E Direct Marketing

Posted onby admin
  • Direct Marketing E-commerce GDPR Profiling Telecommunications and Electronic Communications Direct marketing rules at EU-level should be examined in light of the Privacy and Electronic Communications Directive 2002/58/EC ('ePrivacy Directive') and the General Data Protection Regulation (Regulation (EU) 2016/679) ('GDPR').
  • E Direct: Online Marketing Agency, Bournemouth. 1,151 likes 112 were here. We are an internationally recognised Bournemouth digital marketing agency based in the heart of the town’s growing tech.
  • As its name suggests, direct marketing is a two-way street of direct communication. Advertisers create a dialogue between clients (both current and potential) and companies and keep the relationship alive as long as possible or desired.
Advertising revenue as a percent of US GDP shows a rise in digital advertising since 1995 at the expense of print media.[1]

Email marketing is the act of sending a commercial message, typically to a group of people, using email. In its broadest sense, every email sent to a potential or current customer could be considered email marketing. It involves using email to send advertisements, request business, or solicit sales or donations. Email marketing strategies commonly seek to achieve one or more of three primary objectives, to build loyalty, trust, or brand awareness. The term usually refers to sending email messages with the purpose of enhancing a merchant's relationship with current or previous customers, encouraging customer loyalty and repeat business, acquiring new customers or convincing current customers to purchase something immediately, and sharing third-party ads.

Email marketing. The email marketing solutions you need to grow your business are here. Create custom emails with our easy drag & drop editor. Or get started right away with our huge library of pre-built email templates. Learn more › Landing page builder. Create your custom landing page in minutes.

History

Email marketing has evolved rapidly alongside the technological growth of the 21st century. Prior to this growth, when emails were novelties to the majority of customers, email marketing was not as effective. In 1978, Gary Thuerk of Digital Equipment Corporation (DEC) sent out the first mass email[2] to approximately 400 potential clients via the Advanced Research Projects Agency Network (ARPANET). He claims that this resulted in $13 million worth of sales in DEC products,[3] and highlighted the potential of marketing through mass emails.

However, as email marketing developed as an effective means of direct communication, in the 1990s, users increasingly began referring to it as 'spam', and began blocking out content from emails with filters and blocking programs. In order to effectively communicate a message through email, marketers had to develop a way of pushing content through to the end user, without being cut out by automatic filters and spam removing software.

Historically, it has been difficult to measure the effectiveness of marketing campaigns because target markets cannot be adequately defined. Email marketing carries the benefit of allowing marketers to identify returns on investment and measure and improve efficiency.[citation needed] Email marketing allows marketers to see feedback from users in real time, and to monitor how effective their campaign is in achieving market penetration, revealing a communication channel's scope. At the same time, however, it also means that the more personal nature of certain advertising methods, such as television advertisements, cannot be captured.

Types

Email marketing can be carried out through different types of emails:

Transactional emails

Transactional emails are usually triggered based on a customer's action with a company. To be qualified as transactional or relationship messages, these communications' primary purpose must be 'to facilitate, complete, or confirm a commercial transaction that the recipient has previously agreed to enter into with the sender' along with a few other narrow definitions of transactional messaging.[4] Triggered transactional messages include dropped basket messages, password reset emails, purchase or order confirmation emails, order status emails, reorder emails, and email receipts.

The primary purpose of a transactional email is to convey information regarding the action that triggered it. But, due to their high open rates (51.3% compared to 36.6% for email newsletters), transactional emails are an opportunity to introduce or extend the email relationship with customers or subscribers; to anticipate and answer questions; or to cross-sell or up-sell products or services.[5]

Many email newsletter software vendors offer transactional email support, which gives companies the ability to include promotional messages within the body of transactional emails. There are also software vendors that offer specialized transactional email marketing services, which include providing targeted and personalized transactional email messages and running specific marketing campaigns (such as customer referral programs).[citation needed]

Direct emails

Direct email involves sending an email solely to communicate a promotional message (for example, a special offer or a product catalog). Companies usually collect a list of customer or prospect email addresses to send direct promotional messages to, or they rent a list of email addresses from service companies.[citation needed]

Direct

Comparison to traditional mail

There are both advantages and disadvantages to using email marketing in comparison to traditional advertising mail.

E Direct Marketing

Advantages

Email marketing is popular with companies for several reasons:

  • Email marketing is significantly cheaper and faster than traditional mail, mainly because with email, most of the cost falls on the recipient[citation needed].
  • Businesses and organizations who send a high volume of emails can use an ESP (email service provider) to gather information about the behavior of the recipients. The insights provided by consumer response to email marketing help businesses and organizations understand and make use of consumer behavior[citation needed].
  • Almost half of American Internet users check or send email on a typical day,[6] with emails delivered between 1 am and 5 am local time outperforming those sent at other times in open and click rates.[7][8]

Disadvantages

  • As of mid-2016 email deliverability is still an issue for legitimate marketers. According to the report, legitimate email servers averaged a delivery rate of 73% in the U.S.; six percent were filtered as spam, and 22% were missing. This lags behind other countries: Australia delivers at 90%, Canada at 89%, Britain at 88%, France at 84%, Germany at 80% and Brazil at 79%.[9]
  • Additionally, consumers receive on average about 90 emails per day.[10][better source needed]
  • Companies considering the use of an email marketing program must make sure that their program does not violate spam laws such as the United States' Controlling the Assault of Non-Solicited Pornography and Marketing Act (CAN-SPAM),[11] the European Privacy and Electronic Communications Regulations 2003, or their Internet service provider's acceptable use policy.

Opt-in email advertising

Opt-in email advertising, or permission marketing, is advertising via email whereby the recipient of the advertisement has consented to receive it.[12]

A common example of permission marketing is a newsletter sent to an advertising firm's customers. Such newsletters inform customers of upcoming events or promotions, or new products.[13] In this type of advertising, a company that wants to send a newsletter to their customers may ask them at the point of purchase if they would like to receive the newsletter.

With a foundation of opted-in contact information stored in their database, marketers can send out promotional materials automatically using autoresponders—known as drip marketing. They can also segment their promotions to specific market segments.[14]

Legal requirements

Australia

Eprivacy

The Australian Spam Act 2003 is enforced by the Australian Communications and Media Authority, widely known as 'ACMA'. The act defines the term unsolicited electronic messages, states how unsubscribe functions must work for commercial messages, and gives other key information. Fines range with three fines of AU$110,000 being issued to Virgin Blue Airlines (2011), Tiger Airways Holdings Limited (2012) and Cellar master Wines Pty Limited (2013).[15]

Canada

The 'Canada Anti-Spam Law' (CASL) went into effect on July 1, 2014.[16] CASL requires an explicit or implicit opt-in from users, and the maximum fines for noncompliance are CA$1 million for individuals and $10 million for businesses.[17]

European Union

In 2002 the European Union (EU) introduced the Directive on Privacy and Electronic Communications. Article 13 of the Directive prohibits the use of personal email addresses for marketing purposes. The Directive establishes the opt-in regime, where unsolicited emails may be sent only with prior agreement of the recipient; this does not apply to business email addresses.

The directive has since been incorporated into the laws of member states. In the UK it is covered under the Privacy and Electronic Communications (EC Directive) Regulations 2003[18] and applies to all organizations that send out marketing by some form of electronic communication.

The GDPR in 2018 imposed 'a number of new requirements on companies that collect, store and process personal data from EU users, which impacts email marketers'[19] - in particular, users' right to access information held about them; and the right to have all such information deleted at their request.[19]

United States

The CAN-SPAM Act of 2003 was passed by Congress as a direct response to the growing number of complaints over spam emails.[citation needed] Congress determined that the US government was showing an increased interest in the regulation of commercial electronic mail nationally, that those who send commercial emails should not mislead recipients over the source or content of them, and that all recipients of such emails have a right to decline them. The act authorizes a US$16,000 penalty per violation for spamming each individual recipient.[20] However, it does not ban spam emailing outright, but imposes laws on using deceptive marketing methods through headings which are 'materially false or misleading'. In addition there are conditions which email marketers must meet in terms of their format, their content and labeling. As a result, many commercial email marketers within the United States utilize a service or special software to ensure compliance with the act. A variety of older systems exist that do not ensure compliance with the act. To comply with the act's regulation of commercial email, services also typically require users to authenticate their return address and include a valid physical address, provide a one-click unsubscribe feature, and prohibit importing lists of purchased addresses that may not have given valid permission.[citation needed]

In addition to satisfying legal requirements, email service providers (ESPs) began to help customers establish and manage their own email marketing campaigns. The service providers supply email templates and general best practices, as well as methods for handling subscriptions and cancellations automatically. Some ESPs will provide insight and assistance with deliverability issues for major email providers. They also provide statistics pertaining to the number of messages received and opened, and whether the recipients clicked on any links within the messages.

The CAN-SPAM Act was updated with some new regulations including a no-fee provision for opting out, further definition of 'sender', post office or private mail boxes count as a 'valid physical postal address' and definition of 'person'. These new provisions went into effect on July 7, 2008.[21][22]

See also

  • CAUCE – Coalition Against Unsolicited Commercial Email
  • Email spam - Unsolicited email marketing

References

  1. ^Nakamura, Leonard I. (FRB); Samuels, Jon (BEA); Soloveichik, Rachel H. (BEA) (October 24, 2017). 'Measuring the 'Free' Digital Economy Within the GDP and Productivity Accounts'(PDF). SSRN.com. Social Science Research Network publishing working paper 17-37 of the Research Department, Federal Reserve Bank of Philadelphia. p. 37 (Fig. 3). Archived(PDF) from the original on March 20, 2021.
  2. ^'spam unsolicited e-mail'. Retrieved September 19, 2016.
  3. ^Smith, Gina (3 December 2007). 'Unsung innovators: Gary Thuerk, the father of spam'. Computerworld. Retrieved 30 October 2018.
  4. ^'PUBLIC LAW 108–187—DEC. 16, 2003 117 STAT. 2699'(PDF). U.S Government GPO.
  5. ^ADIKESAVAN, T. (21 August 2014). MANAGEMENT INFORMATION SYSTEMS BEST PRACTICES AND APPLICATIONS IN BUSINESS. ISBN978-8120348967. Retrieved July 10, 2015.
  6. ^Pew Internet & American Life Project, 'Tracking surveys'Archived 2009-03-12 at the Wayback Machine, March 2000 – March 2009
  7. ^How Scheduling Affects RatesArchived 2013-05-18 at the Wayback Machine. Mailermailer.com (July 2012). Retrieved on July 28, 2013.
  8. ^BtoB Magazine, 'Early Email Blasts Results in Higher Click & Open Rates'Archived 2011-11-22 at the Wayback Machine, September 2011
  9. ^Roberts, A. 'Email deliverability is on the decline: report', ClickZ
  10. ^Radicati, Sara. 'Email Statistics Report, 2014-2018'(PDF). The Radicati Group, Inc.
  11. ^'Consumer Information'. Consumer Information. Archived from the original on January 16, 2007. Retrieved August 12, 2017.
  12. ^Fairhead, N. (2003) 'All hail the brave new world of permission marketing via email' (Media 16, August 2003)
  13. ^Dilworth, Dianna (2007). 'Ruth's Chris Steak House sends sizzling e-mails for special occasions'. DMNews. Retrieved February 19, 2008.
  14. ^O'Brian J. & Montazemia, A. (2004) Management Information Systems (Canada: McGraw-Hill Ryerson Ltd.)
  15. ^'Spam: enforcement actions'. Australian Communications and Media Authority. Australian Communications and Media Authority. Archived from the original on February 29, 2016. Retrieved August 15, 2015.
  16. ^Moorcraft, Bethan. 'Law could force idle brokers back to dark ages'. Insurance Business. Retrieved August 12, 2017.
  17. ^'Canada's law on spam'. Government of Canada. Retrieved July 19, 2014..
  18. ^The Privacy and Electronic Communications (EC Directive) Regulations 2003Archived November 14, 2006, at the Wayback Machine. Opsi.gov.uk. Retrieved on July 28, 2013.
  19. ^ abWozniak, Tom (27 June 2018). 'What GDPR Means For Email Marketing To EU Customers'. Forbes. Retrieved 16 January 2019.
  20. ^'CAN-SPAM Act: A Compliance Guide for Business'. FTC.gov. BCP Business Center. Retrieved August 10, 2017.
  21. ^'FTC Approves New Rule Provision Under The CAN-SPAM Act'. FTC.gov. June 24, 2011.
  22. ^'16 CFR Part 316 Definitions and Implementation Under the CAN–SPAM Act; Final Rule'(PDF). FTC.gov. May 21, 2008.
Retrieved from 'https://en.wikipedia.org/w/index.php?title=Email_marketing&oldid=1021272405'

Last Updated: November 17, 2020

E Direct Marketing

Guide: Direct Marketing

Imagine yourself sorting through your daily mail. You have a few bills, maybe a magazine, a letter from your son at camp (unless he has e-mail access there), and assorted junk mail.

In the midst of your “junk” mail, one particular piece catches your eye, one advertising a techno gadget you’ve had your eye on for a while. And there’s a sale on it—all you have to do is enter the following code on the website…

What is direct marketing?

Direct marketing occurs when businesses address customers through a multitude of channels, including mail, e-mail, phone, and in person. Direct marketing messages involve a specific “call to action,” such as “Call this toll-free-number” or “Click this link to subscribe.” The results of such campaigns are immediately measurable, as a business can track how many customers have responded through a message’s call to action. (See also Reply Marketing)

In contrast, general advertising—for example, a billboard promoting a brand concept or product awareness—while seen by the customer, does not call for a specific response, and therefore cannot be easily measured. A marketer doesn’t know exactly how effective such a billboard is, or how many people are thinking about and buying the product because of the billboard. However, because of the specific call to action, he or she does know exactly how many people responded to a direct mailing.

Indirect Marketing Examples

Who implements direct marketing?

Components of Direct Marketing

  • Engagement of customers
  • Specific call to action
  • Means of tracking response

Retailers, credit card companies, media companies, technology companies, non-profit organizations—nearly every business uses some amount of direct marketing. The Direct Marketing Association (DMA) reported in 2010 that more than half of all advertising expenditures went toward direct advertising.

Direct marketing began in the 19th century with Montgomery Ward’s mail-order catalogues (See also Catalog Marketing). Direct mail campaigns expanded greatly after the creation of bulk mail rates in 1928. More recently, the development of e-mail has further increased the reach and scope of direct marketing.

The DMA, first established in 1917, is a trade organization that provides research, education and support for developing direct marketing. Its membership includes more than half of the Fortune 100 companies, as well as non-profit organizations. The DMA estimates that every dollar spent on direct marketing yields a return on investment of $11.73—compared with an estimated $5.23 for indirect advertising such as newspaper or magazine ads.

For what kinds of customers is direct marketing effective?

The most responsive customers to direct mailing (or e-mailings) are those who have opted in to mailing lists (for example, an online shopper buying a product checks a box marked “send me information on future promotions”). Such customers have already expressed interest in the company’s products, and pay attention to new products and sales. (See also Permission Marketing)

However, far more than just opt-in customers receive direct mailings. Non-targeted blanket mailings arrive daily in many mailboxes and e-mail accounts. Yet despite frustration with “junk mail” and “spam,” a high enough percentage of such mailings are acted upon. In fact, the percentages can increase when the advertising is targeted specifically at a particular community or group. Among African-Americans who receive direct mail, some three-quarters take the time to read what they receive instead of just throwing it away; while Asian-Americans open and read about 90 percent of all their direct mail.

How is a direct marketing campaign developed?

Direct Marketing Channels

  • physical mail
  • e-mail
  • telemarketing (phone)
  • short message service (texting)
  • broadcast faxing
  • couponing
  • direct response TV (commercials or infomercials)
  • insert media
  • face-to-face selling
  • door-to-door flyers/leaflets

Effective direct marketing begins with data. Marketers examine categories of customers or prospects they think will be interested in their product or service, and develop or procure lists for making contacts.

Lists can be obtained through public or commercial sources, and may represent all the people in a particular neighborhood, all the people who entered a contest drawing, all the people who opted in to a newsletter, a customer list from another business, etc. Such lists should not be used indiscriminately; instead, the data should be analyzed to create messages and offers that are likely to be relevant to these customers or prospects.

A direct marketing campaign may use multiple communications channels including mail, e-mail, phones, and face-to-face contact (See also Direct Mail Marketing). Different channels will be selected based on the target group. For example, a new restaurant might prefer distributing flyers or leaflets door to door, which saves money on mailing costs, targets the restaurant’s immediate neighborhood, and provides an opportunity for person-to-person engagement. Face-to-face engagement might also be used for in-store marketing. Home Depot In-Home Services, for instance, uses direct marketers in their stores to generate leads for various home improvement programs, such as cabinet resurfacing.

Edirect Marketing Scam

Often different communications channels can be combined. For example, a direct mail advertisement may include a QR (quick response) code, allowing recipients to immediately follow and engage the message online.

Every direct marketing campaign should feature a specific call to action. Often this is for an immediate purchase (“Pick up the phone and call right now to order”), but it doesn’t have to be—it could be a preliminary step leading to a sale. A direct marketing effort might acquire stronger leads for a particular sales force, perhaps calling customers to schedule appointments for consultations. Other calls to action might involve a “sale” that isn’t a financial one, such as when a non-profit organization uses direct marketing to recruit volunteers.

All direct marketing communications must include some method with which to track responses. A call to action might direct customers to call a specific number exclusive to that campaign, or to click on a link to a website with a landing page that exclusively handles responses from a given campaign (See also Post-Click Marketing). Direct marketers use the response-rate data to gauge how effective their communication is, and whether or not it needs to be changed for the next release. Such data is not only used to adjust the immediate campaign, but is also coordinated with data from other campaigns in order to present the direct marketing team with a better overall picture of their target markets. The data can then be used to more effectively optimize communication for specific market segments.

Internet Direct Marketing

Acting on feedback from a campaign is essential for effective direct marketing. Poor direct marketing only wastes resources on a low rate of return and annoys prospective customers. In fact, an overabundance of blanket marketing has resulted in laws that make all direct marketing more difficult. For example, laws require direct marketing communications to include an opt-out option, and entirely prohibit certain methods or times of contact. Besides such legal actions, private industry has also responded to customer annoyance with spam by providing e-mail filters that block such marketing. Therefore, wise direct marketers must be careful to avoid frustrating prospective customers, and work to target them with relevant and useful messages and promotions that will be received not as “spam,” but as good business information.

What career titles work with direct marketing strategies?

Media Planner / Analyst

What do they do?

What Kind of Salary Can I Expect?

  • Media Analyst
    median salary: $71,000
  • Mailing List Broker
    median salary: $42,000
  • Telemarketing Executive
    median salary: $68,666

Sources: cbsalary.com and indeed.com

  • identify the channels of communication to be used in a direct marketing campaign
  • procure lists, print space, and TV/radio time
  • create marketing materials to be employed in a direct mail campaign
  • analyze the results of a direct marketing campaign, and make recommendations
Education and Skills

Media planners and analysts need at least a bachelor’s with a background in media and communications; some job postings require a master’s degree. They must demonstrate strong communications, organizational, and analytical skills. Analysts must be efficient at finding, analyzing, and monitoring information, and capable of reporting that information clearly to others.

List Broker / Compiler

What do they do?
  • capture data from commercial and public sources to create mailing/marketing lists for direct marketing campaigns
  • compile databases that can produce marketing/mailing lists based upon target criteria
  • buy/sell lists to different companies, and help companies select the best lists
  • help plan direct marketing campaigns, and analyze responses
Education and Skills

List brokers need at least a bachelor’s degree in marketing or a related field. They must have experience in developing sources for names, and some methodology for improving the accuracy of lists; as well as successful sales experience. Strong computer and communications skills are required.

Telemarketing Executive

What do they do?
  • plans, organizes and manages a company’s telemarketing campaign
  • writes or reviews telemarketing scripts
  • coordinates script writing, testing, list procurement and preparation, and client reports
  • coordinates call center managers, trainers, and other subordinates in the campaign

E Commerce Direct Marketing

Education and Skills

Telemarketing executives must possess at least a bachelor’s degree in marketing, business administration, or a related field, and demonstrate strong communication and management skills. Prior experience must demonstrate management success, and may include telemarketing, customer service/retention, or advertising.

How can a marketing school help you succeed?

Our Recommended Schools

  1. Grand Canyon University (GCU)

    GCU's Colangelo College of Business offers leading edge degrees that address the demands of contemporary business environments.

  2. Southern New Hampshire University (SNHU)

    Explore the bond between business and consumer behavior with a degree in marketing.

Effective direct marketing is fundamentally about communicating a clear and persuasive message. Marketing programs train students to practice and develop communications and presentation skills, allowing them to better implement direct marketing campaigns.

Commerce

Communications courses teach students how to connect to audiences through a wide variety of channels, including print, radio, TV, and digital media. Instructors provide valuable feedback on how to improve your skills and adapt your message according to audience responses, allowing you to present an effective call to action in a variety of different ways.

A marketing program will also teach you how to acquire and interpret meaningful data, including how to obtain and analyze marketing lists. By applying the right analytical and statistical tools, you’ll be able to target a direct marketing campaign in order to increase the rate of response, and consequently, the return on investment.

Direct Marketing Services Scam

To learn more about what a marketing school can do for you, take action now by requesting information from schools with degrees in marketing, and make the first step toward your new career.