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Email Marketing Practices of the Top
Online Retailers

June 15, 2011



@LorenMcDonald
@Silverpop
Silverpop Analyzed Email Programs of …


                          + 130
                             more
                        retailers that
                        did not make
                        the Top 500
                           ranking
How does your company stack up
  against other Top Retailers?
Opt-in
                         Processes




  Opt-out                                     Welcome
Alternatives                                   Emails
                     Study Aspects
                    Looked at Today




        Social Sharing                   Cart
            Links                    Abandonment
So let’s dive in…
1. Opt-in Process
47% hide opt-in at the bottom
36% highlight opt-in at the top
18% go for mid-page opt-in
Majority Feature Opt-in Prominently
              Throughout Website
100


90
         92%
80
                           84%
70


60


50
                                              Yes
40
                                              No
30


20


10
                                   16%
 0
                8%

           Top 500      Remaining Retailers
1/3 of Retailers Offering Options at Opt-in
35

                 33%         33%
30

     28%
25

                       23%
20                                 21%
                                         Top 500
15
           14%                           Remaining
10                                       Retailers

 5

 0
      2008        2009        2010
Types of Preferences Offered by
Companies Who Gave Subscribers Options


  Frequency Preferences                 33%




    Channel Preferences                 35%                   All Retailers




   Shopping Preferences                            56%


                          0   10   20    30   40   50    60
Tips
2-Step Process
Email Practices of Internet Retailer 500 2011
Email Practices of Internet Retailer 500 2011
SMS Text to Email Opt-in



          Point
Ads        Of      Billboards
        Purchase
2. Use of Welcome Emails
Welcome emails may be the most important
      email your company sends.
But 32%
 of you are sending this...


          Zippo.
Not much of a welcome, is it?
Tips
Single Email   Welcome Email Series
Tafford #1
Welcome to the Tafford
     Community
Tafford #2

Three Reasons You Will Love
  Tafford + A Special Offer
Tafford #3


  Personalize Your Tafford
        Experience
Sample Welcome Series Indexed Results…
The Future


“Welcome” programs evolve
     into “Onboarding”
3. Use of Cart Abandonment Emails
60% - 70% of Shopping Carts are Abandoned
“How much money are YOU leaving on the table?”
17%
         (only)

        Of Top 500
deploy cart recovery email
        programs
# of Emails in Cart Aband. Campaigns

             4%             76% use
                            a single
      20%                    email

                               1 Email
                               2 Emails
                               3 Emails
                    76%
1/2 Offer Incentives in
  Cart Recovery Emails




                 51%        Yes
49%
                            No
Sample Results: CAR vs Promotional
               Emails

                Abandoned       All
                Cart Emails Promotional Comparison
                              Emails
Open Rate          37%          8%         4.6x
Click-through      41%        14%          2.9x
rate
Conversion         20%         5%          4.0x
rate
Sales/email       $7.46       $.08         97x
0.3% Volume but 18.6% of Email Revenue



    Relative Volume            Relative Sales
                  Abandon                        Abandon
                 Cart Emails                    Cart Emails
                    0.3%                          18.6%




            Promotional            Promotional
               Emails                 Emails
               99.7%                  81.4%
4. Social Links
Transition: Share>Find>Follow>Like
78% Including Social Links in Emails

90

80
                 78%
70

60

     60%
50                     54%
                               Top 500
40         43%
30
                               Remaining
20                             Retailers

10

0
       2009        2010
More Than 2/3 Include Like/Follow



     18%       11%


                            Social Sharing
                            Only

                            Like/Follow Only


             71%            Both
Promote Likes/Follows
Make It Shareworthy
5. Opt-out Alternatives
2/3 Offer Some Variation of this

           UGH!
1/3 Offer Preferences at Opt-out
45

40
                 40%
35
                             34%
30
     31%
25

           23%         24%
20                                 22%   Top 500

15
                                         Remaining
10                                       Retailers

5

0
       2008        2009        2010
So What are the Alternatives?


              Frequency



    Other                    Format
    Emails



              Alternatives



                             Change
    Channel                   Email


                Profile/
              Preferences
Promote Alternatives In the Email




 Often 20-30% of subscribers presented
 with alternatives to unsubscribing stay!
Email Practices of Internet Retailer 500 2011
Optimize Opt-in
                        Processes




                                              Turn Welcome
Provide Opt-out
                                                   Into
  Alternatives                                 “Onboarding”
                          Takeaways




                                          Cart
          Use Email to
         Promote Social               Abandonment
                                       Just Do It!
Q & A / Contact Info

• Loren McDonald
• lmcdonald@silverpop.com
• Twitter: @LorenMcDonald


Stop by Booth # 608 for study report




                                 www.silverpop.com
                                 Twitter: @Silverpop
                                 www.slideshare.net/silverpop

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Email Practices of Internet Retailer 500 2011