By Keith Regan E-Commerce Times
04/17/01 2:35 PM PT
Getting people to say yes to marketing e-mails, and then getting them
the messages that are most likely to make them buy, is a
thriving industry of its own.
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When does e-mail become spam, the universally
hated, unsolicited bulk commercial e-mail that
clogs in-boxes and frustrate Web surfers? Is it as simple as
getting permission? More importantly, do the rewards of e-mail
marketing outweigh the potential risk of alienating existing
customers?
A number of factors are likely to impact how widespread
e-mail marketing becomes in the next few years,
including pending legislation. No matter what, however,
spam isn't going away. Even the strongest anti-spam
bill would only require that the e-mails be clearly marked and
have opt-out information readily available.
The fact is that marketing by e-mail works.
Without the cost of postage and paper, commercial e-mail is
a very attractive option for getting a message to
lots of consumers.
Jupiter Media Metrix
estimates that companies will spend US$1.3 billion
this year to send 43 billion commercial e-mail
messages out to their customers and potential customers.
But there are dangers as well.
Howdy Friend
"It's a far more personal relationship than a
banner ad," said Forrester Research analyst
Rebecca Ulph. "(Thus), marketers must take great care
to ensure relevancy and avoid being intrusive."
That degree of personalization means missteps,
even subtle ones, can be costly. Misguided e-mails
or those that take too long to read are likely to be
ignored, along with future messages from the same
company.
Over-extending the personal touch
can have a backlash effect as well. Most
customers want a merchant to know their likes and dislikes,
but not much else about their lives.
"Consumers only have a certain amount of tolerance,"
said Jupiter analyst Michele Slack. Furthermore, with every
good e-mail, "opt-out is literally a click away."
Can Refuse
Keeping away from the spam label also means
constantly monitoring and upgrading e-mail efforts.
E-mail recipients enjoy sizable discounts, but get annoyed
with offers that do not provide real savings.
Fortunately for marketers, the opportunity
exists for constant refinement.
"If a discount (advertised in an e-mail) doesn't bring in the traffic
right away, the offer can be changed for the next day," said Forrester's Ulph.
All Over the Map
Getting people to say yes to marketing e-mails -- and then getting them
the messages that are most likely to make them buy -- is a
thriving industry of its own.
On one end of the spectrum are tailored e-mail
newsletters that deliver news, information or other content that people have
specifically requested, together with advertising messages. Way over
on the other side of the line is where you'll find
unsolicited bulk e-mail full of annoying, hard-sell pitches.
Somewhere in between is the random e-mail from a Web
merchant you bought from long ago, reminding you that an
online buying opportunity still exists on its site.
More Please?
Marketing e-mails are getting
increasingly sophisticated. Chicago, Illinois-based Yesmail.com, for example,
recently announced it would begin adding streaming
audio to some of its e-mail campaigns, with video to follow.
Meanwhile, users find themselves facing a lot of choices in their
in-boxes each day, with more to come. Jupiter recently
predicted that by 2005, the average U.S. online consumer
would get as many as 950 e-mail messages -- every day.
That presents another problem for marketers: How do you differentiate your
message from everyone else's? It might be tempting to
add bells and whistles to get e-mails noticed.
However, that's the wrong approach, according to Ulph. Marketers should
keep the relationship with the customer first in their minds
and not push the envelope when it comes to how
invasive or distracting they attempt to be.