The Email Marketing Roadmap 2020 Challenges, Priorities & Approaches

Presentation of XQueue GmbH at theEmailing 2020 ConferencePrague, 06 October 2016Frank Strzyzewski (stʐɨʐɛvski)

XQueue Short Profile

Company • Core business: Email Marketing Solutions with focus on email software für agencies

• founded: 2002• Offices: Germany (Offenbach am Main, Freiburg im Breisgau)• Clients: 1.500 Customers in 30+ countries (app. 20 in Czech Republic)

Products &Services • Email Marketing Software

• Email Tools• Email Address Validation• Email Frequency Optimizer• Blacklist Monitor• …

• Email Marketing Services• Consulting• Campaign Management• Analysis & Optimization• Deliverability• …

Introduction

Why Email Marketing remains important

Paper Elimination

Device Proliferation

Imperative of Relevance

New Interactivity

Infrastructure Complexity

Q&A

Agenda

The Topic

April 2015

http://www.marketing-boerse.de/Fachartikel/details/1517-E-Mail-Marketing-in-2020/52037

Introduction

Why Email Marketing remains important

Paper Elimination

Device Proliferation

Imperative of Relevance

New Interactivity

Infrastructure Complexity

Q&A

Agenda

SMS vs. WhatsApp Volume

Social vs. Messaging User Base

Email as highly efficient Online Marketing Channel

Email remains the best digital channel for ROI.eConsultancy, Email Marketing Census 2014

E-mail remains a significantly more effective way to acquire customers than social media—nearly 40 times that of Facebook and Twitter combined

McKinsey, 2014

E-mail marketing offers one of the most efficient, effective and measurable ways to connect with consumers. Gartner, Market Guide for Email Marketing 2014

E-mail still remains one of the most powerful marketing channels. Forrester, 2015

More than half of client-side email marketers plan to increase their spending on email in 2014. DMA, National Client Email Survey 2014

Consumer attitudes towards Email Marketing reveals strong preference for E-mail compared with all other communications.

MarketingSherpa, National Email Survey, 2015

Email offers a unique combination of advantages

Reach 1to1 Trackability Cost

Dialog Speed Usage Independence

Introduction

Why Email Marketing remains important

Paper Elimination

Device Proliferation

Imperative of Relevance

New Interactivity

Infrastructure Complexity

Q&A

Agenda

Paper Elimination – Letter volume of Deutsche Post

De-MaileGovernmentOMS Legacy

EBPP

„We err our way up." Rainer Hillebrand, E-Commerce Chiefof Otto Group

„I am convinced that the paper catalogue will continue to be important. The customer wants to sit with the catalogue in his garden and page through it." Michael Otto

Betting on paper is dangerous

Introduction

Why Email Marketing remains important

Paper Elimination

Device Proliferation

Imperative of Relevance

New Interactivity

Infrastructure Complexity

Q&A

Agenda

Device Complexity

<50 Combinations

Major Browsers Mobile Email Clients

>10.000 Combinations + Wearables

Internet of Things (IoT)

Introduction

Why Email Marketing remains important

Paper Elimination

Device Proliferation

Imperative of Relevance

New Interactivity

Infrastructure Complexity

Q&A

Agenda

Relevance as Imperative in Email Marketing

Theaveragenewsletter …

… is not or only marginally personalized (mostly salutation and name)

… is conceptually not convincing

… is not tested regularly to identify optimization potential

Theaveragesubscriber…

… invests less time in a particular email (more emails, but not more time)

… sees less of the email content due to mobile devices

… is increasingly protected from irrelevance, (e.g. intelligent filters)

The Challenge

Be more relevant or be obsolete

Irrelevance will increasingly be punished

Importance of the first E-Mails you send …

0,0%

2,0%

4,0%

6,0%

8,0%

10,0%

12,0%

0 2 4 6 8 10 12 14 16 18 20 22 24 26 28 30 32 34 36 38 40 42

Anzahl erhaltener Newsletter bis zur Abmeldung

Ant

eil a

n al

len

Abm

eldu

ngen

Better Content to solve Cold Start Problem

Reminders and Notifications as first Step

Advanced Personalization

Time triggered Geotargeting

• Notification of Coke subscribers about the Coke Truck in the Christmas Season

• Mail is sent to subscribers based on location 2 days in advance

• Dynamic Content with 1 or 2 matching locations based on subscriber postal code

Image Personalization

Personalization in Health Insurance

• AOK.de multi topic portal newsletter

• AOK ON student newsletter • Schlemmerpost diet newsletter• Baby care newsletter• Pregnancy newsletter• Vaccination and preventive health newsletter

Example 1: Pregnancy Newsletter

Result

Opening rate: 68%

Click rate: 40%

Solution

Series of 35 fully automated time triggered emails

weekly schedule starting in pregnancy week 5 (expected birth date is entered on subcription page)

Key content: medical background information about the unborn baby, diagnostics, relevant health insurance coverage details, links to additional content, tipps, checklist, contacts, …

Example 2: Baby Newsletter

Result

Opening rate: 76%

Click rate: 39%

Solution

Series of 15 fully automated time triggered emails over the course of 12 months after birth

Sendout schedule in irregular intervals depending on time relevance

Key content: medical background information about the newborn baby, reminder for standard baby health checks (so called U1 to U6), relevant health insurance coverage details, links to additional content, tipps, checklist, contacts, …

Example 3: Fitness Newsletter

Result

Opening rate: 51%

Click rate: n.a. (no links included)

Solution

Series of 30 fully automated time triggered emails

Daily Sendout

Key content: fitness exercises that can easily be integrated into a daily routine, recipes for healthy food

Example 4: Health Test Reminder

Result

Opening rate: 44% to 60%

Click rate: 16% to 24%

Solution

Series of 4 fully automated time triggered emails

Scheduled over 6 months

Reminders are sent based on predefined time intervals and subscriber behavior (health test completion)

Content Personalization

Sender Personalization

Email Retargeting

Advertiser List Owner

Email AddressPool

Clicks

Email Ad Content

FilterCriteria

LandingPage

rents sends

OpensBrowses

criteo writescookies on email opens, clicks and web visits

The cookies are used to identify individuals that can be retargeted via emall (cookies do not collect information about individual X interested in advertiser A)

Recommendation Technologies …

• Collaborative Filtering• Association Rules• Contrast Mining• Stereotyping• Predictive Modeling• Taxonomical User Profiling• Sequence Pattern Mining• Tensor Factorization• Deep Learning• Trust-based Recommendations• Logistic Regression• Content based Recommenders• Latent Factor Models• Machine Learning • Clusteranalyse• Semantic Distances• Knowledge-based Recommender• Hybrid Recommender Systems• …

• Content

• Frequency

• Sendout Times

• Text-Image Ratio

• Image Selection

• Number of Offers

• Offer Sequence

• Sender Alias

• Incentive Level

• Subject Line

• … Age

of Hyper Personalization

Recommendation Technologies …

• PersonalizationCalculation of ideal sent times for each newsletter subscriber based on historic response behavior.

• ResultsSimilar unique open rates, but higher total opens, higher click rates and better conversions.

Introduction

Why Email Marketing remains important

Paper Elimination

Device Proliferation

Imperative of Relevance

New Interactivity

Infrastructure Complexity

Q&A

Agenda

A new Era of Interactivity

HTML 5

Interactive Sample Emails

http://dev.digitalschmiede.com/demo/drei_fussball/index.html

http://dev.digitalschmiede.com/demo/drei_ski_wm/index.html

Female:http://dev.digitalschmiede.com/demo/drei_spotify/female/index.htmlMale:http://dev.digitalschmiede.com/demo/drei_spotify/male/index.html

Introduction

Why Email Marketing remains important

Paper Elimination

Device Proliferation

Imperative of Relevance

New Interactivity

Infrastructure Complexity

Q&A

Agenda

Online Marketing Technologies

Multi ESP / MiddlewareEmail Retargeting

Special ToolsBusiness Intelligence

E-Commerce Integration / Marketing Automation / Triggermail / Specialized ESPs

Email Marketing Technologies

Mailserver

Email DeliveryQuality Assurance

Deliverability

Sendout ControlDesign & ContentList ManagementAddress Generation

Form Tools

Address Validation

Rendering and Spam Checks

Special Tools

Content Tools

SMTP Relay

Low Cost Self Service ESPs

Enterprise ESPs

CRM / Lead Management / Omnichannel Tools

Campaign Management Tools

Speed of Change

In der future

the speed of change

will never again be

as slow as now.

Approach

We needspecialized technology

to manage thecomplexity of technology.

Multi ESP / MiddlewareEmail Retargeting

Special ToolsBusiness Intelligence

E-Commerce Integration / Marketing Automation / Triggermail / Specialized ESPs

Email Marketing Technologies

Mailserver

Email DeliveryQuality Assurance

Deliverability

Sendout ControlDesign & ContentList ManagementAddress Generation

Form Tools

Address Validation

Rendering and Spam Checks

Special Tools

Content Tools

SMTP Relay

Low Cost Self Service ESPs

Enterprise ESPs

CRM / Lead Management / Omnichannel Tools

Campaign Management Tools

Managing/Optimizing Subscriber Akquisition (1/2)

Managing/Optimizing Subscriber Akquisition (2/2)

Introduction

Why Email Marketing remains important

Paper Elimination

Device Proliferation

Imperative of Relevance

New Interactivity

Infrastructure Complexity

Q&A

Agenda

XQueue GmbHChristian-Pleß-Str. 11-13D - 63069 Offenbach am Main

T: +49.69 83 00 89 80F: +49.69 83 00 89 89E: frank.strzyzewski@xqueue.com

Thank You much for your time and attention!

Questions?

Thanks