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Retail Email Subscription Benchmark Study: Executive Summary

The Direct Marketing Association’s Email Experience Council recently signed up for the email newsletters of 118 of the top online retailers tracked via RetailEmail.Blogspot. What we found was that there’s a clear trend toward subscription processes that are quick and easy, and increasingly transparent.

“The old adage ‘you only get one chance to make a good first impression’ transcends to an email marketer’s efforts in creating a good opt-in experience,” says Elie Ashery, president and CEO of email marketing software and services company Gold Lasso, the sponsor of the study. “The opt-in process sets the tone of how a future email relationship between a company and customer will unfold.”

Along with this shift toward greater ease of subscribing, the confirmation page is rising in importance. Rather than making customers complete long subscription forms, many retailers are now allowing people to subscribe with just an email address and then allowing them to express delivery and content preferences on the subscription confirmation page.

Also, addressing privacy concerns is a best practice that’s seeing adoption approach the 50% mark, and providing a sample newsletters is a clear emerging best practice that should help reduce opt-outs, with nearly 12% or major online retailers doing that.

Ashery adds, “Lasting impressions taken from the opt-in process can be directly linked to the ease of subscribing, relevant subscription choices available, the speed that a confirmed opt-in email is delivered, and most importantly, information on what the subscriber should expect from their email relationship such as content, frequency and format.”

On the content front, 28% of retailers offer more than one content selection, with it ranging from two all the way up to the 50 content options offered by Amazon.com. Nearly 6% of retailers offer a local store update.

When it comes to transparency on frequency, however, retailers do a poor job. Not even 7% of retailers give subscribers any kind of idea how many emails to expect. And only one retailer, Coldwater Creek, allows subscribers to opt to receive a monthly only email.

Format-wise, nearly 12% of retailers offer plain-text versions of their newsletters during the sign-up process. Because of the superior responses from HTML emails, retailers may be hesitant to give subscribers this option.

Here are some other findings from the study:

• Only 3% of major online retailers use a double opt-in subscription process.

• Only 92% of retailers have an email sign-up form or link on their homepage.

• More than 43% of retailers allow customers to sign up for email with one click from their homepage.

• The subscriber’s name (31%) and zip code (18%) were the two most often required pieces of information.

Get the Full Report
The full 37-page study presents a range of best practices and emerging best practices for your consideration, as well as a formerly popular practice that appears to be falling out of favor. It also includes numerous examples of creatives to help illustrate each point.

Visit the Whitepaper Room to download the full report, which is free for EEC platinum members, available at a discount to EEC gold and silver members, and available for $179 for non-members. Not a member? Learn more about becoming a member of the Email Experience Council.

—Chad White

Posted on July 26, 2007 10:35 AM | Permalink

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the voices of email

The Email Experience Council's membership includes many of the brightest and most committed email marketing experts. We're pleased to have some of them share their insights here on these pages. Our blog contributors include:

Jordan Ayan is the chairman of Create-It!, a technology consulting organization, as well as the CEO of SubscriberMail, one of the leading email marketing companies. A two-time book author, a patent holder and a frequent speaker, Jordan has more than 20 years of experience in direct and database marketing. Read more.

Nicholas Einstein is director of strategic and analytic services at Datran Media. Specializing in email and CRM strategy, he helps some of America’s top brands leverage online channels to communicate more effectively with their customers and prospects.

Lisa Harmon is a principal at Smith-Harmon, a creative services consultancy dedicated to email marketing strategy and production. She works with marketers to increase clickthrough, maximize revenue, and infuse delight into their email creative. Lisa is also the blogger behind edm.smith-harmon.com, an ongoing commentary on the best (and worst!) in email marketing creative. Read more.

Chip House is ExactTarget's VP of marketing services, leading the teams responsible for client success. He was named to BtoB Magazine’s 2005 “Who’s Who in B-To-B,” for being a vocal proponent of legitimate commercial email and an active lobbyist regarding spam and privacy issues. Read more.

Marco Marini is the CEO of ClickMail Marketing (CMM) and an acknowledged expert in e-marketing with over a decade and half's-worth of experience in the field. Before taking over as CEO, he was CMM's VP of Marketing & Operations. Marini has also held key marketing positions with CyberSource, eHealthInsurance, DoveBid and IBM Canada.

Stephanie Miller is VP of strategic services for Return Path, the leading email performance company. She works with marketers to earn a higher ROI and response from their acquisition and retention email programs—developing content, contact and segmentation strategies, along with testing, measurement and production programs. Read more.

Erick Mott is communications director at email service provider Lyris. He has 20 years of experience from enterprise, SMB, agency and start-up marketing, communications and innovation roles at companies including Habeas, Nokia, MarkMonitor, GlobalFluency, Cisco, Sun Microsystems, Philips Electronics and two of his own start-ups. Read more.

Jeanniey Mullen is the Email Experience Council's founder and the global EVP and CMO of global online publishing company Zinio. She is a thought leader and visionary in the email and digital marketing field. A columnist for ClickZ, she has published numerous papers and is a frequent speaker. Read more.

Kevin Senne is the Strategic Deliverability Director for Premiere Global Services. Kevin has been heavily involved in all facets of email marketing for more than a decade and he previously managed Email Operations for Travelocity.com. Kevin specializes in deliverability, strategy, and social media integratio and he focuses on helping marketers become permission-based one-to-one marketers. Read more.

Charles Stiles is the VP of worldwide business development at Goodmail Systems. In his role, Charles is focused on helping generate a better understanding of the email environment and potential solutions for a better consumer experience. He currently serves as the chairman for the Messaging Anti-Abuse Work Group. Read more.

Jeremy Swift is director of client relations for email service provider BlueHornet. He helped form BlueHornet’s founding team in 2000 and has been responsible for client services and marketing strategy since the company’s inception. Jeremy is known for his ability to articulate technical information in ways that clearly resonate with today’s online marketer.

Kara Trivunovic currently serves as the senior director of strategic services for StrongMail Systems, where she is responsible for helping marketers optimize their email marketing programs for greater returns. Most recently Kara was founder and principal of The Email Advisor, a respected email marketing consultancy. Prior to launching The Email Advisor, Kara led strategic services for the email division of Premiere Global Services. Kara brings a unique perspective to the space having worked on the client, agency and provider side for 10 years.

Chris Wheeler is the director of deliverability at Bronto Software. He is leading the charge for ensuring both Bronto's customers and staff are well informed about email marketing practices and technology as well as being the face of Bronto deliverability externally. Previously, Chris created the internal deliverability program at Amazon.com alongside program managing the operations of the email team and was at an ESP leading a team of deliverability consultants. Besides being a frequent contributor on Deliverability.com, Chris is a part of many email industry forums, both business and technical. Read more.

Chad White is the research director at Smith-Harmon, an email marketing strategy and creative services agency. He is the founder of the Retail Email Blog, a blog dedicated to tracking the email marketing practices of the largest online retailers. Chad regularly writes major research reports on email marketing and is an Email Insider columnist for MediaPost. Read more.