Powerful Purchase Data That Can Reel In Revenue

Wednesday, August 4, 2010 by Kristen Gregory
Plenty of databases house valuable information that could help marketers do a better job with their email programs. Here are some data points to consider bringing into your email platform to take your marketing up a notch:

1. Last Purchase Date -  I believe this is perhaps the most powerful data field of all as it has tons of revenue-generating and relationship-building marketing potential.  Ideas for messages based off this date (and all can be automated) include:
  • product review requests.
  • “getting started” guides or how-to tips for using the product purchased.
  • product care messages (tips to maintain or clean the product).
  • coupon for next purchase.
  • product refill requests (after estimated use time as passed).
  • non-purchaser series – sending “We miss you” emails with increasingly valuable offers to push folks back into purchasing after a certain amount of time has passed.
  • non-purchaser series for those who have NEVER purchased (i.e. the last purchase date field is empty).
2. # of Purchases Made By Contact - This can help you identify single-buyers and try various tactics to push a second purchase. You can also identify your most frequent purchasers and create VIP offers just for them.

3. Lifetime Value/Total Purchase Amount - This data can also help you recognize and segment out your top spenders and create a strategy specifically for them. Make these customers feel special. Welcome or invite them into an elite group where they can get access to products before others, receive exclusive offers, have a voice in product development (perhaps they get to vote on product features/colors!) and so on.

Sephora has a V.I.B [Very Important Beauty Insider] program where customers who spend more than $350 in the calendar year get royal treatment (10% welcome coupon, access to products pre-launch, special holiday gift cards, exclusive offers and more). You can set up a similar program and target folks who are near or on their way toward that VIP amount, reminding them of the benefits. (Sephora isn’t currently doing this as far as I can tell.) Doing so could spur more purchases through YOUR business versus a competitor in hopes of reaching that elite level. To run this kind of program, you’d want to track the total purchase value over a calendar year.

4. Average Sale Value (or at minimum, last purchase value) - Knowing what customers spend on average can help you be smart about the offers you present. If someone spends $110 on average every time they purchase from you, you can feel confident they may take advantage of a deal offering a free gift or free shipping for purchases over $100 or you can try to push them a bit further than normal with a special offer at a purchase of $150 or more.

5. Dominant Product Category - If someone tends to focus their purchases in one of your categories - say outdoor & gardening out of all your home décor options or only clothing in your bike shop - you should consider targeting that customer with messages featuring that area of displayed interest.

The revenue you can create by implementing this kind of savvy marketing will likely be well worth the effort/investment necessary to bring this data into your email platform.

Have you already set up some messaging based on these data fields? What results are you seeing?

- Kristen Gregory
Email Marketing Strategist at Bronto Software
@kristengreg

Why the Email Industry Needs New Tracking Metrics

Monday, July 26, 2010 by eec Blog Contributor
Email marketing has made significant improvements over the years. As a whole, the industry has improved email marketing strategy, message design, targeting and delivery. But one area that hasn't improved is tracking metrics. ESP's are still using the same metrics that have been in place for years. It's time for that to change.

For the past 2 years, the eec's Measurement Accuracy Roundtable has been developing a new set of email marketing measurement standards called the Support Adoption of Metrics for Email (SAME) project. The new standards are a dramatic improvement over original metric definitions. They provide more insight into the true results of a campaign and paint a more accurate picture of your campaign performance.

The reasons why the email marketing industry needs the new metric standards are numerous. They include:
  1. The ability for all marketers to benchmark their results against the metrics from any delivery platform
  2. The ability for the industry to aggregate results knowing that all source data was acquired using the same definitions
  3. The ability to compare data across multiple systems and databases
  4. The ability to better integrate metrics with other platforms, such as CRM system
Because of the benefits of the new metrics, many ESPs are adopting the new standards or are planning to do so.  At Email Transmit, we've made an update to our tracking area to provide our clients with access to the new metrics. Our interface now defaults to the new eec metrics and we've allowed clients to continue to view traditional metrics as well. 

While implementing the new metrics we've also provided their definitions so marketers can fully understand how the results are calculated. Client feedback has been overwhelmingly positive, as clients are able to get more usable data from their campaign results. 

Are you ready for the next step in email metrics? Start by signing the petition, then read the definitions and commit to incorporating the new metrics or contact your ESP and ask them to support the project. Hopefully in the near future we'll all be able to abide by a common set of metrics and have usable industry-wide benchmarks based on the same definitions.


- Adam Q. Holden-Bache
CEO/Managing Director
Mass Transmit, developer of Email Transmit
Connect with Adam on Twitter and LinkedIn

Will ESPs Evolve Into Marketing Automation Solutions?

Wednesday, July 7, 2010 by Marco Marini
A recent article in DM News entitled, “E-mail service providers break the mold” got me thinking about how ESPs have been evolving, adding features sets and functionality, that are beginning to close the gap between the ESP platform and the marketing automation platform.
 
The evolution of the ESP is to be expected given the changing marketing landscape and shifting customer expectations. The further we move away from batch-and-blast and move toward one-to-one marketing, the more we have to take into account that one-to-one is not as simple as a really targeted and timely message. It means the platform by which it’s delivered too, for example via mobile or a social networking site.
 
In addition, most top tier ESPs offer drip and triggered email streams and have built-in web analytics or integration with a web analytics platform, two capabilities that begin to bridge the gap with marketing automation software. I predict lead scoring will be next. ESPs are recognizing that they must do and offer more in order to compete with marketing automation solutions like Eloqua, Marketo and Pardot. Marketing automation is like a big tool, a dashboard that gives marketers access to all kinds of information about what prospects are doing when, and where they are in the sales cycle. To evolve into that kind of tool, ESPs will have to offer lead scoring.
 
Even with their evolution and growth, email is still the core competency of ESPs. Email is—and always will be—the thread that ties everything together. You need an email address to log in to LinkedIn. You get an email when someone contacts you via Facebook. It’s the email that leads to the landing page that provides the web analytics. As the DM News article points out, ESPs are adding other services like database and mobile marketing. Next ESPs will need really need strong lead scoring capabilities, which might mean developing or buying a robust lead scoring solution and being able to tie that back to CRM systems.
 
Marketing automation excels at lead nurturing before passing those leads along to sales, so those leads are of a higher quality and more likely to result in customers. Compared to the core competency of an ESP(email as thread), marketing automation does a better job of pushing people through the sales pipeline, with more intelligence, more automation and—as a result—more relevance. Marketing automation isn’t only for customer acquisition, however. Used properly, it’s just as good for customer retention.
 
In short, marketing automation is sales and marketing focused, while your typical ESP is more marketing focused. But down the road maybe an ESP will buy a lead-scoring company.  If that's the case, how would it be different from a marketing automation tool?
 
There is still one major difference, however, and that’s ease of implementation. With an ESP, you can start with email and add on more functionalities as needed. You choose the right ESP for your program, use it properly and you’re good. This ease of implementation lowers the barrier compared to a marketing automation platform.
 
If you choose a marketing automation tool, you’re gaining lead scoring and marketing sophistication. You’re also signing up for a lot of work upfront in order to use it properly. You have automation rules to set up, processes to define, and more…much more.  A recent comment from a colleague drove this point home. She was tardy in replying to an email, and when she did reply, she explained her company is moving to a marketing automation software that had her “frazzled.”  As she put it, “It’s a fantastic move, but as with anything the implementation is slowing me down a bit.”  At the same time, she recognized the benefit of the solution, stating that the result will be streamlined processes and more qualified leads for the sales team.
 
In my opinion, due to the complexity and sophistication, a marketing automation solution is overkill for many (or even most) companies. You need to progress to the point where you really need that kind of functionality, so you’re likely better off starting with an ESP anyway.
 
Can ESPs evolve to the point where they offer the sophistication of a marketing automation solution without losing the simplicity of their implementation?  Or will ESPs eventually be some version of a marketing automation software, with all its complexity and benefits?
 
We even see the need for bridging the gap at our own company. Although we resell almost a dozen ESPs, we also partner with Marketo and Pardot to offer their marketing automation solutions to our clients. No matter what happens with the gap, whether it shrinks or disappears altogether, I believe this trend is a good thing overall. The increased competition will only continue to raise the bar for everyone and it’s our clients and their customers who will ultimately benefit.
 
- Marco Marini
CEO
ClickMail Marketing 

Sending from the Receivers’ Perspective

Thursday, July 1, 2010 by eec Blog Contributor
 In one of his many brilliant quotes on modern life, George Carlin mused, “Have you ever noticed that anybody driving slower than you is an idiot, and anyone going faster than you is a maniac?” The difference is purely perspective.
 
We all need a bit of perspective. We all need to be better at sitting in the other guy’s shoes. Chelsea vs. Manchester?  Perspective.  Colts vs. Patriots?   Perspective. Red Sox vs. Yankees? Perspective.  As Seinfeld said, “athletes change teams so often, at the end of the day, you’re just cheering for the uniforms.”
 
As marketers we also need perspective.  We’re supposed to be good at reading and analyzing reams of data to assess what makes our customers tick, then use this to provide more relevant offers and in turn generate higher response rates.  Why is it then that we marketers also tend to be a bit thick-headed when it comes to understanding email deliverability from the receivers’ (ISPs) perspective? Many marketers are a bit stuck in their own shoes and fail to realize that ISPs don’t exist to serve them.  Their loyalties are to their users.  This seems so basic, yet many deliverability challenges can be avoided by marketers if they realized this one truth: The inbox is supposed to be usable, helpful, and optimized for the subscriber – not for you (the marketer).
 
We (ExactTarget) felt so strongly that we needed to help bring this perspective to light, so we worked with several of the top experts in this industry to create a whitepaper entitled: “Letters to the C-Suite: Getting Serious about Permission & Deliverability.”  We challenged each contributor to imagine they had the chance to corner the CEO and give him a piece of their mind on what the company needed to do differently to achieve better results via email.  Contributors from Yahoo, Earthlink, McAfee weighed in from “where they sit” as part of the receiver community, and I think the advice they provided is spot-on accurate and a must read for any marketer needing to optimize their deliverability.
 
George Bilbrey of Return Path also contributed another insightful letter as part of the document that highlights another often cited area where perspective is needed – the culpability of the ESP vs. the marketer when deliverability problems arise.  George says, “It’s worth noting that most inbox placement problems can only be solved by the marketer—not the Email Service Provider (ESP) sending the message.  What ESPs can provide is a well-configured infrastructure, which is certainly important.”

Answering the Call for Email Measurement Standards

Friday, June 25, 2010 by eec Blog Contributor

I’ve had the pleasure of serving on the Measurement Accuracy Roundtable of the Email Experience Council (eec) for the last few months. One of the goals of the Roundtable is to promote a new set of email marketing measurement standards called the Support Adoption of Metrics for Email (SAME). The new standards are a dramatic improvement over original metric definitions. They provide more insight into the true results of a campaign and paint a more accurate picture of your campaign performance.

It’s important that all Email Service Providers (ESPs) adopt these new standards so that we have a common set of definitions industry-wide. Right now its not possible to compare campaign results from one system to another as they don’t follow the same calculations in their metrics. And forget aggregating any industry-wide metrics, even something as simple as an open rate, because that metric is calculated differently by various ESPs.

Earlier this week the Roundtable announced that Email Transmit was one of the first two ESPs to adopt the new metrics standards. Read the press release and the DMNews article, "Inbox Insider: E-mail measurement should be standardized". They also mentioned 11 more ESPs have committed to doing so in the next six months.

We’re clearly at the beginning of a significant improvement in our industry. With the work of the Roundtable members we hope to get other ESPs to adopt the new standards and for other email platforms to use the metrics in their reporting definitions too.

If you’re interested in supporting the S.A.M.E. Project, start by signing the petition, then read the definitions. Make sure your ESP or email delivery platform has plans to implement the new metrics into their system. Hopefully in the near future we’ll all be able to abide by a common set of metrics and have usable industry-wide benchmarks based on the same definitions.

- Adam Holden-Bache
Email Transmit

Study: 20% of Marketing Email Never Reaches the Inbox

Thursday, May 6, 2010 by Stephanie Miller

 

Sometimes email is too inexpensive for our own good.  It sure is tempting and certainly is very easy to send too frequently or assume permission or "just mail that generic sale notice/product announcement to everyone."  

Now, I get a lot of postal mail that is not that interesting to me.  And surely most of the tweets I see are not that relevant.  Even search results can be off target.  Yet, there is a penalty for not respecting and delighting our email subscribers that does not exist in other direct channels:  It's called the "report spam" button.  Even a small number of those spam complaints will get all your messages blocked by the ISPs like Yahoo!, Gmail and Hotmail, as well as corporate systems. 

It happens to the best of us.  Turns out that, despite all we've learned about email marketing best practices and the rules of engagement  for getting past the spam filters, the average inbox deliverability is still only about  80% according to a new Return Path study.

Leaving 20% of your marketing messages on the spam pile is like leaving 20% of your revenue behind.  Don't stand for it.  Complacency or thinking that "it's the other guy" is just not valid.  This study looks at commercial senders like you and me – branded companies with permission grants and a desire to do the right thing.  And we still lose an average of 20%!

The good news is that averages can be beat.  Respect your subscribers, curb your frequency, target and customize, keep your list clean, authenticate, process bounces correctly and maintain a solid infrastructure.  You will lower complaints and improve your inbox reach.  When you reach the inbox, you can earn a response and revenue.

- Stephanie Miller, VP, Market Development, Return Path, Inc.

 

After the Click: Improving Campaign Performance with Web Analytics

Monday, April 19, 2010 by eec Blog Contributor
What happens after you send out that carefully crafted email campaign? What do you look for beyond open rates and click throughs? What do people actually do when they get to your landing page or website? And are you able to not only track that information, but put it to use in your next campaign?
 
To really understand the effectiveness of your email marketing campaigns, you need to keep tracking your customers’ behavior beyond your email, even beyond your landing page. How else can you know your real success if you don’t know your real results? Plus you can learn from knowing what people do at your website. Where else do they click? Which other pages do they visit? Do they sign up for your emails? How long do they hang around? At what point do they bail? To gather this data, your email must be integrated with your web analytics. It’s the only way to carry your tracking through comprehensively. 
 
And on the other side of that information gathering is what you do with that data to improve your email marketing. Ideally it’s a closed loop process, with the ESP and web analytics both feeding information to each other. 
 
By integrating your email with your web analytics, you can track behavior and better understand your conversion rates, improve your campaigns, respond to individual behavior in near real-time, and ultimately increase your email marketing ROI. You can learn, tweak and improve, and even segment your email marketing messages in the future. 
 
Integrating email with web analytics gives you real-life data, but it’s not as easy as it seems. However, the payoff is worth it. If you’re ready to take on—and profit from—this kind of integration, here are some things to consider, both when choosing an analytics provider and when setting up the integration:
  • How often data is flowing from the analytics provider to your ESP and how quickly do you need to make decisions based on that data? If you can wait 24 hours to get data back, then a batch process is fine. However, if you’re looking at shopping cart abandonment, and you need to react right away to a behavior, you need something more real-time so you’ll want an inline process that allows immediate reaction, without the delay of a batch process.
  • What segments are important, and what information do you need in order to allocate or define the segments?
  • What is your internal availability for building an API now plus supporting it later? Do you want your IT team to take this on, working with your marketing team? Do they know the ESP well enough, and can they support the integration when something goes wrong? Or should you outsource this?
  • How easy is it to migrate if you switch ESPs? You have to make sure your new ESP can tag links to where your analytics package can easily identify the same information for a person, and for a campaign. That new ESP is also going to need to be able to consume data from the analytics company, send and consume data back and forth from the analytics package.
  • As a preventive measure, your marketing department needs to acid test the solution. You have two separate systems operating relatively independent of each other, but you need to regularly make sure the information going back into both systems is accurate.
When your email and web analytics are integrated as a closed-loop process, it should be seamless. Your ESP sends an email and links within the email include identifiers of who that recipient is and the campaign they’re being sent. When they click on a link, the ESP feeds that information over to the analytics provider on a batch basis. You’ll learn about the campaign performance, but also specific metrics about who did what individually once on the site. But that’s not the end of it. The web analytics can also feed information back to your ESP, enabling automated responses or other email messages appropriate to a customer’s particular actions. Then you take all you’ve learned and tweak your next campaign accordingly. 
 
If you’re tracking email and web analytics separately, you’re missing the big picture. If you have them integrated, you’re ahead of the game…and the competition. 
 
- Marco Marini
CEO
ClickMail Marketing
 

When's My Baby Due?

Tuesday, April 6, 2010 by Kelly Lorenz



First a disclosure: I love Target with a passion. I will drive past the local Super Walmart and go 10 miles out of my way to go to Target. As a result, I signed up for Target's email program approximately four years ago. At the time, I filled out a profile with demographic data and provided my zip code when I signed up. I began to receive specials and personalized content based on my location for my local Target.

Fast-forward four years: I no longer live in that city or near the local Target. However, I am still receiving special email offers for my (old) local Target (see below):

Target localized email

 

While I applaud Target for sending geo-targeted content to subscribers to increase relevancy, they have never once, in four years, asked me if my profile data is still accurate. Boat, missed. As I'm still committed to my long-term relationship with Target, I decided to scroll to the very bottom of the email.

Target footer

If I were the average subscriber, would I know that behind the "My Account" link I could also update my profile data? Tip for marketers: Have a loved one or friend not affiliated with your brand "secret shop" your emails and site to ensure the average user understands your terminology.

I clicked through and was taken to a page to sign in. My Account

Another opportunity missed to reduce the barriers for subscribers to update their profiles. Listen: Your subscribers are constantly evolving and making lifestyle changes (more on that in a moment), so you have to be sure you are still providing targeted, relevant, valuable content that hits them at the right time. For now, I'm either going to continue to receive no longer relevant content based on profile data from four years ago, or I'm going to unsubscribe.

On a side note, in addition to localized emails, Target has begun sending me messages targeted to new parents.

 

Now, when I signed up, I believe I provided my birth date and maybe Target decided now is the time in my life when I should/would be having a baby. However, this is not the case. Granted, I am going in with the assumption that they only send targeted and segmented emails. An email entirely focused on babies, again with no option to tell Target that these emails are not relevant, may cause many subscribers to hit the "spam" button (because remember, spam could also mean "not relevant"), unsubscribe or disengage from their emails. Don't miss the boat on ensuring you're hitting the right audience with the right, most valuable and relevant message, at the right time.

Target, I love you, but let's take this baby thing one step at a time, okay? Give your preferences center a little TLC and your subscribers will love you that much more.

Kelly Lorenz
Email Marketing Strategist at Bronto Software
@KNLorenz

 

 

A Click is a Click by Any Other Name, But Click-Through Rates Are Not the Same

Wednesday, March 10, 2010 by eec Blog Contributor

 
Research done by the eec's Measurement Accuracy Roundtable shows that ESPs use several different methods of measurement for the Click-Through Rate (CTR) metric.  During our discussions we identified several methodologies for calculating the CTR.  Two methods, delivered-based and open-based, emerged as the most common based on an online poll conducted by the Roundtable.  Here are the poll results:

How do you calculate the CTR?

The majority of respondents calculated the CTR using clicks divided by delivered, similar to how direct mail calculates its response rates.  Clicks divided by open was the second most common method and is similar to other online advertising methods that are impression-based such as banner ads and search sponsor links.  Companies often use more than one tool and therefore choose the methodology that makes the most sense for their media mix.  Having to normalize their data may create additional work for IT or marketing departments when they want to report and analyze results of their email program overall or roll up information into higher level reporting and analytics dashboards.

What can email marketers in the field take away from this survey?

  • First, it reminds us to check with our ESP to determine how they calculate metrics in their reporting to help maintain comparability and consistency while comparing results across or within email campaigns.
  • Second, we should also check how metrics are being calculated in other systems that email impacts, such as web analytics, to determine any necessary adjustments to normalize our reporting for cross-media analysis.  
  • Third, it demonstrates the need for email marketers and ESPs to come together to standardize metrics.

For the past two years, the Measurement Accuracy Roundtable has been working to standardize email metrics to improve the quality of reporting for the email industry and provide more uniformity in reporting for email marketers and email service providers alike.  You can learn more on this blog or show your support for the program on the Roundtable's online petition.

Special thanks to Peter Roebuck of AllWebEmail for contributing to this post and to all the Roundtable members for their participation.

Luke Glasner
Co-Chair
eec Measurement Accuracy Roundtable

 

 

 

How Social Networking Can Magnify the Power of Your Email Campaigns

Wednesday, February 10, 2010 by Marco Marini


Are you struggling to increase your in-house email list in order to extend your marketing reach? There is a growing percentage of the online population that does not sign up for emails or newsletters. Instead they get their information predominately through social networking sites and portals. To reach them, one has to get to them either through their contacts, the groups they belong to, or those they follow. But email can be the vehicle to do just that.

Email can enable and even encourage content to be shared with social networks like Facebook and LinkedIn. This then allows for an extended reach to those people who haven't opted in to receive emails from you. Plus the marketer retains some control over what specifically can be shared. For example, it might be a video, particular imagery, or a special offer. You as the marketer get to decide.

In addition to getting your content exposed to a much broader audience, sharing email content gives those doing the sharing the opportunity to add value to their respective networks. This is a huge motivator for many social networkers because it puts them in the role of trusted advisor. (Consider how often a tweet from someone in your network is simply a retweet.) This also allows a marketer to enable their audiences to evangelize on your behalf. 

This opportunity to reach the previously unreachable, and to simultaneously empower your audience to demonstrate value to their network, can lead to very high conversion rates, especially if your goal is to not only reach new prospects but also to add new subscribers to your in-house list.

The latest statistics indicate that the number of people seeing content increases approximately 24% with social networking/email integration compared to relying on email alone. That's a massive increase for virtually no cost. FTF (forward to a friend) has been considered an email best practice for years, and it's one marketers should keep doing. But social forwarding features blow it away when you look at the extended reach enabled by social networking vs. FTF email.

The typical social networker has approximately 160 connections. When they share something in their network, the message they are sharing is exposed to their whole network. Compare that quantity to the person who forwards an email using FTF: Typically 1 in 1,000 email recipients actually forwards via FTF, and of those that do, the vast majority forward to 3 people or less. And hardly any of them subscribe as the result of getting the forward. It's easy to see that when you provide interesting, valuable and relevant content into a socially networked environment (i.e. content people will want to share), some of the new people you've just reached will sign up with your company directly for future news or shareworthy information.

When you add social networking integration via a tool like Share-to-Social or Social Forward, be sure to provide instructions to your audience about how to share specific offers or content, and help them understand why they should. Language such as "Click the Facebook icon to the right to share these recipes with your network" tells the user the action to take (click to share) and implies the benefit (you'll delight your friends).

All of this, however, is predicated on having information worth sharing. Your content has to have value. It must be relevant, interesting and appealing. Period.

The organic list growth opportunity is staggering too, as the latest research from MarketingSherpa and authors David Daniels and Jeanniey Mullen* show that the typical lifetime value of a new email address is between $120 and $180 each! Growing your list by just 100 recipients would play out to something like a $15,000 lift to the bottom line. Cha-ching.

Email marketing still offers the highest ROI. Imagine what you can achieve when you multiply its reach by integrating social networking features into your email campaigns!

*In their book, Email Marketing: An Hour a Day

- Marco Marini
CEO
ClickMail Marketing

Your Preheader Text Could Be the Most Important Part of the Body of Your Email

Monday, December 28, 2009 by Marco Marini

Lots of marketers use preheader text, meaning those words that appear at the very top of the email, above any banner or heading. But that text is typically dull and dry, asking to be added to the recipient's address book. Or they link to a web-based version of the email. Bleh. That won't make anyone open your email.

Clever email marketers fit a lot into their preheader text. In a way, it's like multitasking. They ask to be added to the Safe Senders list. They offer a link to a web-based version with images. They have a Forward-to-a-Friend link. And they sell.

There are best practices for preheader text. But before we get into how, here are four reasons why preheader text matters in email marketing:

  • Preview panes: Remember that people look first at the From line, then the Subject line, then at the Preview Pane when deciding whether to open your email
  • Image blocking: Your preheader text might be all they see in the Preview Pane
  • Mobile devices: On that tiny screen, your preheader text has a huge job!
  • Snippet text: In Outlook 2007, Gmail and the iPhone, the beginning of your preheader text is displayed following the Subject Line


But the number one reason is you must do everything you can to convince someone to open your email and discover the gems it contains, gems they'll want to act on.

Before you start writing it, first, determine the goal of your preheader text. Your goal might be forwards, getting added to the safe senders list, encouraging opens by picking up where the subject line left off, getting them to a web page so the recipient can see the images, or to a version optimized for mobile. You can do more than one in your preheader area, but you want to prioritize to make sure your most important text is emphasized.

If you thought writing a short enough subject line was hard, now you get to tackle your preheader text, where you face the temptation of just one more word because you have just a little more space. Although your text is small, you don't want to cram too much into your preheader text, or that jumble will get missed rather than noticed. Try to limit it to one or two lines, and make sure you check to see how it's rendering in different email clients.

Formatting becomes crucial with preheader text. You'll want to make sure to maximize your use of that little tiny space, so play with the formatting and check to see how the email renders in different clients. What allows you the most text while keeping the text readable? Chances are it's not centered text. And don't waste precious real estate with spacing between the lines of text.

Successful email marketing ROI is achieved by refining and testing, then refining and testing more. Preheader text is one more piece of the email marketing puzzle that you can continue to improve to improve your overall results.

 

- Marco Marini
CEO
ClickMail Marketing

Suggestion: 9 Real World Common Email Marketing Mistakes to Avoid

Thursday, August 6, 2009 by Marco Marini

 

Not every email marketing best practice is an obvious one. In fact, in our experience at ClickMail Marketing, there are quite a few best practices that companies seem to look over or deliberately ignore. The result? The opposite of best practices, or what we kindly call "common email marketing mistakes" rather than worst practices.

In an industry where a half a percentage point can make or break a campaign, it's our opinion that tweaking and optimizing every possible factor is worth the effort. With that in mind, I asked our staff to compile a list of the top 10 mistakes they see when deploying email campaigns on behalf of clients. The good news is that they only came up with nine. And the even better news is that these are all easy best practices to adapt and adhere to.

Below are the common mistakes seen by the staff at ClickMail, and what you can do to avoid them:

Common email marketing mistake #1: Sloppy Copy

  • Check your spelling. Copy and paste into Word and run spell-check if you need to. Also check the spelling in your links. If your URL is wrong, so are you.
  • Read the copy. Don't scam, skim or skip over. Reading is the only way to ensure proper use of language like "their" vs. "there" vs. "they're", missing words, incorrect punctuation or poor sentence structure. Best practice: Print it out to read on paper. Even better best practice: Read it out loud.
  • Employ a second set of eyes for final review. Once you've written, read and edited the same piece of content many times, it is no longer fresh to you and errors are easily overlooked. Ask someone else to run spell check and read the copy. You may be surprised to see what you missed.


Common email marketing mistake #2: Crummy Coding

  • Set the pixel width to 600. This prevents the need to scroll to the right—and the potential to lose interest if someone feels they have to do too much work to read your email.
  • Don't use CSS (Cascading Style Sheets) in your HTML coding. It is stripped out by many ESPs, meaning your message can be lost. Even if you've spell checked it and done all the best practices described above!
  • Many ESPs also suppress images by default, as do email clients (about 80%). Do not create your email message out of one big image or your subscribers may only see a blank page with a little, tiny red X. If you use any images, to be on the safe side, utilize a View Online feature so they have another way to see images if they are suppressed.


Common email marketing mistake #3: Cold Calls to Action

  • Your call to action (CTA) should be in text format, not an image because—as mentioned above—images are suppressed by default by many email service providers and email clients.
  • Include two to three instances of your CTA above the fold (in the first 300 pixels). Make sure to include at least one graphical and one textual CTA.
  • The top one-third and the left-most area of your emails are the most valuable real estate. Try to place a CTA those areas, in text and as minimal images.


Common email marketing mistake #4: Poor Subject Lines

Your subject line should be seven words or less (or 35 characters). Most people know this but might not know that the following conditions in a subject line can be flagged as SPAM:

  • Percent of Capital Letters: Too many uppercase letters compared to lowercase letters
  • Repeating Capital Letter: Too many upper case letters in a row (e.g., SALE)
  • Gaps: When the words have gaps between letters like s*t*y*l*e
  • Repetition: When letters or characters are repeated (*****)
  • Special Character Flag: Overuse of special characters (e.g., & $ # @ ( )[ ] !)
  • Punctuation Flag: Too much punctuation (…) or the type of punctuation (!)
  • Word/Space Ratio: Spammers use blank spaces to catch the recipient's attention resulting in a high ratio of spaces to words
  • First Character Flag/First Word Flag: Subject lines starting with a special character or punctuation. Words like "Free", "hey", "Sale" etc.


Common email marketing mistake #5: Obscure "From" Label

Your From address is key information used by subscribers to determine if your email is spam or not. If it's not relevant or recognizable, they may mark it as spam, or just delete it without opening it.


Common email marketing mistake #6: Floating From Address and/or Domain

Keep a static "From" address and/or domain, and ask to be added to the recipient's Safe Sender list at the top of each email.


Common email marketing mistake #7: Lazy Lists

  • Utilize the Forward to a Friend (FTF) feature to organically grow your list.
  • Practice good and consistent list hygiene. Most people know to honor opt outs in 10 days to be CAN-SPAM compliant but you should also clean your list(s) of hard bounces after each send, plus monitor soft bounces and remove from your list as needed.


Common email marketing mistake #8: Competing Links

Don't include competing links, period. Unless it's a newsletter, most emails should be single subject with a single call to action. If it's a sale, link to the appropriate sale items. If it's an invitation, link to the registration page etc.


Common email marketing mistake #9: Unfair Unsubscribe

The unsubscribe link must be the first step, per CAN-SPAM. Don't make people jump through hoops to opt out.


Now, I hope you read the nine common email marketing mistakes above and nodded your head in agreement, confident you're innocent of all.  If not, if even one of those nine listed tripped you up, go fix it now and increase your ROI later as a result.

 

- Marco Marini, President & CEO, ClickMail Marketing

Marco Marini is 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.

Time to Drive Solo? Or Stick With the Carpool?

Wednesday, July 15, 2009 by eec Blog Contributor

 

CarpoolIf you have ever dealt with onboarding at an ESP, you probably know one of the main topics of discussion around scalability and reputation is whether to go with dedicated or shared (pooled) IPs.  Are you ready to "drive solo" with a dedicated IP, or do you stick with the "carpool," an IP pool.  It can be daunting and sometimes a bit ambiguous as to which model fits your needs best.  With that in mind, here are the top 5 factors you need to keep in mind when determining which path to go down.

1. How much mail are you planning to send?
The way email is relayed from sender to receiver is fundamentally based on the IPs (or network fingerprints) involved in the handoff.  The more IPs you have, the more inroads you can create with getting mail delivered to an ISP (such as Yahoo!, Gmail, etc.).  Many ISPs have hard requirements around how many messages will be allowed through and how many active IPs you can use at one time.  If you're looking at sending more than 20,000 per week, you should see if having your own IPs to send through will give you the scalability needed to match that.  However, if you're not going to be sending at least that much, you might have more horsepower than you need which is where a pooled group of IPs helps – it spreads the load like peanut butter over the different IPs from the grouped senders.

2. What is the deliverability impact?
Email deliverability, at least right now, is heavily weighted on IP reputation.  What does this mean?  Like a credit report, ISPs will determine what sort of mail they can expect from an IP based on the history of mail that's been coming from it.  If you have mail that is strong enough reputation wise, which includes low bounce rates and end recipient complaints, a dedicated IP might work.  You will only have to worry about your own mail's impact as opposed to allowing the possibility of other mail going out the same IPs impacting your delivery.  But, proceed at your own risk – when using a dedicated IP, you determine your own fate.  Pooled IP senders usually rise and fall with each other depending on the sum total of mail being sent out where one particular sender won't necessarily sway the pool as a whole.  This is why choosing an ESP that has good deliverability rates on a pool is of paramount importance – you'll be judged by your peers.  A bad reputation will cost you in the long run.

3. How is dedicated v. pooled different in implementation?
Typically, a new IP will be warmed up (or pulled from an already warm pool) and allocated to a sender on a dedicated system.  This means special attention should be given to initial sending and ISP feedback.  Dedicated IPs also require a bit of inflight tweaking as the ISPs learn what sort of mail will be delivered.  But, once this initial ramping has completed, you're free to do as you like as long as you don't violate any ESP best practices.  You also have more wiggle room for making your IP specific to you since you're the only one it's representing.  Pooled IPs generally don't require much technical implementation since the sending IPs are ready to go and have a critical mass of mail already being sent out.  However, the business investment with vetting and passing certain ESP requirements can be heavy since the new sender has to prove they won't do anything to risk the pool's reputation and thus the existing senders using it.

4. Does the cost make sense?
Dedicated IPs require more time, effort and maintenance to get everything setup.  They use their own bandwidth which subsequently means the cost isn't shared.  Most ESPs charge for this as a result.  Pooled IPs?  There's usually no cost associated above and beyond the normal sending charges.  This means money saved for smaller sender.

5. How much autonomy do I want?
This is a critical question for anyone sending email.  Do you care if your messages go out with custom or group headers?  Do you want to be able to send on your own schedule whenever you want (again, as long as you stay within the ESP's published best practices)?  How about not having to worry about what other senders in the same pool are doing?  With dedicated IPs, you get to be in control of a lot more of the decisions around how email is actually delivered.  Many clients don't care, though, as email is just a component of a much larger marketing strategy and as such, they don't have the resources or capitol to afford dedicated IPs.  In a pool, you're more heavily scrutinized depending on any hiccups along the way impacting the greater good.

There's a tendency for email marketers to see the issue as black or white wherein they fall into one or the other side with strong convictions.  It's not that simple and as email becomes more widely adopted as a marketing and end customer communication vehicle, taking into account the above points will help you achieve success no matter where you land.


- Chris Wheeler, Director of Deliverability, Bronto

Chris is leading the charge to ensure 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, he 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.

Let the Land-Grabbing Begin – Use Social Applications to Enhance Your Email Programs

Wednesday, June 17, 2009 by eec Blog Contributor

I've been hearing a lot of questions surrounding the best application of social media to the marketing mix, but one that has been slightly overlooked and under-discussed is who should really own it within an organization. And until you can figure that out, it is really difficult to hold any one internal resource responsible for devising a solid and actionable social plan.

To that end, StrongMail Systems recently conducted a survey to see how marketers were approaching the social space and who planned to own the channel. More than 500 marketers responded, and the results validated our suspicions. Social media is emerging as a direct marketing channel, and marketers are planning significant investment in email marketing and social media programs in the second half of 2009.

One thing the survey clearly conveyed is that ownership of social media within the various facets of marketing is still up for grabs, with 29% of respondents stating that responsibility is owned by multiple departments. But for 36% of the respondents, social is owned by the direct marketing organization, which allows for significant alignment with email marketing efforts. Social media was initially seen as a terrific vehicle for public relations, but surprisingly only 9% of respondents reported PR organizations owning the social media channel, which suggests that marketing teams value social media more for its demand generation potential than awareness building. A paltry 5% have a dedicated social media department.

Other notable facts from the survey include:

  • 66% of respondents plan to integrate email and social channels in 2009
  • 48% of respondents have already formulated a strategy for achieving email and social integration
  • Of marketers planning to increase budgets in 2009, 83% will increase spend in email marketing, followed by social media at 62%

    If you are asking yourself where to start, don't worry, you aren't alone. 55% of respondents report that one of their biggest challenges with integrating social media and email marketing is determining metrics by which to measure success. At 48%, establishing business goals for the program is a close second. So here are a few tips on where to start:

  • Establish goals for the social channel. Is it your objective to use the social outlets for brand building, email list growth or increased revenue? While your objectives could be multi-fold, understanding what they are is the right place to start.
  • Prioritize your social goals. Now that you have your goals established, apply some logical business measurements to effectively prioritize the goals. Which objectives will require the least start-up versus the need for longer lead times coupled with programmatic implications that can result?
  • Develop an action plan. It is not realistic to think that you can hit the social world and accomplish all of your objectives by simply posting a Facebook page. Devise a plan and put your best foot forward – you don't want to rush to market with a half-baked plan in any marketing channel, but the viral aspect of social magnifies those mistakes multi-fold, so be cautious.

    Based on these findings and what is known about the power of social media, it's clear that it deserves some serious attention and has grown to the stage where it needs an owner and a purpose within marketing.

    - Kara Trivunovic, StrongMail Systems

  • Metrics That Matter: Are You Measuring the Right Stuff?

    Wednesday, June 10, 2009 by eec Blog Contributor

    Michael Kelly, Director of Business Development at ClickMail, recently presented at the Silverpop Summit. His presentation on email marketing metrics that matter was so well received, I thought it fitting to recap it here.

    Titled "Proving Your Worth with Metrics," Michael's presentation was partly drawn from MarketingSherpa's 2009 Best Practices in Email Marketing Handbook which Michael played a part in pulling together. Get Michael's presentation for a preview of some of the compelling stats and numbers.

    Michael covered why to measure, what to measure, and the challenges of measuring, among other topics, including what to do with that data once you have it, and new tools for compiling and learning from that data in real-time.

    But why is measuring your data so difficult? Lots of reasons, including conflicting metrics and not knowing what to measure. In the email marketing industry, we suffer from conflicting metrics because there are so many things to measure. We measure how many mailed, delivered, opened, clicked through on and more. The lack of consistency in calculating key performance metrics makes it impossible to establish industry benchmarks or to effectively compare results.

    Sometimes we forget that email marketing is about more than just clicks. Email can achieve numerous significant goals beyond a sale. The purpose of email marketing is to trigger an action, not only to get a click. That action might be a forward to a friend, signing up, a visit to a brick-and-mortar store, attending an event, or simply being more aware of a brand.

    And knowing all those actions are possible reactions to your email makes measuring even more of a challenge!

    Again, we're back to metrics. Remember, if you can't measure it, you can't improve it.

    Real danger lurks in not measuring the right factors or not measuring accurately. You could suffer lost revenue. You might not know which messages are working. And your sales team won't know what to focus on. On the other hand, there are huge advantages to knowing your numbers so you can:

  • Justify your marketing strategy
  • Prove email marketing is an integral part of your organization's marketing plan
  • Justify your budget by showing that email provides a far better ROI than any other marketing medium
  • Know what works and what to improve

    Improving click-throughs is one thing, but don't forget to also measure against your company's organizational goals. What is the point of all that email marketing anyway? There is a master goal, the big Kahuna, the big pie-in-the-sky reward your business is focused on. Make sure your email marketing measurements align with helping to achieve that goal. This might be increasing brand awareness or increasing sales.

    What we've described here is the ideal world of email marketing metrics. In the real world, they're not so easy to get. Your ESP won't be able to provide you with this kind of data, but companies have found solutions in widgets and what we at ClickMail affectionately call "reportals": online dashboards that use API system calls to access data from ESPs.

    You probably already know APIs are highly effective at automating the launching of emails, and managing the flow of data between disparate platforms. Now we at ClickMail are using APIs as a fantastic tool for extracting data to produce actionable reports.

    To read about two organizations that have benefitted from the metrics possible with "reportals" and how your business might take advantage of a similar approach, request a copy of Michael's presentation.

    Until next time, remember to measure - it's the only way you can improve!

    - Marco Marini, ClickMail Marketing

  • Are You One of the Cool Kids? A/B Testing Will Make You Popular...and Successful

    Tuesday, May 26, 2009 by eec Blog Contributor

    There are a few things in the small world of email marketing that I believe can be simply attributed to peer pressure. Just like back in our school days, most of our impressionable brains feel the need to keep up with the "cool" email marketers. The fact that you are reading this article tells me that you are at least interested on some level in learning more about and improving your own email program.

    We all read trade magazines, blogs, attend webinars, and watch twitter feeds looking for those nuggets that could make all the difference in our ROI. All of the "experts" seem to talk about the same things over and over again in these different mediums. Why do the topics seem recycled? The reason is because these really are the keys to success and they do work.

    I wanted to talk about one of those "we hear this all the time" topics and put a bit of a different spin on it. Let's talk about A/B testing. Yes, testing again. Testing seems to be the staple of many best practices discussions. All of us senders know we should test our email. The problem lies in the fact that, for most of us, we have no idea of how to pull that off. I break it down like this: 10% test correctly, 30% attempt testing, 40% plan on testing, and the other 20% could care less. I think these statistics mirror most things in our lives. We have the overachievers, those among us who make the attempt, those who continually plan to start tomorrow, and those who don't even want to discuss it.

    Why can't most of us actually get good results from our testing? The answer lies in the peer pressure we talked about earlier. All the cool kids are doing A/B testing, so we feel like we have to do the same thing. There is a big difference in doing real testing with a purpose in mind, and sending two different email campaigns. Testing is all about the results, not the actual tests. If you are not in position to capture data or understand why results were different, testing is a waste of your time. It's time to give up your seat at the popular table.

    So you're ready to test…

    Step one before beginning a testing program is to determine what element you want to test. It is very important not to change multiple elements in a single test; that makes it impossible to discern what drives your results. Let's say you decide to test subject lines. The rest of the email needs to be the same to determine true differences in the test. I would also highly recommend you anticipate results before testing. You won't always be right – and it's sometimes exciting to be wrong – and this will help to predict what you are going to do with the results.

    Test quantity is something we often see handled in a less than optimal way. If you have a campaign going to 100,000 recipients, the way to test is not to send 50,000 to one group and 50,000 to the other. The proper way to test is to send 5,000 to each test group; analyze the results and send the other 90,000 the highest performing copy. The value in testing is to optimize each and every campaign right now. It's too often that I see people testing a campaign 50/50, and then doing nothing in the future with the results.

    The last piece of advice I'd like to leave you with today is to think historically. Proper testing can give you the future play book for your email programs. Historical testing results can help develop new campaigns, understand what works for different segments, and generally sharpen your program. Don't miss the opportunity to get a letter sweater, a date to the prom, a convertible, and just generally be one cool email marketers. Testing is where it's at, Daddy-O!!!

    - Kevin Senne, Premiere Global Services

    FTC Seems Satisfied with Self Regulation...For Now

    Monday, May 11, 2009 by eec Blog Contributor

    In last week's eec/DMA webinar, Peder Magee, Esq., FTC Privacy and Theft attorney for the Bureau of Consumer Protection joined DMA's VP of Government Affairs, Jerry Cerasale, and a panel of email privacy experts to discuss the latest thinking at the agency.

    For now, that stance seems to suggest that the self regulation of the industry is working. Magee noted that some concepts "transcend the medium" when it comes to self regulation. "Transparency, prominent notice, use of personal data, and providing the ability to opt out easily" all are areas the FTC continues to watch.

    Certification and feedback loop programs were noted by panelist Tom Bartel, CPO of Return Path, as an example of how the industry cooperates in order to make self regulation work. Especially for certification programs, "Email marketers put themselves forward voluntarily to be held to high standards," Bartel says. "Including the things Peder listed about prominence. Once they are vouched for by the third party, the ISPs can make good decisions about what to do with email from those senders.

    "Participation in these programs shows marketers are willing to go way past the law, and well past best practices," Bartel states.

    The FTC remains aggressive about prosecuting offenders under CAN-SPAM. Magee says, "CAN-SPAM and some of the filtering technologies have reduced the spam that consumers were getting a lot more of." He notes that the agency also brings cases against phishing scams, often initiated through email. Webinar moderator and DMA VP of Government Affairs Jerry Cerasale noted, "The FTC is the most active regulatory body in this area. Opt-in laws in Europe have not resulted in as many cases as the FTC."

    Download the recording (free until this Thursday) and read the summary of the event.

    Improve Email Marketing Success by Getting Back-to-Basics

    Wednesday, April 29, 2009 by eec Blog Contributor

    Email marketers are always on the lookout for the next best thing. We always want to be recognized as "thinking outside the box." This kind of entrepreneurial spirit is what we're all about as we go off into the digital world. Some recent studies have suggested that around 95% of all email is really SPAM. At first glance, this can be a pretty scary number to us as senders. The reality is that this is a great opportunity for email marketers to take control of an opportunity. This means that you only have to compete with the 5% of messages that are legitimate. How do we take advantage of the lack of effective email marketing? I suggest we get back to basics and explore a different way of thinking about email marketing. Are you ready for a mind-twisting thought? Thinking "inside the box" is the new "thinking outside the box."

    What exactly do I mean by this statement? I want each of you to take an honest and simple look at your email programs. First, ask yourself some foundational questions:
    What am I trying to accomplish with email?
    Who is my audience?
    Why do my customers sign-up for email?
    If I was a customer, what would be my expectation of the email I was going to receive?
    Do I educate my customers on the benefits of my email program?
    Do I have a frequency plan?
    Are my messages relevant to each recipient?
    Do I have a goal in mind each time I send an email?
    What is my bounce rate?
    What is my complaint rate?
    Do I historically track my stats for comparison?
    Am I testing with regularity?

    These questions are the basic building blocks for any successful email program. These are also questions whose answers can pretty easily be pushed aside to be answered another day. Revenue pressures, the need to increase engagement and subscribers, perceived deliverability issues, and executive pressures are all factors that can cause us to get off track from time to time. A common misconception goes something like this. I send to 10,000 addresses today and sell 100 widgets. If I send to 20,000 addresses tomorrow, I will sell 200 widgets. This type of flawed logic gets us away from our basic questions and mission. Email marketing is about the recipient, not the sender. If you build a relationship with the recipient and give them something of value, the relationship will pay dividends.

    When we hear about the "end" of email as a medium, it is that 95% of unwanted email that drives the perception. Now more than ever, it is time to focus on what your customers and prospects want to see. Bring your thinking back into the box of good marketing plans and communications, and see your results soar.

    - Kevin Senne, Premiere Global Services

    Rebound From Bounces to Protect Your Reputation

    Monday, April 27, 2009 by eec Blog Contributor

    There's plenty of information on the Internet about how to manage bounces, but not much about why it's so important to do so. And if you don't know the why, will you follow the how?

    Although email marketing has countless moving parts to it, one part is key: Deliverability. This can't be overstated. Email marketers live and die by their delivery rates. You have to do everything you can to maximize your deliverability. Your deliverability is affected by your reputation, and your reputation can be tarnished by a high bounce rate. If you're at all concerned about your delivery rate, and you should be, take a look at your bounces and how they're impacting your reputation.

    A bounce means your email didn't get delivered. That's easy enough to track as far as knowing how many of your emails made it to the inbox. But you need to know why an email bounced and you need to have a plan for managing bounces so you can reduce their occurrence, and therefore work to protect your reputation.

    First, understand the difference between a soft bounce and a hard bounce. Think of a soft bounce as temporary: an employee is on vacation and her mailbox is full, meaning there's no room for your email. Think of a hard bounce as permanent: the employee left her job and the email address is no longer valid.

    You'll get a message from the ISP when your email isn't delivered telling you why. That will tell you whether it was a hard or soft bounce. Look to those messages to figure out why your emails didn't go through.

    A soft bounce, being temporary, means the email address is still valid and you can try resending your email again another time. That's a name that stays on your hard-earned in-house list. But a hard bounce might not mean one less name to market to. While there are sometimes 'false positives' with hard bounces, most ESPs typically automatically block hard bounces. A hard bounce might occur because the domain name doesn't exist, the recipient is unknown, or there's some type of network problem on the recipient's end. In this last case, there might be a temporary issue that will be resolved so if you're confident the email is valid, you might want to consider emailing it one more time.

    On the other hand, if the email address is a bad, you have to remove the name from your list a.s.a.p. otherwise too many bad addresses could result in an ISP blocking or even blacklisting your IP address. You will always have bounces. The trick is to minimize them and delete the bad emails right away.

    Now that you know the "why" behind managing bounces, you're ready to search the Internet for all the advice on "how"!

    - Marco Marini, ClickMail Marketing

    The Value of the Render Rate

    Wednesday, April 8, 2009 by eec Blog Contributor

    Following the eec announcement of the Render Rate, some have asked why? Who cares? And what makes the Render Rate better than the other proposed metric—Action Rate—or vice versa?

    As outlined in the previous post, How Opens Are Tracked and Reported, there are a large number of scenarios where an open might be tracked. At the most basic level, there are two methods of tracking opens:

    1) A unique tracking image inserted into the email was loaded: confirming that the images in the email were rendered.

    2) A link in the email was clicked: since obviously a link cannot be clicked if the email was not opened, this method allows us to track some of the people missed by the first method.
    Render Rate is calculated using only the first method, while Action Rate is calculated by combining the unique results of both methods.

    Advantages of Render Rate

    Render Rate has the advantage over Action Rate in two ways:

    1) Pre-conversion testing: At the end of the day, most marketers want to look at conversion of some sort. Even so, evaluation of pre-conversion dynamics can be helpful in optimizing a program. Because Render Rate measures only one thing, it is better suited for testing in pre-conversion testing scenarios. If we want to look at the ability of a subject line to get people to look at the email, The Render Rate only measures that one thing. If we use Action Rate to evaluate subject lines we are actually testing two different things: 1) which subject line got more people to view the email with images, and 2) which subject line got more people who didn't view the email with images to click. Since Action Rate would evaluate success based on two different criterions, it is difficult to determine what the subject line actually does best. A better approach is to use Render Rate to answer the question, "Which subject line got more people to look at my email?" and use Click Through Rate to answer the question, "Which subject line gets more people to click on a link?"

    One could take subject line testing a step further by analyzing the results in two stages – first look at which subject line had better reach, and then we can look at which subject line eventually drove more people to the landing page. Then we would optimize the landing page to further increase conversions (e.g. sales) in its own tests. In theory, optimizing each step in the process will increase overall conversions, but there are exceptions, so a final test using conversions from emails delivered is recommended.

    Render Rate also improves testing of creative elements in email because it limits both the control and the test groups to only a version of the email where we could be sure that images were seen by all subjects in both groups. When addressing the question, "Which creative is most effective at getting people to click?" conduct the test based on the people who we know saw the creative (as measured by renders) and then look at that segment to determine which creative version got the higher percentage of people to click through. This type of evaluation is impossible using Action Rate since by definition, anyone who clicked also opened, which inaccurately implies 100% effectiveness of the creative.

    Limiting to the render rate only means that both the control and the test group see the same thing. Some examples of tests – types of imagery used in pictures, call to action placement (preview pane or below), button vs. text links. This can be particularly important to those that write emails that have few links in them (or even just one) – where the placement of that link, whether it be a feedback method or the call to action itself moves based on image rendering.

    2) Ad impressions: Many advertisers sell display advertising in email. Render Rate provides accurate measures for how many of those ads were displayed. Since it limits the value of the metric to specifically image based opens (renders) it gives us the true number of total impressions using the total emails rendered. Keep in mind, for image-based advertisers, there is no value of an email for which no images are rendered—Action Rate would provide an artificially inflated view of performance. We could also use the Render Rate to determine reach and frequency in a specific email. Here the unique number of email renders is the reach and the total number is the frequency. When combined with monetization via ad revenue we can construct a traditional direct marketing RFM model.

    Of course, Render Rate has its challenges, which is why a second metric has also been proposed.

    Advantages of Action Rate

    Action Rate has the advantage over Render Rate in two ways:

    1) Less Inaccurate Measure of "Opens": Render Rate underreports the number of people who seemingly looked at your email more than Action Rate. However, Action Rate still underreports this number. In reality, no reliable method for determining how many subscribers actually looked at your email exists. Both proposed metrics are estimates. Both are low estimates. Action Rate is simply a slightly closer estimate of the number of people who presumably looked at your email.

    Under reporting is one of the primary reasons the eec Measurement Accuracy Roundtable recommends a move away from the term Open Rate. Unfortunately, this term has left many marketers with an incorrect understanding of what the metric provides. Worse still, "Open Rates" are calculated different ways by different ESPs—thus the need for standardization.

    2) Text-based advertising: Again using the publishing realm as a basis of example, publishers often need to provide reports on text-based advertising. For this purpose, Action Rate is a better standard metric for the reasons listed in the prior section. The Action Rate, which reports, "opens" based on either the rendering of a tracking pixel or a user action (i.e. a click) we can better judge the true number of ad impressions based on action rate. Currently, to our knowledge there is no other industry metric that is defined and standardized that accomplishes this goal.

    Use Both to Gain Additional Insights

    Finally, using both the Render Rate and the Action Rate together we can learn more about our subscribers and the ways they use emails. For example if you see a regular reader appearing in the list of subscribers that typically views emails with images on and then suddenly drops off the list of those that fit the render rate definition and starts showing up on the action rate only, this may indicate that the subscriber has begun reading their emails with a mobile device. It may also be that they have not added you to their white list, or another set of circumstances may have occurred. The point here, is that using them both we can identify little differences in subscriber behavior that may alert us that it would be worth it to request more feedback from that reader or set off a trigger email to them.

    The members of the Measurement Accuracy Roundtable think that if you do adopt our proposed metrics – whether via your ESP or in your own email deployment and reporting in-house system that you will find the Render Rate, the Action Rate and their associated metrics to be superior to current methods—which are inconsistent and sometimes misleading. For those of you that are already defining your open metrics using the Render and Action Rates we congratulate you on being ahead of the times and welcome your support on this initiative and help to spread the metrics throughout the industry so that all email marketers and our stakeholders can have clearer understanding on how our programs work and their effectiveness.

    - Luke Glasner, Rodman Publishing & Morgan Stewart, ExactTarget