E-mail Marketing Return On Investment

Email is one of the most effective weapons in a multichannel retailer’s marketing arsenal, giving them a cost-effective and efficient means of reaching both prospects and existing customers alike. Dydacomp’s Mail Order Manager uses the List Management Module to send client communication and promotions through its list query, e-mailing, and mailing capabilities.

The January 2008 edition of MultiChannel Merchant lists some ‘Deadly Sins’ of e-mail marketing of which we can all be aware when creating the List Management query for names already in your system. These include:

1. Spam complaints – While you are mailing to prospective or existing clients that have submitted their name to you, the article notes a high risk that clients will forget that they’ve ever signed up for your e-mail promotion or newsletter and report your e-mail as spam.

2. Mailing to bad addresses – This area is concerned with maintaining your list with updates and changes as you receive them. This is important because of the way that certain ISPs can track the bad e-mail addresses that are sent by the IP address which is sending the e-mail. Continually sending to these e-mail addresses can also cause unexpected harm.

3. Inactive subscribers – This group of addresses is described as the “triple whammy of deadly sins” because it contains customers that have “higher unsubscribe rates, higher bad-address rates, and higher spam complaint rates.”

Determining the ROI of email marketing campaigns can be tricky – weighing the risk of creating ill-will and damaging online reputation with ISPs against the benefits of reaching your customers and prospects instantly via the medium they use most. Read MultiChannel Merchant’s guidelines on cleaning lists and establishing best practices for email marketing at:

http://multichannelmerchant.com/webchannel/email/less_equals/

Stephen Miller
Dydacomp Development Corp.


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One Response to “E-mail Marketing Return On Investment”

  1. Nathan says:

    I think the ROI statement is totally inaccurate. With the ability in most email marketing programs you can see the bounces rates, click thrus to the website and with a free program like Google Analytics you can see the sales. It’s cheap marketing if you do it right.

    Nathan…
    PinkCherry.com

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