254
YR 1 Cost 16,627 YR 2 Cost 16,627
Once off YR1 build cost 5,000 -- --
YR1 Net ROI 54% YR2 Net ROI 100%


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