Friday, May 28, 2010
Long Live Email Marketing!
Editor’s Note: Spoke client and Grande Dame of marketing at OneCommand, Lindsay Leugers, steps lively through the good fight of email marketing. Ignored by many, despised by some, email has become the marketing channel we love to hate. It’s time to vanquish the foes of this venerable tool and put its virtues to work for good instead of evil.
Here’s a fact: email is a formidable marketing vehicle. It has not been squashed by spam legislation, it hasn’t been made obsolete by blog posts or tweets or text messages. Even the explosion of mobile and social channels hasn’t wreaked the havoc on email touted by some. Email is, however, fighting for its rightful place in today’s ever-changing online marketplace. This means that marketers who leverage email must do so more thoughtfully than ever before. Although the overall spend on email marketing pales in comparison to other media channels, the returns achieved consistently outperform these same media. To keep that trend going, it’s imperative we build strategies that prevent us from simply blasting out bland content because it’s fast and cheap.
Our approach should evolve over time and address the changing climate of the channel as well as the needs of our unique audiences. We engage in email marketing because it works. Period. Here are some tips to get even better results from your own campaigns:
Target.
Whether targeting current clients or prospects, there are many unique segments within these groups. Take common demographics for example. You should know which age groups purchase which products. You should know which regions you’ve penetrated with which products. You should know which gender responds best to which incentives. In these cases, knowledge is power. Using this intelligence, you should be able to target different segments of your subscribers with unique campaigns that call attention to what is most relevant to them — be it regionalized content, special coupons or overall design.
At OneCommand, for example, our entire email marketing strategy is rooted in recognizing the uniqueness of each of our clients. Since the majority of our customers are in the automotive retail market, we pay close attention to things like dealership franchise, location, the DMS and CRM they use, and even the sales and service volume of the store. These details help us deliver content that is specific and relevant — whether that involves sharing local or regional news and events content, or offering tips on how our solutions work with others the client already has in place.
Test.
Take the time to measure the variables that make your campaign more, or less, effective. Play with the subject line, the sending email address, the reply to address, links offered, the actual email content itself, more images and less copy vs. fewer images and more news articles, etc. Then, measure the differences to identify which is more effective. The best email marketing solutions will let you do this in real-time with A/B split testing features. Such a system will enable the delivery of essentially two different versions of your email based on the previously mentioned variables to a percentage of the total recipient list. Then, it will let you specify a time frame for the test, monitor the performance of each version, decide the more effective of the two and deliver the remainder of the emails accordingly.
In my opinion, Campaign Monitor* offers one of the best email solutions out there. I’m especially enamored with their testing features. In fact, I’ve developed a bit of an addiction. I perform A/B split testing at least once a week with different versions of the weekly news, tips and tricks we deliver to our current customers. Doing so has helped us to deliver more intelligently and has also opened up a bit of healthy competition amongst members of our marketing team. Doesn’t seem like placing bets on whether “A” will smoke “B” or vice versa would be all that fun, but I dare you to try it. Just this past week I closed my door and quietly did a victory dance to celebrate when a message delivered from me as the sender beat out the one coming from our CEO. What can I say? It’s the little things.
Measure.
The spectrum of open, click, bounce and unsubscribe rates is wide. Knowing where your campaigns stand on each of these fronts is critically important, but what long-term value does this information provide? Think about a monthly newsletter campaign. From your standard report, you may learn that 33% of your recipients opened the email, but how does this compare to the rate you measured last month or last year? You should be using these measurements to better understand your progress over time. Your email marketing tools should allow you to select campaigns to compare — helping to give you a better view of your rates and their improvement from, say, one month to the next. Armed with that information, you’ll then be ready to drill down into analyzing what made the difference such as time and day of send, subject, etc.
Measuring also helps you to predict trends. For example, this time last year, when the auto industry was facing its worst year in recent history, we lost a good deal of our customer base due to store closings, budget cuts and consolidation. Because I look at our subscriber list performance over time on a regular basis, I could see the writing on the wall. Our subscriber count was on its way to a big dip. To stem the loss, we introduced a weekly publication that offered best practice insights that were not necessarily linked to the use of OneCommand solutions. Instead, our new publication offered helpful bite-size treats in the form of general best practices and trends sprinkled with a little peer commentary. Though we did certainly see a decrease across our lists, the new subscribers we signed, and those we were able to retain with the new pub into, helped offset the losses.
Listen.
Give your subscribers a voice. Trust me, they have one and they will use it when prompted. Care about and respond to what they have to say, especially in terms of their subscription preferences. If you’ve not already established a way to pass control to the subscriber to manage their subscription—from the email address they provide you to the selection of campaigns or content types they wish to receive—you’re missing a critical piece of the email marketing puzzle. Recipients are far more likely to open, read and respond to a campaign that they’ve expressed interest in receiving. They appreciate being able to control what they receive instead of having only the age-old “subscribe or unsubscribe” options. Many email marketing engines will include the setup of a preference center for your subscribers that feeds directly back to your subscription lists — take advantage!
The idea of preference management is baked into OneCommand solutions, but it wasn’t something that we’d spent much time on in terms of our own marketing strategy. Until now. At OneCommand, we send a lot of email. We send weekly publications, monthly newsletters, system notifications, account management outreach, feature announcements, new staff introductions… the list goes on. We needed a solution that helped us manage the fact that not everyone wants everything. The preference center feature built into Campaign Monitor fits this bill perfectly.
Viva la...!
In summary, as marketers we have to take the time to really understand how this channel is most effective for our specific goals and objectives, and most importantly for our subscribers. I challenge that email marketing has become so second nature for most of us that we rarely give the measurements or the opportunities for improvement the attention they deserve. Change that today. Take stock of your efforts and your measure of success. Once you’ve done that and you feel good about your overall progress and go-forward strategy, think about mobile and social and how those exponentially growing channels can help your email make an even bigger splash.
*Disclosure: Spoke is a proud user of Campaign Monitor. Many of our clients use it with exuberant glee daily.
Follow up: We recently stumbled upon this piece on the Litmus blog. We found the numbers interesting and slightly alarming. Still, we know first-hand that you can improve your campaign success rate by following the suggestions in Lindsay’s post above and others. You might even consider using the Litmus toolset for testing your campaigns.
By the way, we’re not endorsing Litmus. Not because we don’t like it, but because we have’t tried it... yet.