Myths About Email Marketing
We've come to agree that email principles are based on a
collection of sound concepts from the disciplines of direct
marketing and customer relationship management. But where do you
draw the line between traditional and new media?
It's time to challenge the numerous preconceived ideas that many
marketers have taken as gospel.
Myth No. 1: Email marketing is the electronic version of direct
mail.
Truth: Don't let yourself be swayed by your direct mail agency.
Email requires expertise.
Traditional agencies are pressed to claim that email, due to its
theoretical similarities to offline media, is simply an
extension of that media. Suddenly, to the novice eye, email
marketing is just the electronic version of direct mail.
Not so fast! The reality is that email marketing offers unique
advantages that in traditional print media are not cost
justifiable or are simply impossible. Most agencies are
incapable of creating content cost effectively or quickly enough
to meet your daily or weekly deadlines. They are often unable to
handle the quick response due to their lack of systems and
procedures.
The large number of test variables and data elements available
to them are often overwhelming. Therefore, the practical
implications in terms of strategic planning, technology,
reporting, analysis, and tactical execution are significant and
should be managed by discipline experts.
Myth No. 2: Email is a powerful messaging vehicle.
Truth: Don't turn email into a loud radio. It's about
encouraging and facilitating a dialogue.
How could anyone resist? Here is a new form of push marketing.
It is far less expensive than traditional media, 10 times faster
to implement, and known to generate a higher response than its
alternatives. No wonder marketers aggressively leverage it to
push their marketing message as frequently as humanly possible.
But the real challenge is to allow "true" communication to take
place. No relationship can exist without two-way communication.
To avoid declining response rates, marketers must learn new
skills and deploy new technologies in creating a dialogue. They
want to hear back from their customers and intentionally open
the gates to questions, comments, and suggestions.
It requires technology, staffing, protocols, and detailed
processes to manage the incoming flow of information. In the
end, engaging customers in a dialogue is far more rewarding than
broadcasting, and it is necessary for building long-lasting
brand value.
Myth No. 3: Email is a successful standalone communication tool.
Truth: Email will be only as effective as its integration with
other media.
Most email campaigns today are run as isolated marketing
initiatives. Companies hire email marketing firms to run their
email strategies because traditional agencies are unable to
provide the quality of service and necessary technology that
email pure-plays provide. The problem is an unbroken sequence of
communications that do not capitalize on the sum of the parts.
The outcome is a confused and possibly dissatisfied customer,
victim of your unorganized and untimely messages. Sure the
creative may look the same, but production schedules rarely
match, and the integration of media is an afterthought.
Companies end up with separate information "islands" that offer
a limited view of the customer interaction. They have
difficulties connecting data sources, integrating campaign
results, and analyzing consumer behavior across a multilayer of
campaigns. It's about time marketers secure coherent customer
profiles and deliver compelling cross-media messages.
Myth No. 4: Low-cost email allows you to communicate
relentlessly and maintain customer mind share.
Truth: One strike and you're out. Empower customers, and talk to
them wisely.
We know all too well that our best customers can fire us in a
single click. Email is so cost effective that marketers are
tempted to pull out programs killed during last year's budget
cuts. To avoid burning out customers and scoring single- or
double-digit unsubscribe rates, consider customer preferences,
and carefully plan the frequency with which you communicate to
various customer segments.
Savvy marketers empower customers by asking them what content
they want to receive, when they want to receive it, how often,
and in what format. Then they define business rules, implement
them corporation-wide, and prioritize communications
(electronic, print, or telephone) accordingly. It's a simple
rule: Prioritize or your customers will. And you may not end up
on their priority list.
Myth No. 5: Use standard metrics like click-through to measure
campaign performance.
Truth: CFOs don't care about click-through rates (CTRs).
Stockholders don't care about short-term profits. Use conversion
and customer-satisfaction data to make the right decisions.
Click-through, like Web traffic, has never been a good indicator
of performance. Chances are that your short-term revenue
forecast and long-term profitability are made up of more
tangible, quantifiable data. A more accurate measure of the
success of a campaign is sales or leads conversion. Some people
just want customers who click. You (and probably your CFO) want
customers who buy.
But stay away from short-term objectives that may force you to
overcommunicate at the expense of long-term customer value.
Create a customer satisfaction index and regularly track results
via focus groups or online surveys. Ignoring customer
satisfaction is always a deadly mistake in business. And believe
me, your competitors know it. So will you be the diner? Or the
dinner?
Copyright 2004 LeadsandTraffic.com
About the author:
Talbert Williams offers debt consolidation, debt reduction,
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