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Title: Lecture Six


1
Lecture Six
  • Ian Harris

2
Email Strategies Part Two
  • Lecture Aim To prove that deploying effective
    email marketing strategies can be the marketing
    tool and killer application

3
Lecture Objectives
  • To quickly recap on Lecture five
  • To look at and study the 10 virtues of email
    marketing
  • We will compare and contrast email marketing with
    other marketing media
  • We will examine the issues and costs surrounding
    whether email should be carried out as an
    internal function or outsourced to a third
    party
  • We will look at the 10 steps to email marketing
    success
  • Will will examine the 12 common mistakes in email
    marketing
  • We will look at the top 10 most common internet
    privacy mistakes
  • We will examine the metrics surrounding email
    success
  • Finally, we will discuss whether or not the last
    2 lectures have convinced you that email is
    really the killer application
  • All the above is backed-up throughout with
    pertinent facts and figures

4
Content
  • Recap of Lecture Five
  • 10 Virtues of Email Marketing
  • Facts and Figures eBusiness Benefits By Type
  • Facts and Figures eBusiness Activities With
    Customers
  • A Comparison of Email Marketing With Other
    Marketing Media
  • Email In-House or Outsource
  • Top 10 Steps to Email Marketing Success
  • 12 Common Mistakes in Email Marketing
  • Top 10 Internet Privacy Mistakes
  • Email The Metrics for Success
  • So Is Email Really the Killer Application

5
Recap of Lecture Five
  • What is Email Marketing?
  • Uses of Email Marketing
  • Writing Good Email Messages
  • After You Have Sent The Email
  • Empowering Customers with Opt-Ins (Permission
    Based Email)
  • Personalisation
  • Email Spam
  • 20 Ways Opt-in Emailers Can Outsmart Spam Filters
  • Email List Development
  • Types of Email Marketing
  • Different Types of Email

6
10 Virtues of Email Marketing
  • Email is highly trackable
  • Email can become an integral part of the
    relationship you have with your prospects and
    customers
  • Email marketing can be extremely cost-effective
    if you clearly define your goals and expectations
    with regard to cost per lead
  • Email allows you to manage undeliverable messages
    in a cost- and time-efficient manner
  • Bounces / returned emails are quickly identified.
    You can correct the problem and resend the
    message inexpensively and painlessly
  • Email drives sales
  • Email provides quick lead generation
  • Email allows you to test quickly and
    inexpensively
  • Email is an opportunity for customer dialogue
  • Email can help build your brand

Source http//www.clickz.com/em_mkt/em_mkt/articl
e.php/916721
7
Facts and Figures
Source CBI KPMG Consulting, 2002, p43
8
Facts and Figures
Source CBI KPMG Consulting, 2002, p26
9
A Comparison of Email Marketing with other
Marketing Media
  • Direct Mail
  • Radio
  • Broadcast TV
  • Cable TV
  • Print and Outdoor
  • Telemarketing

Source http//www.clickz.com/em_mkt/
10
A Comparison of Email Marketing with other
Marketing Media
  • Direct Mail
  • Direct mail is frequently compared to email
  • As cost-conscious businesses increasingly are
    turning to the Internet for its cheapness in
    comparison to traditional direct mail campaigns.
    A report released by GartnerG2 last week (this
    source March 20, 2002) suggests email marketing
    will threaten direct mail by 2005
  • "Direct mail has reached its peak and will
    account for less than 50 of mail received by
    U.S. households by 2005, down from 65 in 2001,"
    said GartnerG2 media industry research director
    Denise Garcia. "As email use, familiarity and
    trust increases, consumers will become more
    comfortable with accepting advertisements through
    their computer."
  • Gartner suggests direct mail has peaked, while
    permission-based email marketing will continue to
    grow in acceptance
  • Some industry observers say the report is flawed,
    as it compares two forms of marketing not yet on
    equal footing

Source http//www.clickz.com/em_mkt/
11
A Comparison of Email Marketing with other
Marketing Media
  • Direct Mail - Louis Mastria, director of internal
    and public affairs for the Direct Marketing
    Association, is among the dissenters. "It's too
    premature to make the assumption that people can
    go from direct mail to email," he said
  • Radio - Almost everyone listens to radio.
    According to the Radio Advertising Bureau, radio
    reaches 77 of consumers daily, 95 of consumers
    weekly. A radio media buy can cast a very wide
    net, especially if you're buying network time
    across stations. Radio is great for marketing
    communications and can be good for direct
    response. People can be moved from radio to
    online. We have a client doing that successfully

Source http//www.clickz.com/em_mkt/
12
A Comparison of Email Marketing with other
Marketing Media
  • Broadcast TV - TV is great for reaching a lot of
    people. You can target a specified audience
    (demographic) and plan media "weight" (amount of
    advertising and where) according to your
    businesses campaign's goals. For instance, if you
    are undertaking an image and awareness
    campaign, the amount of advertising you would
    envisage would be considerably less than if your
    campaign had a sense of urgency, such as a
    going-out-of-business sale. Broadcast TV is an
    established marketing communications channel.
    Like radio, people can and have been moved from
    television to online
  • Digital / Cable TV Digital and Cable TV is more
    targeted than wholesale generic TV broadcasts.
    This is because audiences using these mediums are
    smaller than generic TV. The audiences
    (demographics) of generic TV and digital /cable
    TV will vary, which must also be taken into
    account

Source http//www.clickz.com/em_mkt/
13
A Comparison of Email Marketing with other
Marketing Media
  • Print and Outdoor - Advertising in newspapers,
    magazines, and other print media can be a good
    marketing communication channel to enhance
    awareness of your product or service. Other
    opportunities include advertorials. Print can be
    expensive on a cost-per-lead basis. It's also
    hard to keep track of which channel medium your
    customers came from
  • Telemarketing - Telemarketing can be effective -
    or not - depending on your target audience.
    Everyone will agree telemarketing is intrusive.
    On a cost-per-lead basis, it can also be
    expensive

Source http//www.clickz.com/em_mkt/
14
Email In-House or Outsource?
  • When considering an email Marketing Campaign
    businesses really only have three options
  • Handle the management of this operation
    themselves
  • via in-house management and IS systems and / or
    by
  • using off-the-shelf software
  • Outsourced distribution
  • Or, outsource the whole operation to a third
    party

Reference http//www.opportunitywales.co.uk
(Section on email)
15
Email In-House or Outsource?
  • In-House Email Management
  • To drive forward ones own email marketing
    campaign will use a tremendous amount of time,
    money and staff resources
  • For a business wishing to manage the whole
    process themselves will need to ask the following
    questions
  • Do we have people on staff already who can create
    strategic email programs that drive results,
    improve customer relationships, and integrate
    with other marketing communications efforts
  • Can we access industry-specific and
    vertical-market-specific benchmarks? If not do we
    have processes to set our own
  • Do we have email specific design and copy
    capabilities
  • Do we have strong knowledge of the complexities
    involved with coding email which will render
    efficiently and seamlessly across the many ISPs
    and Web based email providers
  • Do we have the projects managers and analysts
    with experience in the email channel who can set
    up, execute, and analyse our email initiatives,
    from start to finish

Source http//www.clickz.com/em_mkt/
16
Email In-House or Outsource?
  • In-House Email Management
  • Does our current system allow you to import,
    export, and analyse data easily and in a
    consistent format to enable the business to
    create highly targeted and effective email
    communications
  • Does the system also easily update legacy systems
    with performance data
  • Can our current email platform assemble, deliver,
    and track high volumes of email in proper formats
  • Can the business tap into all of its databases
    and automate email communications
  • Do we have sufficient data reporting tools and do
    they provide the information we need
  • Who supports the email system and how
  • What are or would be the businesses process for
    resolving issues arising from our email
    communication efforts data quality, bounce backs
    (undeliverable email), delivery, replies,
    customer questions, and so on

Source http//www.clickz.com/em_mkt/
17
Email In-House or Outsource?
  • In-House Email Management
  • Complete in-house email management could
    potentially be very expensive. However, this will
    depend on the scale of the businesses
    requirements and can actually also be relatively
    cheap and cost effective
  • In-House Email Management
  • For many small to medium sized enterprises
    without the required skills set or resources
    in-house then it may be more cost effective for
    them to use email marketing software packages
  • These packages have to be maintained, managed and
    administered effectively but require less skills
    and resources

Source http//www.clickz.com/em_mkt/
18
Email In-House or Outsource?
  • In-House Email Management
  • Email marketing software packages need different
    features to standard email software. As well as
    facilities to create messages (such as your mail
    shots or newsletters) and broadcast them to
    customers on your mailing lists, features should
    also include
  • Reporting / tracking tools to track and analyse
    email campaigns
  • Subscription manager to handle subscriptions
    and remove users wishing to unsubscribe from
    lists
  • Returned mail handler i.e. email which is
    undeliverable
  • List manager i.e. list cleaning, merging,
    checking and removing duplicate addresses and so
    on
  • Personalisation facilities to personalise email
    campaigns for customers
  • Filters to sort incoming emails e.g. for a
    particular campaign
  • Import / export information e.g. from an existing
    customer database

Source http//www.opportunitywales.co.uk
(Section on email)
19
Email In-House or Outsource?
  • Potential Costs of In-House Email Management
  • If you are going to do it yourself, be sure that
    you have the resources and means to carry it out.
    You will also need appropriate eMail marketing
    software. An example of such software is
    Broadc_at_st HTML which starts at 249 or 175
    approx. See mailworkz)
  • Some software packages have a restriction on the
    size of the lists they can handle e.g. Broadc_at_st
    HTML Business Edition can handle any number of
    mailing lists  but each list can not exceed 500
    eMail addresses Broadc_at_st HTML Commerce Edition
    can handle lists up to 5,000 eMail addresses and
    is more expensive at 795

Source http//www.opportunitywales.co.uk
(Section on email)
Further Resource http//www.ifmodules.com/
(Software resource) http//www.mailworkz.com/ind
ex.htm (Software resource)
20
Email In-House or Outsource?
  • Outsource Email Management
  • Why outsource your email management
  • Cost Effective
  • Reliable
  • Full-Feature Convenience
  • Virus and Spam Protection
  • Affordable Scalability

Source http//www.everyone.net/solutions.html
21
Email In-House or Outsource?
  • Outsource Email Management
  • An outsourcing company may offer the following
    facilities and benefits to a business
  • Anti-virus Protection
  • Spam Protection
  • Free Domain Names and Domains Supported
  • Firewall and Security
  • Full Backups
  • Mailboxes
  • List Rental
  • List Management e.g. your own in-house email
    lists
  • Email Design (Creative Content)
  • Campaign Testing
  • Response Management
  • Tracking and Reporting this is very important
    as you must be able to measure your campaign
    (Usage Statistics)

Source http//www.opportunitywales.co.uk
(Section on email)
22
Email In-House or Outsource?
  • Potential Costs of Outsourcing Email Management
  • In the UK emailtools.co.uk will charge anywhere
    between 99-199 for setting up the email
    management system. With a monthly charge of
    anywhere between 24.95-49.95 depending on the
    package a business chooses
  • A company such as SparkList will charge monthly
    to manage subscriptions and distribution. There
    is a one-off set-up fee dependant on the size of
    the list with prices starting at 50 per month
    depending on the size of the eMail itself e.g.
    set-up fee of 25 for a list of 0-2000 eMail
    addresses plus 1 for every 1,000 messages based
    on a 10k message size (2 for every 1,000 for a
    20k message)
  • A company such as IFModules will charge anywhere
    between 50 through to 500 per month dependant
    on space and usage requirements

Source http//www.emailtools.co.uk/compare.htm
Source http//www.opportunitywales.co.uk
(Section on email)
Source http//www.ifmodules.com/
Further Resource and http//www.everyone.net/solu
tions.html
23
Top 10 Steps to Email Marketing Success
  • Set Marketing Objectives
  • Develop a Privacy Policy
  • Collect Opt-In Names
  • Develop a Message
  • FROM, TO Subject Lines
  • Test Your Message
  • Three, Two, OneLaunch!
  • Unsubscribe Undeliverables
  • Track Campaign Results
  • Send Additional Messages Based on Campaign
    Results

SourcePersona P-CRM, No date or URL Provided
(sales_at_persona.com)
24
Top 10 Steps to Email Marketing Success
  • Set Marketing Objectives
  • It is important for a business to decide exactly
    what its marketing objectives are. Are you trying
    to drive more traffic (business) to the website?
    Or are you recommending a specific product or
    service? Or is it the case that the business is
    trying to build a brand by providing relevant
    news and information to subscribers
  • Develop a Privacy Policy
  • It is important for a business to let their
    customers know exactly what will happen to any
    information, which they provide. It is important
    for a business to say what they are going to do
    and to do what they say. For a business this
    links in with CRM technologies (Customer
    Relationship Management), which is covered in
    lectures 7 8. A business collects information
    about its customers to improve relationships with
    them
  • Collect Opt-In Names
  • Refer to section 3 Email List Development. It is
    important for a business to build its own list of
    potential clients, which they can market too
    effectively

SourcePersona P-CRM, No date or URL Provided
(sales_at_persona.com)
25
Top 10 Steps to Email Marketing Success
  • Develop a Message
  • According to Seth Godin, author of Permission
    Marketing and Marketing Guru of Yahoo, successful
    communications should be relevant, anticipated
    and personal
  • FROM, TO Subject Lines
  • A business may live or die by the FROM, TO and
    Subject Lines of a message. This is the first
    point of contact, and a business must inspire the
    recipient to open the email message
  • Test Your Message
  • It is important for a message to be tested before
    it is officially sent via a businesses full email
    marketing campaign. It would need to test which
    subject line message gives the most response, it
    is also very important that a business test the
    message for compatibility with different email
    clients, such as AOL, Outlook or Hotmail and also
    to ensure the graphics and text are displaying
    properly

SourcePersona P-CRM, No date or URL Provided
(sales_at_persona.com)
26
Top 10 Steps to Email Marketing Success
  • Three, Two, One, Launch
  • Make sure everyone in the business is aware of
    the marketing campaign. Once the message has been
    tested and the website is ready for the potential
    increase in visitor numbers then it is ready to
    go
  • Unsubscribe Undeliverables
  • It is a good idea to allow customers the right to
    opt-out of a businesses future emailing
    campaigns. This could potentially be achieved
    through an unsubscribe link within the email.
    Bounced email or undeliverables should be
    monitored and email address corrected where
    possible or deleted from the system

SourcePersona P-CRM, No date or URL Provided
(sales_at_persona.com)
27
Top 10 Steps to Email Marketing Success
  • Track Campaign Results
  • Campaigns are measured by how many email messages
    were sent, how many were opened, and how many
    recipients clicked through on the links within
    the message. It is important for a business to
    track these results and measure the expenditure
    against the income generated
  • Send Additional Messages Based on Campaign
    Results
  • Once results have been analysed it is important
    for a business to extract knowledge from one
    particular email marketing campaign and take this
    knowledge forward into the next one

SourcePersona P-CRM, No date or URL Provided
(sales_at_persona.com)
28
12 Common Mistakes in Email Marketing
  • The Desire for Instant Gratification
  • Launching an email campaign is like trying get
    your car rolling from a dead stop. You think
    you're going to manage it all in one push?
    Unfortunately this is not the case! It takes time
    to work up some momentum. And before you achieve
    a decent speed, you are going to start wondering
    if you are even up to the task. The key here is
    patience
  • Studies have proved the only variable that
    influences the success of any campaign is the
    power of your message. So make sure you are
    saying the right thing. "Uncover the story that
    is uniquely yours focus your campaign commit to
    your message." Be prepared to give it time
  • Once you get your momentum, it will be hard to
    stop it! Along the way you are going to have to
    give the occasional push, but with the momentum
    established, the job becomes much easier

Source www.grokdotcom.com
29
12 Common Mistakes in Email Marketing
  • Attempting to Reach More People Than the Budget
    will Allow
  • This is the reach versus frequency issue. Let's
    say you are going to place an ad in an email
    newsletter. You can afford to make 100,000
    impressions. Do you go for 10 placements in one
    newsletter that goes out to 10,000 people, or do
    you opt for one placement that goes out to
    100,000 people? Same number of impressions, but
    the first option exposes fewer viewers to
    multiple impressions
  • Think about it this way Would you rather reach
    100 of the people and convince them 10 of the
    way, or reach 10 of the people and convince all
    of them all the way? When it comes to maximising
    your email marketing efforts, this is a useful
    analogy Your message is the nail, repetition is
    the hammer, and a block of wood is the customer.
    If the nail is sharp and you hammer effectively,
    you will pierce through the wood and clinch the
    customer

Source www.grokdotcom.com
30
12 Common Mistakes in Email Marketing
  • Assuming the Business Owner Knows Best
  • When it comes to issues in which you have a huge
    personal investment (your children, your homes,
    your business), you risk losing your objectivity.
    Too much knowledge about your company and what
    you offer leads you to answer questions nobody is
    asking. When you're inside the bottle, it's hard
    to read the label. But that's also when you risk
    pushing your own interests at the expense of your
    customers' interests. Sometimes it helps to bring
    in an objective outsider to give you some
    perspective
  • Unsubstantiated Claims
  • Miss targeting customers' needs with
    unsubstantiated claims will simply turn your
    customers off YOUR businesses products or
    services. Specifics about yourself, your way of
    doing business and your products are far more
    persuasive and get to the point far more
    effectively than generalities. So be credibly
    specific

Source www.grokdotcom.com
31
12 Common Mistakes in Email Marketing
  • Improper Use of Passive Media
  • Passive media is sight-based media - newspapers,
    magazines, billboards, direct mail, and even
    email. This type of media requires the user to
    sustain focused attention in order to process the
    message. Intrusive media are sound-based - radio
    and television. Sound is heads above sight in its
    ability to get your message lodged into your
    customers' brains. The best use of passive media
    is as a follow-up to intrusive media
  • Passive media is an effective way to reach those
    customers who are actively in the market for your
    product or service. You'll improve the
    effectiveness of your emails if you can use this
    to your advantage. Exactness is the key attribute
    of passive media - now is not the time to go
    lining your emails with .wav files - and that
    misses the point anyway. The huge advantage of
    email marketing, passive though it may be, is its
    relative low cost. It's worth the effort, but be
    aware of the limitations

Source www.grokdotcom.com
32
12 Common Mistakes in Email Marketing
  • Creating Individual Emails instead of Campaigns
  • Remember the hammer analogy stated in bullet
    number two? Now add this No single ad
    constitutes a campaign, Rome wasn't built in a
    day, and friendship isn't a first-sight
    phenomenon. You have more to say and more to
    accomplish than can be said and accomplished in a
    single email
  • A very important thing to do as you develop your
    campaign is build upon your previous (successful)
    efforts. Your individual emails have to be
    interconnected, with a logical flow and a united
    presentation - after all, they are all pieces of
    that big puzzle that is YOUR business. Remember
    this you want to keep your customers eager and
    on the lookout for more of what you have to offer

Source www.grokdotcom.com
33
12 Common Mistakes in Email Marketing
  • Obedience to Unwritten Rules
  • Do you really want to be like everyone else? Do
    you want to communicate the same message as your
    competitors? No, of course not. You want to be
    unique and you want to stand out from the crowd.
    Dare to be different in a believable way. That's
    how you get noticed. Dont go overboard
    (commercial relationship-building requires tact
    and tends toward the conservative end of the
    spectrum), but if your emails sound, act and look
    like everybody else's emails, what's the value in
    doing business with you rather than them.
    Customer relationship management will be covered
    in lectures 7 8
  • Ignore Timing
  • It should come as no surprise that you've got to
    think about timing your message. Who is your
    audience and when are they most likely to read
    your email?

Source www.grokdotcom.com
34
12 Common Mistakes in Email Marketing
  • Ignore Timing
  • Your goal should be to give your customers the
    right message and send it when they are apt to
    take the time to read it. This isn't the same as
    suggesting you should time your message to
    exactly when you think your customer is going to
    act on it. Seasonal situations aside, an
    important principle of belief for advertising is
    this "Tell the customer WHY and wait for WHEN.
    Quit trying to predict the moment of need."
  • Over-targeting
  • Be careful to avoid over-segmenting your database
    in your efforts to reach your target audience.
    It's a myth that you only need to get your
    message to the decision-makers. Lecture 8 will
    cover segmentation and databases in more depth

Source www.grokdotcom.com
35
12 Common Mistakes in Email Marketing
  • Event Driven Marketing
  • It's best to steer clear of designing an email
    campaign around a single event (unless it's a
    major, well-branded event that strengthens your
    Unique Selling Proposition). When an event is
    over, people will immediately forget the
    marketing pitch behind it, and besides, 99.5 of
    the people you've spent the effort to reach won't
    be coming to The Event anyway. Where does your
    message go when this happens? In the waste paper
    bin more than likely
  • Great Production Without Great Copy
  • "Slick, clever, funny, creative and different are
    very poor substitutes for informative,
    believable, memorable and persuasive."
  • The name of the eBusiness game is persuasion
    getting people to take the action you want them
    to take. Don't even dream of neglecting those
    magical words that are going to help you craft
    your brilliant, perfect message

Source www.grokdotcom.com
36
12 Common Mistakes in Email Marketing
  • Confusing Response with Results
  • Slick, clever, funny, creative and different ads
    are most likely to generate comment, or
    response." Buzz alone WONT feed YOUR business
    and excitement won't bring in the cash!

Source www.grokdotcom.com
37
Top 10 Internet Privacy Mistakes
  • Dont Post a Privacy Policy
  • Dont Ask Their Permission
  • Dont Tell Them Why Youre Collecting Their
    Information
  • Dont Provide Customers Access To Their Own
    Information
  • Overuse Required Fields
  • Ask For Information Only To Forget It
  • Leave The Keys In The Door
  • Dont Test Your System
  • Forget to Record Where Your Customers Come From
  • Fail to Meet Expectations

SourcePersona P-CRM, No date or URL Provided
(sales_at_persona.com)
38
Top 10 Internet Privacy Mistakes
  • Dont Post a Privacy Policy
  • Your potential customers who are providing
    information to you will need to be aware of your
    businesses privacy policy with regard to the
    information you are collecting from them
  • Have a privacy policy
  • Display your privacy policy
  • Dont Ask Their Permission
  • Give customers a clear choice to opt-in or
    opt-out the customers who give permission
    will look forward to your communications
  • Dont Tell Them Why Youre Collecting Their
    Information
  • It is important that a customer is made aware of
    why your business is collecting or requires
    certain information about them

SourcePersona P-CRM, No date or URL Provided
(sales_at_persona.com)
39
Top 10 Internet Privacy Mistakes
  • Dont Provide Customers Access to Their
    Information
  • Allow customers access to their own
    information, which they provided in good faith to
    your business so that they are able to update it
    as necessary
  • Overuse Required Fields
  • Do not ask the customer to provide to much
    required information they may get bored or
    may simply not bother so do not overuse required
    fields in a web-based submission form
  • Ask For Information Only to Forget It
  • A great way to frustrate your customers is to
    forget what they have just told you. If your
    customers provide you with information on one of
    your web pages, dont ask them to retype the same
    information on a different section of your site
    focus on the end users experience

SourcePersona P-CRM, No date or URL Provided
(sales_at_persona.com)
40
Top 10 Internet Privacy Mistakes
  • Leave the Keys in the Door
  • When you collect customer information, you are
    doing so under the premise that you will take
    reasonable security precautions with that
    information. This means limiting access only to
    necessary employees, employing up-to-date
    computer security systems and using a shredder to
    dispose of printouts with sensitive information
    on them
  • Dont Test Your System
  • Theres nothing worse than going through a
    registration process and the system fails to
    work. Not only will you miss capturing a new
    potential sales lead, a faulty system conveys the
    impression that your website is not an important
    part of your business operations

SourcePersona P-CRM, No date or URL Provided
(sales_at_persona.com)
41
Top 10 Internet Privacy Mistakes
  • Forget to Record Where Your Customers Come From
  • You will need to record where a new customer came
    from so that you can measure the return on
    investment (ROI) within your email marketing
    campaign. Which click-through did they come
    through this helps when justifying expenditure
    against sales achieved
  • Fail to Meet Expectations
  • If you ask someone for their postal code so that
    you can personalise their web browsing
    experience, you have set a customers expectation!
    If a business then fails to use this information
    someone is likely to think the system isnt
    working correctly. Regardless of this fact, your
    business has just managed to underwhelm a
    potential customer by failing to meet
    expectations

SourcePersona P-CRM, No date or URL Provided
(sales_at_persona.com)
42
Email The Metrics for Success
  • Sorting Through Your Logs
  • The Traffic Numbers That Count
  • How to get the Numbers
  • Definitions for Traffic Metrics
  • The Ad Campaign Numbers That Count
  • The Sales Numbers That Count
  • Put Them All Together

Source http//www.emage-emarketing.com/063002.htm
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43
Sorting Through Your Logs
  • Each time a page is requested from the server
    that hosts it, that server records the request
    and various information associated with that
    event.
  • Data is collected and stored in the server logs
    and is a treasure trove of useful, and sometimes
    useless, data for the marketer and business
    owner.
  • Also interesting, but not the most valuable, are
  • Pageviews - a measure of server requests for a
    whole page does not distinguish between unique
    and repeat visitors
  • Browser breakdown - gives an idea of how
    technologically savvy your audience is by the use
    of the higher - or lower - browser numbers
  • Geographic demographics - only useful in giving
    an idea of where the ISPs of your visitors are
    based for instance, Virginia is always highly
    ranked because of the AOL servers there
  • and errors - which may cost you traffic, like bad
    links or malfunctioning scripts

Source http//www.emage-emarketing.com/063002.htm
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44
The Traffic Numbers That Count
  • The most useful web traffic metrics for marketers
    and business owners include
  • Visitors and unique users - indicate how many
    people visited your site in any given space of
    time
  • Referrers - show where your traffic is coming
    from and can be very helpful in identifying sites
    with which to build a more significant
    partnerships
  • Site paths, entry pages, exit pages - give an
    idea of how visitors use your site, where you
    lose them and which areas may be ripe for further
    development or elimination
  • Search engine referrers and keywords - show how
    people are searching for and finding your site on
    the search engines

Source http//www.emage-emarketing.com/063002.htm
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45
How to get the Numbers
  • The server logs should be found in the directory
    that holds your default.html file (or index.html
    or home.html, depending on what you called it).
    These raw logs are quite unintelligible to the
    layperson, but luckily there are some options to
    help process this data and generate useful
    reports
  • If you use a use a reliable hosting service,
    often they will provide you with some kind of
    reporting, which may or may not be detailed
    enough for your needs
  • Or you can outsource this task to a service
    provider that specializes in traffic reporting,
    such as WebSideStory or the WebTrends Live
    service, which often provides real-time data All
    of these methods have their pros and cons. Once
    you determine what are the most important numbers
    for your business and the budget you can afford,
    this will go a long way to deciding which service
    is the best fit
  • Unfortunately, these packages are not cheap, for
    example at the high end there is WebTrends Live
    Enterprise Edition, which costs 1000 per month
  • However, there are free services available. Try
    http//www.webstat.com/?aref1178

Source http//www.emage-emarketing.com/063002.htm
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46
Definitions for Traffic Metrics
  • Crawlers Also called spiders or bots (short for
    robots), these programs automatically visit
    websites, read pages, and collect information
  • Page Views The number of times a web page is
    opened, typically measured per person. Pageview
    statistics often do not include the specifics for
    frames within those pages. Also, the pageview
    count generally does not distinguish between
    unique and repeat visitors
  • Paths The navigation routes visitors take on a
    site - a particularly useful measurement of how
    difficult a site is to manoeuvre and the
    popularity of specific pages
  • Referrers URLs denoting the portals or websites
    through which another site is reached
  • Retention The measurement of unique users who
    return to the same site or page over a given time
  • Unique Users Individuals, often identified
    through the use of cookies, IP addresses, or
    passwords, who visit a site. Compare with
    visitors, below
  • Visitors Number of persons who visit a site

Source http//www.emage-emarketing.com/063002.htm
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Further Resource http//www.marketingterms.com/di
ctionary/ (Directory of IT Terms)
47
The Ad Campaign Numbers that Count
  • The three most common paid advertising models
    are
  • CPA (cost per action) where the user pays per
    action which can be a sale, a download, a lead
    etc
  • CPC (cost per click) where the advertiser only
    pays when a user clicks on the ad
  • CPM (cost per thousand impressions) where the
    advertiser buys ad space based upon the number of
    ad impressions that are exposed, rather than on
    clicks.

Source http//www.emage-emarketing.com/083102.htm
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48
The Sales Numbers That Count
  • The Sales Numbers That CountWell, of course, all
    sales numbers count. It's what keeps you in
    business. But what sales numbers give you
    meaningful data about how your site is performing
    and where it can improve? The basic numbers to
    keep an eye on are the same whether your business
    is online or off
  • Gross sales - Your total sales before any
    adjustments
  • Net sales - Equal gross sales minus discounts,
    returns, allowances, and any other adjustments
  • Marketing costs - Expenses for marketing your
    site online, including any related to the
    development and upkeep of your website

Source http//www.emage-emarketing.com/083102.htm
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49
Putting Them All Together
  • When you combine the numbers from your web logs
    with the numbers from your ad campaigns and the
    numbers from your online sales you get everything
    you need to determine your return on investment
    and website effectiveness. These powerful metrics
    should be noted monthly and annually. They
    include
  • Visitor acquisition cost
  • Customer acquisition cost
  • Website conversion rate
  • Advertising conversion rate
  • Average revenue per sale
  • Average revenue per visitor
  • Customer retention rate
  • Website penetration rate
  • Doing business online is a numbers game. Make
    sure you find the right numbers for your business
    and then take action. Knowledge is only power if
    it is acted upon

Source http//www.emage-emarketing.com/083102.htm
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50
So - Is Email Really the Killer Application?
  • Absolutelyif employed properly. But a successful
    eMail campaign involves more than simply
    inserting an ad and forwarding it to a list of
    addresses. The main reason that eMail is such a
    hot marketing tool is that it allows companies to
    offer highly targeted information and build
    relationships with individual customers.
    Permission and personalisation are the buzzwords
    around eMail marketing. Consumers want to feel
    that a company can be trusted and is catering to
    their specific needs, and one-to-one,
    personalised eMail marketing is the ideal means
    to this end.

Source http//www.emage-emarketing.com/102301.htm
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51
Summary of Learning Outcomes
  • We looked at the 10 virtues of email marketing
    and learnt exactly what those are
  • We compared email marketing with other
    marketing media and learnt that email marketing
    is definitely a cost effective communication
    medium and channel
  • We examined the issues and costs surrounding
    whether email should be carried out as an
    internal function or outsourced to a third
    party
  • We examined the 10 steps to email marketing
    success
  • We looked at the top 10 B2B (Business-to-Business)
    internet marketing strategies
  • We looked at the top 10 most common internet
    privacy mistakes and learnt what we need to do to
    avoid them
  • We examined the metrics surrounding email success
    and learnt exactly what is involved
  • Finally, we discussed whether or not the last 2
    lectures have convinced us that email is really
    the killer application

52
Assessment Question
  • With the information and references provided in
    this lecture. Please compare and contrast the
    following situations
  • The case for a large multi-million pound
    business
  • Utilising its own skills for internal email
    management and / or
  • Outsourcing this function to a third party
  • Also, the case for a small business with a
    turnover of less than 100k
  • Utilising its own skills for internal email
    management and / or
  • Outsourcing this function to a third party
  • You may wish to argue the advantages and
    disadvantages of each scenario separately
  • You will need to provide answers for both the
    large multi-million pound business and that of
    the small business with a turnover of less than
    100k

53
References and Useful URLs
  • Bergman, Dr Thomas P 2002, The Essential Guide to
    Web Strategy for Entrepreneurs,
  • Prentice Hall
  • Clark, C, eMail Marketing (Word Document) April
    2001.
  • http//www.clickz.com/em_mkt/ (A huge array of
    eMarketing material)
  • http//www.computerweekly.com (Top Stories for IT
    including Spam issues!)
  • http//www.emage-emarketing.com/063002.html
  • http//www.emage-emarketing.com/083102.html
  • http//www.emage-emarketing.com/102301.html
  • http//www.email-filtering-software.com/help/stati
    stics.htm
  • http//www.emaillabs.com/resources_statistics.html
  • http//www.emailresults.com/ (Weekly Opt-in
    tips and links)
  • http//www.everyone.net/solutions.html (Software
    resource)
  • http//www.e-zinez.com/ (Advise on starting your
    own eZine)
  • http//www.google.com
  • http//www.grokdotcom.com
  • http//www.harvestdigital.com/statistics.cfm
    (Links to Internet Statistics)
  • http//www.ifmodules.com/ (Software resource)
  • http//www.mailworkz.com/index.htm (Software
    resource)
  • http//www.marketingterms.com/dictionary/
    (Directory of IT Terms)

54
Glossary of Terms
  • Please refer to the following references to help
    you understand
  • IT terms used throughout all of the lectures
  • http//www.marketingterms.com/ (Internet
    Marketing Dictionary and Acronyms)
  • http//www.xetg.com/articles/search_engine_secrets
    /glossary.shtml (Xtreme eMarketing Techniques and
  • Guide)
  • http//www.activemarketingtips.com/amthome/dict.ht
    m (Essential Tips for Marketing Success)
  • http//www.atwebo.com/glossary.htm (_at_WEBO
    eMarketing Glossary)
  • http//www.matisse.net/files/glossary.html
    (General IT Glossary of Terms)
  • http//www.animatedsoftware.com/statglos/statglos.
    htm (Internet Glossary of Statistical Terms)
  • http//www.weihenstephan.de/schlind/genglos.html
    (A Hypermedia Glossary of Genetic Terms)
  • http//www.webopedia.com/ (The only online
    dictionary and search engine you need for
    computer and
  • Internet technology)
  • http//www.grantasticdesigns.com/glossary.html
    (Glossary of Graphic Design and Web Page Design
  • Terms)
  • http//www.walthowe.com/glossary/ (Glossary of
    Internet Terms)
  • http//www.wwli.com/translation/netglos/glossary/g
    lossary.html (Internet Terms)
  • http//www.sharpened.net/glossary/index.php
    (Glossary of Computer and Internet Terms).
  • http//www.lib.berkeley.edu/TeachingLib/Guides/Int
    ernet/Glossary.html (Glossary of Internet and Web
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