Chapter 6 - Increasing Your Profits through Email Marketing

Off the web, mail marketing is hated by customers. It’s unwanted, uninvited and stuffs mail boxes. But it’s pretty clear that it’s also incredibly popular with advertisers. Why? Because while most potential customers toss away their junk letters with barely a glance, enough take action to make it all worthwhile. They do buy-and in high enough numbers to more than cover the cost of those who don’t.

Email marketing is pretty similar, but with one important difference: on the web, you can only send marketing emails to people who have already chosen to receive them. A bit tricky. On the other hand, because those people have already chosen to receive your emails, you can be confident that they’re going to buy.

In this chapter, you will read how to produce marketing material that gets results!

6.1 Collecting Opt-In Email Addresses

Email is still the most popular and most used application on the Internet. It’s also an efficient means of distributing your message to large numbers of people who have requested that information. As a form of marketing, it generates high response rates-and gives you measurable results with instant feedback.

But because email marketing been so abused, it’s just not accepted any more to send emails to people who haven’t chosen to receive them. Bust that rule, and there’s a good chance you’ll be out of business. That gives you the problem of building up a list of willing subscribers.

When you’re first starting out, there’s often a temptation to simply purchase an opt-in email list. Lots of people sell them and you can easily pick up a million or so addresses for just a few bucks. But while that may appear to be a fast, easy way to build up customers, the names on the list may not be up to date, or even opt-in contacts at all. You could very well find yourself inadvertently spamming.

Similarly, there are also programs that surf the Net, recording every email address they find. These will let you quickly build up a huge list of e-mail addresses-none of whose owners will thank you when you stuff their inboxes with marketing material. Forget about them; they’re not worth the effort. It’s much safer, and much more effective, to take the time to build your own list.

6.2 Double Opt-in

Marketing by e-mail can attract new customers, keep existing ones, upsell, cross-sell, and cut costs. E-merchant Wine.com, for example, found e-mail campaigns drove twice as many "best prospects" to their site compared to banner ads or other Internet marketing programs.

If executed improperly though, e-mail campaigns can backfire with disastrous business consequences. How to minimize the risk and maximize the return? Part of the answer is a common sense approach called "permission" or "opt-in" marketing, in which customers or prospects volunteer to receive e-mail.

The odds of users joining a list can be improved by providing three opt-in opportunities, all with low entry barriers. First, there should be minimal sign-up work. Many sites require only an e-mail address; all other personal information is optional. Second, there should be several sign-up opportunities on a site, including on the inquiry, order, and feedback forms. These forms may use a checkbox asking prospects if they would like to receive occasional special offers/newsletters by e-mail. If so, it must be placed conspicuously on the form. Third, a privacy policy that addresses what will be done with user information should be posted in an obvious place.

Continuing on the lines of "opt-in" marketing, one of the most successful methods is the double opt-in technique. In double opt-in a user elects to receive e-mail newsletters or standalone commercial messages. A confirmation e-mail is sent to that user, who is not required to take further action to be included on the list. The confirmation e-mail includes an opportunity to unsubscribe or opt out.