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• Electronic Mail Marketing
• E-mail and Online Tactics That Work

PRSA e-workshop October 28, 2003 Gabriela
Linares, Vice President Marketing
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Advantages of E-Mail
Global
Cost-Effective
E-Mail
Flexible
Fast
Interactive
Reliable
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Benefits of E-Mail

• Inexpensive communications medium
• Generates additional revenue opportunities
• Builds relationships
• Results are measurable
• Quick response cycles
• Drives web-site traffic
• Popular Medium - 45 US population 119 million
• Complements other communication channels

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Cost Savings due to E-Mail Usage among U.S.
Companies
As a percentage of respondents
Source AIM, April 2002, n110 companies
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Top 5 Activities of Americans Online
As a percentage of respondents
Source US Dept. of Commerce, February 2002
Source AIM, April 2002, n110 companies
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E-Mail Marketing is the wave of the future. Fast
and cost-effective, e-mail must become an
important part of your integrated marketing and
media plan.Peppers Rogers Group
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United Way of America

• Use e-mail to improve communication with staff,
  donors, and volunteers
• With LISTSERV Maestro and the other L-Soft
  products, Casey Cichowicz, United Way Online
  Manager, said, we will be able to better tailor
  our message to meet the interests not only of
  donors but of people who, through our network of
  Web sites, express an interest about knowing
  more.
• Already, we've used L-Soft products to reach
  out to more than 700,000 September 11th Fund
  donors who asked to hear from us about how their
  money was being used and what needs were being
  addressed."
• Use LISTSERV, LISTSERV Maestro LSMTP
  software

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Bell Canadawww.bell.ca

• Using E-Mail to shift to Online Billing
• Provide its 12 million customers with
  personalized e-mail messaging services
• Sending online billing monthly reminders
  promoting new services and products and
  announcing special promotions
• "One of the greatest things about LISTSERV and
  LSMTP is the configuration process," said Bill
  Attia, Senior Consultant at CGI, a consulting
  firm hired by Bell Canada to implement its
  billing solutions. "The language is so
  straightforward it's hard to go wrong. L-Soft's
  solution is the natural choice for us."
• Using LISTSERV HPO and LSMTP unlimited software

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Lifetime Television for Women

• Newsletters inform about TV programming, prompt
  recipients to tune in to TV or go to web site
• SELFEXAM newsletter designed to raise public
  awareness of breast cancer and the importance of
  early detection
• Health newsletters tie in with Speaking of
  Womens Health and Denise Austin shows
• Golden Girls and Weekly Movie Countdown
  newsletters increase show viewership
• LISTSERV allows Lifetime to
• Integrate its e-mail operation with its database
• Manage over 1 million subscriptions
• Implement top security measures to protect the
  personal information that viewers have entrusted
  Lifetime with
• Have announcement-only lists to prevent
  non-Lifetime messages from reaching the list
• a product that had gone through the burn test
  before we used it and LISTSERV definitely fit the
  bill.
• -- Shobhit Kapoor, Director of Internet
  Technology

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What it takes to get started

1. Establishing Objectives
2. Reaching Target Audiences
3. Developing Message Program
4. Evaluating Results
5. To Outsource or not to Outsource

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1. Establish Objectives
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Common E-Mail Communication Objectives

• Enhance relationships loyalty
• Maintain contact with web site visitors
• Promote internal communication
• Acquisition versus retention programs
• Build brand awareness
• Establish image of expertise
• Drive immediate sales Increase revenue by
  up-selling to existing customers/clients and
  prospects
• Support sales cycle Post-order targeted e-mails

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Online Methods used for Acquisition versus
Retention
Acquisition Retention
Search engine positioning 94 6
Banner ads 91 9
Referral/viral programs 85 15
Affiliate programs/ sponsorships 75 25
Incentive programs 51 49
E-Mail marketing 37 63
Source DMA- April, 2002
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Effectiveness of Techniques Used by U.S.
Marketers to Drive Web Site Traffic
Source Forrester Research, March 2001
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Response Rates by Campaign Objective
Source IMT Strategies, September 2001
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2. Reaching Target Audiences
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Building Contact Lists

• Build inhouse opt-in list
• Capture web site visitors
• Ask already made contacts for authorization
• Use database to collect demographic behavioral
  information
• Establish a privacy policy
• Re-confirm subscription requests
• Offer easy unsubscribe option
• Survey recipients to enhance relevancy of
  messages

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Opt-in, opt-out, double opt-in, spam Preferred
e-mail marketing methods
Source Opt-In News, May 2002
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Rates for U.S. e-mail permission-based campaigns
Source IMT Strategies, Sept. 2001
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U.S. Internet Users Level of Concern Regarding
Online Privacy
Source UCLA Center for Communication Policy,
November 2001
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U.S. Consumers Privacy Concerns
Source Harris Interactive, February 2002
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Privacy Regulations

• HIPPA influences health personal information
• COPPA protects children
• Gramm-Leach-Bliley Act concerns financial
  information
• FTC supports corporate privacy policies
• Federal spam regulation does not exist
• State laws exists in 28 U.S. states
• More information about spam regulations visit
  www.spamlaws.com
• DMA, AIM, AMA have published e-mail guidelines

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3. Developing a Message Program
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E-Mail Programs to Implement

• Disseminate announcements press releases
• Conduct surveys
• Corporate newsletters archiving
• Product updates announcements
• Discussion groups for committee members
• Internal workgroups
• Event service reminders
• Sales promotional offers
• Order transaction confirmations
• Account status e-mails

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E-Mail Message Content

• Subject line is crucial for attaining attention
• Recipients identify with brand, e.g. FROM name
• Format message so its easy to skim
• Provide hyperlinks to web site for complete
  message
• Formats HTML versus Text Multi-Part Mime
  messages
• Test HTML message in different e-mail
  applications
• Relevancy of the messages is one of the key
  components for success

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E-mail overload Number of e-mail marketing
messages sent in the U.S.
Source Forrester Research, August 2001
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Preferred e-mail formats
Source Opt-IN News, May 2002
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Source Survey of E-Mail Format Preferences and
Programs, Dr. Ralph F. Wilson, April 2003 - N954
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4. Evaluating Results
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E-Mail Metrics

• Open-up rates
• Bounces versus real deliveries
• Click-through rates
• Track web site click-stream after clicking from
  e-mail
• View tracking results online in real time
• Analyze results in statistical programs
• Evaluate results and adjust communication efforts

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Response time and cost per unit, e-mail vs.
direct mail
E-Mail Direct Mail
Response Time 3 days 3-6 weeks
Cost per unit 0.25 1.25
Source DMA, Forrester Research, Gartner Group,
2002
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4. To Outsource or not to Outsource
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• Maintain your server
• Hardware/computer network
• Dedicated Internet Connection
• Software for e-mail management and delivery
• Best for large workloads and those with
  experience
• More cost-effective/ economies of scale
• Flexibility to create campaigns on the fly

• Outsource your list hosting
• Reliability and experience
• Redundant servers and delivery capacity
• Flexibility to maintain company Internet presence
• Ability to move from hosting to in-house when
  ready
• More expensive
• Rely on companys schedule

VS.
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Outsourced E-Mail Marketing Services
Source Forrester Research, August 2001
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Evaluating Options

• Evaluate software product or hosting service
  before purchasing
• Determine if solution provides appropriate
  features
• Decide what reporting features you need
• online real-time reporting, compatibility with
  other software you employ
• Differentiating levels of privacy tracking
• Campaign manager to organize jobs
• Integration with your database and other
  applications
• Handle bounces

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Concluding Recommendations

• Integrate e-mail into your integrated
  communication plan
• E-Mail is best used for retention and other
  customer permission-based communications
• Consider double opt-in and build your
  permission-based lists
• Respect recipients privacy to earn their trust
• Personalize messages to provide relevant
  information and increase response rates
• Evaluate options and opt for time-tested
  solutions

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Questions?

• Gabriela Linares
• L-Soft international, Inc.
• www.lsoft.com
• Info_at_lsoft.com
• 301-731-0440
• 800-399-5449