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Leveraging the Value of Email
              Marketing During a Recession



Simms Jenkins
Founder & CEO
BrightWave Marketing
sjenkins@brightwavemarketing.com
404.888.0133
www.BrightWaveMarketing.com
www.EmailStatCenter.com
Agenda
1.   Redefine your program
2.   Build the Business Case
3.   Position Email As Service Bureau
4.   Arm Yourself With Data
5.   Optimize
6.   Cut Costs with Email
7.   Deliver Exceptional Value to Subscribers
8.   Get Creative
Background
Award-Winning Email Marketing Services Firm –
Founded in 2002
Specialize in creating, managing and optimizing email
marketing programs that
     Acquire & Retain Customers
     Build Relationships
     Cut Costs
                                                            BrightWave Marketing’s
     Drive Revenue
                                                          appearance on Bloomberg TV
“One of the top 21 email marketing information
sources” & “Best Blogs” - Email Marketing Reports.com
Recognized as one of the leading email service firms in
the industry
BrightWave & Client work featured in dozens of
industry publications and media including The Atlanta
Journal Constitution, Bloomberg TV, Marketing Sherpa,
BtoB, ClickZ, DM News & MediaPost
Awarded Atlanta Marketer of the Year (AMY) Award by
the American Marketing Association and the South
Star Award by the Direct Marketing Association
Created EmailStatCenter.com, in partnership with The
Email Experience Council, the leading email research
and metric portal for email marketing practitioners
Contributor to iMediaConnection, over 40 email
industry related articles published
Forthcoming book “The Truth About Email Marketing”
to be published by Pearson on Aug. 1
Leadership developed email programs at Cox
Interactive Media, Southern Progress & WebMD
BrightWave Marketing – Clients
What Does a Recession Mean?
“In the middle of difficulty lies opportunity”

           Albert Einstein
Interactive Marketers Are Bullish In A Recession
Survey of 333 interactive marketers revealed strong support
for maintaining or increasing budgets in categories including
social networking, email, blogging, and search optimization.

Professional services, financial services, and media
marketers are most likely to plan increases in interactive
marketing.

In a recession like this, marketers should focus on the
measurability of their online and social applications and
think in terms of building long-term assets, not one-off
campaigns to boost quarterly sales.

                Josh Bernoff – Forrester Research
Email Marketers Wish List
Strategy & Measurement are the top
 2 areas for near term focus for email
              marketers
 -- EmailStatCenter.com First Annual State of Email Metrics
                     Survey, Nov. 2008



      List Development & Time
     Constraints are the biggest
    challenges for email marketers
 -- EmailStatCenter.com First Annual State of Email Metrics
                     Survey, Nov. 2008
Redefine Your Email Program
Redefine Your Email Program

Purpose/Mission
                            Recommended Metrics for Success

Goals                       Overall Goal

                            a) Drive Revenue
                                                  Success Metric

                                                  Revenue
                                                                               Industry
                                                                               Average
                                                                               NA
                                                                                          COMPANY
                                                                                          current state
                                                                                          $10,000,000
                                                                                                          COMPANY
                                                                                                          desired state
                                                                                                          $22,500,000
                            a) Drive Revenue      ROI                          $57.25     $20.00          $40.00
Benchmark                   a) Drive Revenue      Conversion Rates             .13%       0.50%           1%
                            a) Drive Revenue      Value of Email Subscribers   NA         $2.00           $3.00
                                                  (# of subs/revenue)
Define Your Assets          b) Customer Loyalty
                            b) Customer Loyalty
                                                  Total Email Subscribers
                                                  Unsubscribe Rate
                                                                               NA
                                                                               .29%
                                                                                          5,000,000
                                                                                          0.15%
                                                                                                          7,500,000
                                                                                                          < 0.10%
                            b) Customer Loyalty   Customer Frequency           NA         1.2             2
Make Sure Your Team                               (average monthly
                                                  visits/average monthly
                                                  unique visitors)
(Internal & Partners) Are   b) Customer Loyalty   Customer Retention (% of
                                                  site visitors returning to
                                                  client..com)
                                                                               NA         NA              Begin to track,
                                                                                                          initial goal
                                                                                                          should be 25%

On the Same Page &          c) Brand, Product,
                            Feature Awareness
                            c) Brand, Product,
                                                  Open Rate

                                                  Click Through Rate
                                                                               20.77%

                                                                               5.32
                                                                                          26%

                                                                                          8%
                                                                                                          30%

                                                                                                          12%

Invested                    Feature Awareness
                            c) Brand, Product,
                            Feature Awareness
                                                  Deliverability               96.9       94%             97%
Build the Business Case
Email is Too Valuable & Powerful
Email has reached almost universal penetration, with 97%
of consumers & 94% of marketers using the channel -
Forrester, 2007

87% of Consumers online time is spent reading their
emails - David Daniels, Vice President JupiterResearch, Dec. 2007

82% of marketers choose email marketing as the most
important advertising media they planned to use in 2008 -
Datran Media, 2008

81% of marketers planned to increase spending on email
marketing in 2007 - Alterian, 2007

US spending on email advertising will grow to $2.1 billion
by 2012 from $1.2 billion in 2007 – JupiterResearch, 2007
Email Marketing Delivers ROI


 For every dollar spent on Email
marketing in 2007, marketers can
expect an estimated $48.29 ROI.
            -- DMA, 2007
Email Marketing Delivers ROI
Email Marketing Outperforms Other Media
 Email delivers one of the lowest costs
 per order
 Email's ROI index is 70 percent higher
 than any other direct-response
 marketing vehicle - DMA, 2006
 83% of marketers surveyed said that
 they thought 2007 ROI for email will
 increase over last year. - Datran Media
 Research, quot;The 2007 Email Marketing Survey: Looking
 Forwardquot;

 45% say best performing online
 advertising tactic is emailing your in-
 house list - CMO Council, 2006
 B2C marketers will spend 11% of total
 marketing budget on email marketing in
 2007 - DMA, Nov 2006
 B2B marketers will allocate 6.5% of their
                                                       Source: Direct Marketing Association
 marketing budget to email marketing in                (DMA) as cited by Promo Magazine,
 2007 - DMA, Nov 2006                                  October 18,2007
Email Marketing is Big Business Now
Position Email as a Service Bureau
Internal Email Service Bureau
  Email is the…
  …Workhorse of Interactive/Direct Marketing
  …Bridge to Sales & Marketing
     Use Best Practices to Monitor & Control
     Create Business rules, policies and guidelines
     Test
     Metrics as a Leash
     Consider Centralization
Only 38 percent of executives said their
   email messaging endeavors are
  centralized in one location, with 24
    percent citing that six or more
  departments manage it separately.
        -- Jupiter Research, 2007
Arm Yourself With Data
Lack of Analysis


 70% of respondents said they
apply basic or no analysis to any
   of their email campaigns.
            -- Alterian, 2007
State of Email Marketing Metrics
EmailStatCenter.com’s First Annual State of Email Metrics
Survey conducted August - October 2007
        95% of email marketers measure results
        56% measure immediately after campaigns while 48% and 44%
        measure weekly and monthly, respectively – only 18% measure
        annually
        Survey respondents said it was very important to measure email
        campaigns in order to improve results
        Respondents ranked email metrics by importance :
   1.      Click Through Rate
   2.      Deliverability
   3.      Conversions
   4.      ROI
   5.      Open Rate
   6.      Revenue
   7.      Total Subscribers
   8.      Forwards

        Only ½ of email marketers are using email metrics for
        budgeting/forecasting purposes
        Biggest Metrics Challenge = Lack of standardization
Remarket
Redesigned creative lifted response
rate between 100-350%
Email Marketing efforts generated
$119,567 in revenue
ROI was $39 for every $1 spent for a
3,886% return
Overall event registration was 11%
higher than planned
Awarded Atlanta Marketer of the Year
(AMY) Award by the AMA and South
Star award by the DMA for best email
marketing campaign
Optimize
Operational Inefficiencies
 Most marketers are keeping up with campaign schedules, rather
 than enhancing them

 76.5% of retailers had no plans to add to their email marketing
 staffs in the next 12 months (Internet Retailer, 2006)

 Sixty two of sixty three commercial email efforts scored failing
 grades (Forrester Research, 2006)
Existing Creative Challenges
Fewer than 50 percent of marketers create emails
that render appropriately - Email Experience Council, 2007
59% of online customers routinely block images -
MarketingSherpa, 2007


One in five emails are invisible and ineffective due to
blocked images - Email Experience Council, 2007
34% of marketers surveyed said that creative
optimization had the most impact on email
campaigns - Datran Media Research, 2007
Optimizing to ensure effective messaging even when
images are off delivered an 87 percent increase in
clicks. – SubscriberMail, 2008
Optimize Creative
Optimize Creative
Email Design/Layout Optimization
                          August 2007
                          - Does not rely on images to
                          provide key marketing message
                          & CTAs
                          - Call to action links in preview
                          pane area
                          - Added navigation to target
                          customers in multiple spots in
                          buying cycle
                          - Added additional content areas
                          for increased promotional real
                          estate




                          *Response Increased
                                 700%
                                   (Clicks/Open)
Images Blocked But Not Content/Messaging/Links
The Power of Inbox Optimization
What Changed
  New template with multiple links and
  content offerings
  Used Metrics for follow up efforts
  Deployed via BrightWave platform
  Metrics Measurement & Benchmarking

The Results
   152% increase in Click Through Rate
   over previous TMG email campaigns
   215% increase in Unique Clicks/Open
   Rate
   640% increase in tracked viral activity
   (forwards)
   13.1% increase in deliverability rate
   41% decrease in unsubscribes
   Hired as Email Marketing Agency Of
   Record
Cut Costs with Email
Cutting Costs
Eliminate Traditional Hard Costs
    Newsletters
    Direct Mail
    Catalogs
    Call Center


                          Call Center Volume decreased
                          more than 80% following
                          Weekly Remittance email
                          deployments
Deliver Exceptional Value to Subscribers
Value in the Inbox
People who buy products advertised in emails spend 138% more
than those who don't - Forrester Research, 2007

90% of consumers use email to engage in and determine the
value of a relationship with a company - JupiterResearch, 2006

50% of the shoppers surveyed said they used emails to make
purchases; 50% said email had some influence on their shopping
habits - Return Path, 2006

50% of consumers who open and read email marketing messages
are also likely to purchase other items on impulse - Forrester
Research, 2007

47% of consumers who think email is a great way to find out
about new products or promotions are willing to pay a premium
for products that save them time and hassles - Forrester
Research, 2007
Value in the Inbox
Offer Exclusivity
Reward Behavior
Personalize
Aim for Viral Takeoff
Make Life Easier
Get Creative
Get Creative
Get Creative
Get Creative
Get Creative
Don’t Panic
Questions, Comments & Discussion
         Simms Jenkins
         Founder & CEO
         BrightWave Marketing
         sjenkins@brightwavemarketing.com
         404.888.0133
         www.BrightWaveMarketing.com
         www.EmailStatCenter.com
Thank You!

Contact us
  Aquent
  aquent.com
  877 227 8368

  American Marketing Association
  mchupack@ama.org

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Leveraging the Value of Email Marketing During a Recession

  • 1. T e esi e a efo t e h s l s r rm h d 6 2 / 8 we c s : / 6 0 bat L v rgn te e ea ig h V leo E i au f mal Mak t gD r g rei ui n n a e es n R c sio
  • 2. This AMA webcast was sponsored by Aquent Aquent is the only global staffing company dedicated to marketing and creative services organizations Our customers are industry leaders 90 of the Fortune 100 2/3 of the Fortune 500 Other Services Consulting Training Outsourcing Translation IT Solutions Offices to help you across the globe Nearly 70 offices in 17 countries 40 offices in major metros across North America Contact us aquent.com 877 227 8368
  • 3. Leveraging the Value of Email Marketing During a Recession Simms Jenkins Founder & CEO BrightWave Marketing sjenkins@brightwavemarketing.com 404.888.0133 www.BrightWaveMarketing.com www.EmailStatCenter.com
  • 4. Agenda 1. Redefine your program 2. Build the Business Case 3. Position Email As Service Bureau 4. Arm Yourself With Data 5. Optimize 6. Cut Costs with Email 7. Deliver Exceptional Value to Subscribers 8. Get Creative
  • 5. Background Award-Winning Email Marketing Services Firm – Founded in 2002 Specialize in creating, managing and optimizing email marketing programs that Acquire & Retain Customers Build Relationships Cut Costs BrightWave Marketing’s Drive Revenue appearance on Bloomberg TV “One of the top 21 email marketing information sources” & “Best Blogs” - Email Marketing Reports.com Recognized as one of the leading email service firms in the industry BrightWave & Client work featured in dozens of industry publications and media including The Atlanta Journal Constitution, Bloomberg TV, Marketing Sherpa, BtoB, ClickZ, DM News & MediaPost Awarded Atlanta Marketer of the Year (AMY) Award by the American Marketing Association and the South Star Award by the Direct Marketing Association Created EmailStatCenter.com, in partnership with The Email Experience Council, the leading email research and metric portal for email marketing practitioners Contributor to iMediaConnection, over 40 email industry related articles published Forthcoming book “The Truth About Email Marketing” to be published by Pearson on Aug. 1 Leadership developed email programs at Cox Interactive Media, Southern Progress & WebMD
  • 7. What Does a Recession Mean?
  • 8. “In the middle of difficulty lies opportunity” Albert Einstein
  • 9. Interactive Marketers Are Bullish In A Recession Survey of 333 interactive marketers revealed strong support for maintaining or increasing budgets in categories including social networking, email, blogging, and search optimization. Professional services, financial services, and media marketers are most likely to plan increases in interactive marketing. In a recession like this, marketers should focus on the measurability of their online and social applications and think in terms of building long-term assets, not one-off campaigns to boost quarterly sales. Josh Bernoff – Forrester Research
  • 10.
  • 11. Email Marketers Wish List Strategy & Measurement are the top 2 areas for near term focus for email marketers -- EmailStatCenter.com First Annual State of Email Metrics Survey, Nov. 2008 List Development & Time Constraints are the biggest challenges for email marketers -- EmailStatCenter.com First Annual State of Email Metrics Survey, Nov. 2008
  • 13. Redefine Your Email Program Purpose/Mission Recommended Metrics for Success Goals Overall Goal a) Drive Revenue Success Metric Revenue Industry Average NA COMPANY current state $10,000,000 COMPANY desired state $22,500,000 a) Drive Revenue ROI $57.25 $20.00 $40.00 Benchmark a) Drive Revenue Conversion Rates .13% 0.50% 1% a) Drive Revenue Value of Email Subscribers NA $2.00 $3.00 (# of subs/revenue) Define Your Assets b) Customer Loyalty b) Customer Loyalty Total Email Subscribers Unsubscribe Rate NA .29% 5,000,000 0.15% 7,500,000 < 0.10% b) Customer Loyalty Customer Frequency NA 1.2 2 Make Sure Your Team (average monthly visits/average monthly unique visitors) (Internal & Partners) Are b) Customer Loyalty Customer Retention (% of site visitors returning to client..com) NA NA Begin to track, initial goal should be 25% On the Same Page & c) Brand, Product, Feature Awareness c) Brand, Product, Open Rate Click Through Rate 20.77% 5.32 26% 8% 30% 12% Invested Feature Awareness c) Brand, Product, Feature Awareness Deliverability 96.9 94% 97%
  • 15. Email is Too Valuable & Powerful Email has reached almost universal penetration, with 97% of consumers & 94% of marketers using the channel - Forrester, 2007 87% of Consumers online time is spent reading their emails - David Daniels, Vice President JupiterResearch, Dec. 2007 82% of marketers choose email marketing as the most important advertising media they planned to use in 2008 - Datran Media, 2008 81% of marketers planned to increase spending on email marketing in 2007 - Alterian, 2007 US spending on email advertising will grow to $2.1 billion by 2012 from $1.2 billion in 2007 – JupiterResearch, 2007
  • 16. Email Marketing Delivers ROI For every dollar spent on Email marketing in 2007, marketers can expect an estimated $48.29 ROI. -- DMA, 2007
  • 17. Email Marketing Delivers ROI Email Marketing Outperforms Other Media Email delivers one of the lowest costs per order Email's ROI index is 70 percent higher than any other direct-response marketing vehicle - DMA, 2006 83% of marketers surveyed said that they thought 2007 ROI for email will increase over last year. - Datran Media Research, quot;The 2007 Email Marketing Survey: Looking Forwardquot; 45% say best performing online advertising tactic is emailing your in- house list - CMO Council, 2006 B2C marketers will spend 11% of total marketing budget on email marketing in 2007 - DMA, Nov 2006 B2B marketers will allocate 6.5% of their Source: Direct Marketing Association marketing budget to email marketing in (DMA) as cited by Promo Magazine, 2007 - DMA, Nov 2006 October 18,2007
  • 18. Email Marketing is Big Business Now
  • 19. Position Email as a Service Bureau
  • 20. Internal Email Service Bureau Email is the… …Workhorse of Interactive/Direct Marketing …Bridge to Sales & Marketing Use Best Practices to Monitor & Control Create Business rules, policies and guidelines Test Metrics as a Leash Consider Centralization Only 38 percent of executives said their email messaging endeavors are centralized in one location, with 24 percent citing that six or more departments manage it separately. -- Jupiter Research, 2007
  • 22. Lack of Analysis 70% of respondents said they apply basic or no analysis to any of their email campaigns. -- Alterian, 2007
  • 23. State of Email Marketing Metrics EmailStatCenter.com’s First Annual State of Email Metrics Survey conducted August - October 2007 95% of email marketers measure results 56% measure immediately after campaigns while 48% and 44% measure weekly and monthly, respectively – only 18% measure annually Survey respondents said it was very important to measure email campaigns in order to improve results Respondents ranked email metrics by importance : 1. Click Through Rate 2. Deliverability 3. Conversions 4. ROI 5. Open Rate 6. Revenue 7. Total Subscribers 8. Forwards Only ½ of email marketers are using email metrics for budgeting/forecasting purposes Biggest Metrics Challenge = Lack of standardization
  • 24. Remarket Redesigned creative lifted response rate between 100-350% Email Marketing efforts generated $119,567 in revenue ROI was $39 for every $1 spent for a 3,886% return Overall event registration was 11% higher than planned Awarded Atlanta Marketer of the Year (AMY) Award by the AMA and South Star award by the DMA for best email marketing campaign
  • 26. Operational Inefficiencies Most marketers are keeping up with campaign schedules, rather than enhancing them 76.5% of retailers had no plans to add to their email marketing staffs in the next 12 months (Internet Retailer, 2006) Sixty two of sixty three commercial email efforts scored failing grades (Forrester Research, 2006)
  • 27. Existing Creative Challenges Fewer than 50 percent of marketers create emails that render appropriately - Email Experience Council, 2007 59% of online customers routinely block images - MarketingSherpa, 2007 One in five emails are invisible and ineffective due to blocked images - Email Experience Council, 2007 34% of marketers surveyed said that creative optimization had the most impact on email campaigns - Datran Media Research, 2007 Optimizing to ensure effective messaging even when images are off delivered an 87 percent increase in clicks. – SubscriberMail, 2008
  • 30. Email Design/Layout Optimization August 2007 - Does not rely on images to provide key marketing message & CTAs - Call to action links in preview pane area - Added navigation to target customers in multiple spots in buying cycle - Added additional content areas for increased promotional real estate *Response Increased 700% (Clicks/Open)
  • 31. Images Blocked But Not Content/Messaging/Links
  • 32. The Power of Inbox Optimization What Changed New template with multiple links and content offerings Used Metrics for follow up efforts Deployed via BrightWave platform Metrics Measurement & Benchmarking The Results 152% increase in Click Through Rate over previous TMG email campaigns 215% increase in Unique Clicks/Open Rate 640% increase in tracked viral activity (forwards) 13.1% increase in deliverability rate 41% decrease in unsubscribes Hired as Email Marketing Agency Of Record
  • 34. Cutting Costs Eliminate Traditional Hard Costs Newsletters Direct Mail Catalogs Call Center Call Center Volume decreased more than 80% following Weekly Remittance email deployments
  • 35. Deliver Exceptional Value to Subscribers
  • 36. Value in the Inbox People who buy products advertised in emails spend 138% more than those who don't - Forrester Research, 2007 90% of consumers use email to engage in and determine the value of a relationship with a company - JupiterResearch, 2006 50% of the shoppers surveyed said they used emails to make purchases; 50% said email had some influence on their shopping habits - Return Path, 2006 50% of consumers who open and read email marketing messages are also likely to purchase other items on impulse - Forrester Research, 2007 47% of consumers who think email is a great way to find out about new products or promotions are willing to pay a premium for products that save them time and hassles - Forrester Research, 2007
  • 37. Value in the Inbox Offer Exclusivity Reward Behavior Personalize Aim for Viral Takeoff Make Life Easier
  • 44. Questions, Comments & Discussion Simms Jenkins Founder & CEO BrightWave Marketing sjenkins@brightwavemarketing.com 404.888.0133 www.BrightWaveMarketing.com www.EmailStatCenter.com
  • 45. Thank You! Contact us Aquent aquent.com 877 227 8368 American Marketing Association mchupack@ama.org