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The 2015 State of Email Marketing
Why Email is the Cornerstone of Successful 1to1
Marketing and What you Need to Know to Use it
Effectively
Joel Book
Principal, Marketing Insights
Salesforce Marketing Cloud
jbook@salesforce.com
@JoelBook
Welcome!
www.linkedin.com/in/joelbook/
Safe Harbor
Safe harbor statement under the Private Securities Litigation Reform Act of 1995:
This presentation may contain forward-looking statements that involve risks, uncertainties, and assumptions. If any such uncertainties materialize or if any of
the assumptions proves incorrect, the results of salesforce.com, inc. could differ materially from the results expressed or implied by the forward-looking
statements we make. All statements other than statements of historical fact could be deemed forward-looking, including any projections of product or service
availability, subscriber growth, earnings, revenues, or other financial items and any statements regarding strategies or plans of management for future
operations, statements of belief, any statements concerning new, planned, or upgraded services or technology developments and customer contracts or use
of our services.
The risks and uncertainties referred to above include – but are not limited to – risks associated with developing and delivering new functionality for our service,
new products and services, our new business model, our past operating losses, possible fluctuations in our operating results and rate of growth, interruptions
or delays in our Web hosting, breach of our security measures, the outcome of any litigation, risks associated with completedand any possible mergers and
acquisitions, the immature market in which we operate, our relatively limited operating history, our ability to expand, retain, and motivate our employees and
manage our growth, new releases of our service and successful customer deployment, our limited history reselling non-salesforce.com products, and
utilization and selling to larger enterprise customers. Further information on potential factors that could affect the financial results of salesforce.com, inc. is
included in our annual report on Form 10-K for the most recent fiscal year and in our quarterly report on Form 10-Q for the most recent fiscal quarter. These
documents and others containing important disclosures are available on the SEC Filings section of the Investor Information section of our Web site.
Any unreleased services or features referenced in this or other presentations, press releases or public statements are not currently available and may not be
delivered on time or at all. Customers who purchase our services should make the purchase decisions based upon features that are currently available.
Salesforce.com, inc. assumes no obligation and does not intend to update these forward-looking statements.
Source: Accenture Interactive – CMO Insights (2014)
By 2019, CMOs predict Digital Marketing will
account for 75% of the marketing budget.
The
Connected
Consumer
More Informed.
More Empowered.
More Demanding.
Customers
want a
across
channels!
Although Today’s
Consumers are
Multi-Channel,
they Prefer Email.
Track: Personal Transformation & Growth
#CNX14
of
marketerssay
emailiscoreto
theirbusiness.
Source: Salesforce Marketing Cloud - 2015 State of Marketing
of
marketersare
increasingtheir
emailmarketing
budget.
Source: Salesforce Marketing Cloud - 2015 State of MarketingSource: Salesforce Marketing Cloud -
2015 State of Marketing
of US
internet
users are
email
subscribers.
Source: eMarketer, February 2015
of US
adults prefer
companies to
communicate
with them via
email.
Source: MarketingSherpa, January 2015
of US
adults have
made purchases
after receiving
an offer via
email.
Source: MarketingSherpa, January 2015
Keys to
Effective
Email
Marketing
Grow Your Email Audience
Your email subscriber
database is your most
valuable marketing asset.
Capitalize on every
opportunity to grow your
audience of email
subscribers.
Email is the Backbone of
Dreamfields Growth and Success
Dreamfields is a client of
HyperDrive Interactive
In 10 years, Dreamfields has . . .
 Grown its consumer email subscriber
base to more than 650,000
 Grown its healthcare professionals
email subscriber base to more than
50,000
 Increased sales from 3M pounds/year
to more than 25M pounds/year!
1. Dreamfields Invites
Website Visitors to
Subscribe to Dreamfields’
Monthly Email Newsletter
2. Dreamfields Uses
Social Media to
Attract Potential
Email Subscribers to
its Email Newsletter
Opt-in Landing Page
And Converts 50%!
Academy Sports + Outdoors
is one of the nation's largest
sporting goods and outdoor
retailers and operates stores
in 200 locations throughout
the United States
Academy Sports uses a custom “Lightbox” on
its site to invite non-subscribers to opt-in.
Academy Sports is adding 15,000 new email
subscribers per week
($450K LTV / week)
• Parent company: P. F. Chang’s
• 170 locations in U.S.
• Offers freshly prepared Asian
items influenced by the cuisines
of China, Japan, Korea,
Vietnam, and Thailand.
• Headquarters: Scottsdale, AZ
Pei Wei uses “Direct
Response Text” to
invite guests to
subscribe to Pei Wei’s
email program and
receive a buy-one, get-
one free coupon each
time a new entrée is
introduced.
Bar-Coded Email
Coupons Drive
Consumers to Stores
Campaign Results:
• In two weeks, Pei Wei
generated 18,000 new
email subscribers!
• Produced coupon
redemption rates of 20%!
Deliver Relevant Content
Acquire “first party”
customer data and use it
to predict and deliver
offers, invitations, and
service messages that are
relevant, timely and
helpful.
78% of consumers
are more likely to be
a repeat customer if a
brand provides them
personalized offers.
Source: Infosys
Source: Retail Systems Research
of
consumers
buy more from
retailers who
personalize
across
channels!
Room & Board Uses Digital Marketing
to Accelerate Online and Offline Sales
“If a customer purchases a sofa, we’ll
send an email suggesting a lamp, then
decorative pillows, then wall art and
frames. Our goal is to help a satisfied
customer complete the look she’s
intending to create.”
Kimberly Ruthenbeck, Director of Web Customer Experience
 Delivers personalized recommendations
via Email and the Room and Board website
 Increased average order value by 16%
 Direct conversion from customers who
engage with predictive content is 150%
higher than the site average
Retool for Mobile
Use responsive design to
optimize email
communications and
landing pages for user-
friendly display, navigation
and response on mobile
devices.
of all US
email opens
occur on a
mobile device.
Source: Return Path, 2015
of marketers
say responsive design
is absolutely critical
for successful email
marketing campaigns.
Source: Salesforce Marketing Cloud - 2015 State of Marketing
 Sends more than 2.5 million unique
versions of its daily email!
Personalization attributes include:
• Individual shopping behaviour
• What brands the shopper prefers
• What products the shopper likes
• What offers they don’t respond to
 Personalization of email content
delivers a 12-18% revenue lift!
Beyond The Rack Uses Member Data
to Personalize Email Content to
Member Brand and Product Interests
Before After
Responsive
Design
Increased
Clicks by 18%!
In 2013, BTR
Implemented
Responsive
Design for
Mobile
Optimization
Automate Customer Journeys
Automate customer
journeys for each critical
stage of the life cycle from
product evaluation and
purchase through product
usage and repeat
purchase.
The Customer Experience Life Cycle
Product Purchase Product Use
Brands Must Deliver Relevant Content
at Every Stage of the Customer Experience
New Customer
Onboarding
Customer Service
& Support
Product
Purchase
Product
Research & Evaluation
Remarketing
& Cross-Selling
Customer Journeys Span
All Stages of the
Customer Life Cycle
Repurchase
& Renewal
And Email is the Most
Effective Channel for
1to1 Communication
Salesforce Marketing Cloud Enables Brands
to Build and Automate 1-to-1 Journeys
Unify Data
Build a single view of your customers, integrate
data from any source, and make it actionable
Personalize Journeys
Trigger timely, unique, and meaningful
messages, based on real-time customer behavior
Engage Cross-Channel
Deliver relevant content on every channel
and every device
Analyze Everything
Measure the impact of your business and
optimize every interaction
Optimizing Customer Journeys
Improves Revenue, Referral & Retention
Customer
satisfaction
Revenue
growth
Willingness to
recommend
Less likely to
cancel/churn
*Transforming Customer Experience: From Moments to Journeys, 2013
Jessica Alba has built
The Honest Company
into an international,
multi-faceted lifestyle
brand.
The Honest Company
is currently valued at
$1 billion and employs
more than 300.
In 2012, Fast Company
named Alba one the
100 Most Creative
People in Business.
New Member Welcome Email
The Honest Company’s
welcome email mentions
their company values and
reinforces their brand
promise to their customers.
The email is signed by co-
founders, Jessica Alba and
Christopher Gavigan.
MobileDesktop
New Member Offer
The Honest Company’s
welcome email invites
new members to
sample the company’s
products at a real
discount.
New Member Offer #1 New Member Offer #2
Lifecycle Marketing Campaigns – Cross Promotion
The Honest
Company uses
customer purchase
data + business rules
to trigger cross-
promotion email
offers.
Lifecycle Marketing Campaigns – Cart Abandon
Email #1
Sent 1 day after cart abandon
Email #2
Sent 3 days after abandon if no
purchase since Email #1
Stats:
36% Open Rate
3% CTR
Triggered cart
abandon emails
reengage members
and generate
purchases that might
have been lost.
Know Your Customer
Track customer interactions
at every point of direct
contact and collect data that
enables you to trigger and
personalize email
communications.
Data is the
“Digital Fuel”
for Delivering a
Personalized
Customer
Experience
Explicit Data (Reported) + Implicit Data (Observed)
Channels Applications
Email Email Marketing
Retail Store
Website
Print Advertising
Social Media
Dealer/Agent
Broadcast
Mobile
Mobile Messaging
CRM
E-Commerce
Call Center
Billing
Service
Warranty
Demographic
 Email Address
 Physical Address
 Gender
 Age
 Product Needs & Interests
Customer Profile
Psychographic
Behavioral
 Buyer Persona
 Brand Affinity Persona
 Social Media Persona
 Media/Messaging Opt-in
 Purchase Transactions
 Service Claims / Cases
 Event Attendance
 Campaign Response
 NPV; CLTV
Response to
Facebook Ad
(Facebook Custom
Audience)
Email Signup
via Brand
Website
Welcome Email /
Request for
Needs & Interests
Site Browsing &
Guided Exposure
to Content
Email 1
Triggering
Mobile App
Download
Email 2 & Invitation
for Mobile Push
Sign up
Progressive Profiling Enables Brands to
Learn about the Customer’s Interests and
Deliver Personalized Offers, Information
and Service
ProgressiveProfiling
Twitter:
@MelissaSmith01
Melissa Smith
Postal Address
Email:
MSmith@gmail.com
Preferred Retailer
Birth year
Mobile Phone
Number
Personal Profile
Data
Browsing Behavior
Product Interests
Promotion
Participation
Mobile App
Downloaded
Product Purchase
History
Requested Push
Notifications
Customer Service
History
When customer data is used
to predict and deliver
personalized offers,
Conversion Rates
increase 6 – 9%!
Personalized Content Drives Higher Conversion
Source: 2014 Salesforce Marketing Cloud -
Predictive Intelligence Benchmark ReportEmail
Mobile
Online
A Hard-Wired
Connection
between You and
Your Customer!
Learn what the world’s best sales teams are
doing right.
Get insights from over 1,900 customer
service leaders.
See how wearable tech is grabbing hold of
the enterprise.
View infographics, videos, and more at salesforce.com/research
Discover More Research Insights
The Marketing Cloudcast is the new
Marketing podcast from Salesforce.
Subscribe on iTunes: sforce.co/cloudcast
Interviews with top marketing leaders who
provide their insight on the top trends,
strategies and technologies that are fueling
successful digital marketing.
Get More Marketing Insights—Straight to your Headphones
Joel Book Heike Young
Joel Book
Principal, Marketing Insights
Salesforce Marketing Cloud
jbook@salesforce.com
@JoelBook
Thanks!
www.linkedin.com/in/joelbook/

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091615_Joel Book - DF15 - State of Email Marketing v2

  • 1. The 2015 State of Email Marketing Why Email is the Cornerstone of Successful 1to1 Marketing and What you Need to Know to Use it Effectively
  • 2. Joel Book Principal, Marketing Insights Salesforce Marketing Cloud jbook@salesforce.com @JoelBook Welcome! www.linkedin.com/in/joelbook/
  • 3. Safe Harbor Safe harbor statement under the Private Securities Litigation Reform Act of 1995: This presentation may contain forward-looking statements that involve risks, uncertainties, and assumptions. If any such uncertainties materialize or if any of the assumptions proves incorrect, the results of salesforce.com, inc. could differ materially from the results expressed or implied by the forward-looking statements we make. All statements other than statements of historical fact could be deemed forward-looking, including any projections of product or service availability, subscriber growth, earnings, revenues, or other financial items and any statements regarding strategies or plans of management for future operations, statements of belief, any statements concerning new, planned, or upgraded services or technology developments and customer contracts or use of our services. The risks and uncertainties referred to above include – but are not limited to – risks associated with developing and delivering new functionality for our service, new products and services, our new business model, our past operating losses, possible fluctuations in our operating results and rate of growth, interruptions or delays in our Web hosting, breach of our security measures, the outcome of any litigation, risks associated with completedand any possible mergers and acquisitions, the immature market in which we operate, our relatively limited operating history, our ability to expand, retain, and motivate our employees and manage our growth, new releases of our service and successful customer deployment, our limited history reselling non-salesforce.com products, and utilization and selling to larger enterprise customers. Further information on potential factors that could affect the financial results of salesforce.com, inc. is included in our annual report on Form 10-K for the most recent fiscal year and in our quarterly report on Form 10-Q for the most recent fiscal quarter. These documents and others containing important disclosures are available on the SEC Filings section of the Investor Information section of our Web site. Any unreleased services or features referenced in this or other presentations, press releases or public statements are not currently available and may not be delivered on time or at all. Customers who purchase our services should make the purchase decisions based upon features that are currently available. Salesforce.com, inc. assumes no obligation and does not intend to update these forward-looking statements.
  • 4.
  • 5. Source: Accenture Interactive – CMO Insights (2014) By 2019, CMOs predict Digital Marketing will account for 75% of the marketing budget.
  • 9.
  • 10. Track: Personal Transformation & Growth #CNX14 of marketerssay emailiscoreto theirbusiness. Source: Salesforce Marketing Cloud - 2015 State of Marketing
  • 11. of marketersare increasingtheir emailmarketing budget. Source: Salesforce Marketing Cloud - 2015 State of MarketingSource: Salesforce Marketing Cloud - 2015 State of Marketing
  • 13. of US adults prefer companies to communicate with them via email. Source: MarketingSherpa, January 2015
  • 14. of US adults have made purchases after receiving an offer via email. Source: MarketingSherpa, January 2015
  • 16. Grow Your Email Audience Your email subscriber database is your most valuable marketing asset. Capitalize on every opportunity to grow your audience of email subscribers.
  • 17. Email is the Backbone of Dreamfields Growth and Success Dreamfields is a client of HyperDrive Interactive In 10 years, Dreamfields has . . .  Grown its consumer email subscriber base to more than 650,000  Grown its healthcare professionals email subscriber base to more than 50,000  Increased sales from 3M pounds/year to more than 25M pounds/year!
  • 18. 1. Dreamfields Invites Website Visitors to Subscribe to Dreamfields’ Monthly Email Newsletter
  • 19. 2. Dreamfields Uses Social Media to Attract Potential Email Subscribers to its Email Newsletter Opt-in Landing Page And Converts 50%!
  • 20. Academy Sports + Outdoors is one of the nation's largest sporting goods and outdoor retailers and operates stores in 200 locations throughout the United States
  • 21. Academy Sports uses a custom “Lightbox” on its site to invite non-subscribers to opt-in.
  • 22. Academy Sports is adding 15,000 new email subscribers per week ($450K LTV / week)
  • 23. • Parent company: P. F. Chang’s • 170 locations in U.S. • Offers freshly prepared Asian items influenced by the cuisines of China, Japan, Korea, Vietnam, and Thailand. • Headquarters: Scottsdale, AZ
  • 24. Pei Wei uses “Direct Response Text” to invite guests to subscribe to Pei Wei’s email program and receive a buy-one, get- one free coupon each time a new entrée is introduced.
  • 25. Bar-Coded Email Coupons Drive Consumers to Stores Campaign Results: • In two weeks, Pei Wei generated 18,000 new email subscribers! • Produced coupon redemption rates of 20%!
  • 26. Deliver Relevant Content Acquire “first party” customer data and use it to predict and deliver offers, invitations, and service messages that are relevant, timely and helpful.
  • 27. 78% of consumers are more likely to be a repeat customer if a brand provides them personalized offers. Source: Infosys
  • 28. Source: Retail Systems Research of consumers buy more from retailers who personalize across channels!
  • 29. Room & Board Uses Digital Marketing to Accelerate Online and Offline Sales “If a customer purchases a sofa, we’ll send an email suggesting a lamp, then decorative pillows, then wall art and frames. Our goal is to help a satisfied customer complete the look she’s intending to create.” Kimberly Ruthenbeck, Director of Web Customer Experience  Delivers personalized recommendations via Email and the Room and Board website  Increased average order value by 16%  Direct conversion from customers who engage with predictive content is 150% higher than the site average
  • 30. Retool for Mobile Use responsive design to optimize email communications and landing pages for user- friendly display, navigation and response on mobile devices.
  • 31. of all US email opens occur on a mobile device. Source: Return Path, 2015
  • 32. of marketers say responsive design is absolutely critical for successful email marketing campaigns. Source: Salesforce Marketing Cloud - 2015 State of Marketing
  • 33.  Sends more than 2.5 million unique versions of its daily email! Personalization attributes include: • Individual shopping behaviour • What brands the shopper prefers • What products the shopper likes • What offers they don’t respond to  Personalization of email content delivers a 12-18% revenue lift! Beyond The Rack Uses Member Data to Personalize Email Content to Member Brand and Product Interests
  • 34. Before After Responsive Design Increased Clicks by 18%! In 2013, BTR Implemented Responsive Design for Mobile Optimization
  • 35. Automate Customer Journeys Automate customer journeys for each critical stage of the life cycle from product evaluation and purchase through product usage and repeat purchase.
  • 36. The Customer Experience Life Cycle Product Purchase Product Use Brands Must Deliver Relevant Content at Every Stage of the Customer Experience
  • 37. New Customer Onboarding Customer Service & Support Product Purchase Product Research & Evaluation Remarketing & Cross-Selling Customer Journeys Span All Stages of the Customer Life Cycle Repurchase & Renewal And Email is the Most Effective Channel for 1to1 Communication
  • 38. Salesforce Marketing Cloud Enables Brands to Build and Automate 1-to-1 Journeys Unify Data Build a single view of your customers, integrate data from any source, and make it actionable Personalize Journeys Trigger timely, unique, and meaningful messages, based on real-time customer behavior Engage Cross-Channel Deliver relevant content on every channel and every device Analyze Everything Measure the impact of your business and optimize every interaction
  • 39. Optimizing Customer Journeys Improves Revenue, Referral & Retention Customer satisfaction Revenue growth Willingness to recommend Less likely to cancel/churn *Transforming Customer Experience: From Moments to Journeys, 2013
  • 40. Jessica Alba has built The Honest Company into an international, multi-faceted lifestyle brand. The Honest Company is currently valued at $1 billion and employs more than 300. In 2012, Fast Company named Alba one the 100 Most Creative People in Business.
  • 41. New Member Welcome Email The Honest Company’s welcome email mentions their company values and reinforces their brand promise to their customers. The email is signed by co- founders, Jessica Alba and Christopher Gavigan. MobileDesktop
  • 42. New Member Offer The Honest Company’s welcome email invites new members to sample the company’s products at a real discount. New Member Offer #1 New Member Offer #2
  • 43. Lifecycle Marketing Campaigns – Cross Promotion The Honest Company uses customer purchase data + business rules to trigger cross- promotion email offers.
  • 44. Lifecycle Marketing Campaigns – Cart Abandon Email #1 Sent 1 day after cart abandon Email #2 Sent 3 days after abandon if no purchase since Email #1 Stats: 36% Open Rate 3% CTR Triggered cart abandon emails reengage members and generate purchases that might have been lost.
  • 45. Know Your Customer Track customer interactions at every point of direct contact and collect data that enables you to trigger and personalize email communications.
  • 46. Data is the “Digital Fuel” for Delivering a Personalized Customer Experience Explicit Data (Reported) + Implicit Data (Observed) Channels Applications Email Email Marketing Retail Store Website Print Advertising Social Media Dealer/Agent Broadcast Mobile Mobile Messaging CRM E-Commerce Call Center Billing Service Warranty Demographic  Email Address  Physical Address  Gender  Age  Product Needs & Interests Customer Profile Psychographic Behavioral  Buyer Persona  Brand Affinity Persona  Social Media Persona  Media/Messaging Opt-in  Purchase Transactions  Service Claims / Cases  Event Attendance  Campaign Response  NPV; CLTV
  • 47. Response to Facebook Ad (Facebook Custom Audience) Email Signup via Brand Website Welcome Email / Request for Needs & Interests Site Browsing & Guided Exposure to Content Email 1 Triggering Mobile App Download Email 2 & Invitation for Mobile Push Sign up Progressive Profiling Enables Brands to Learn about the Customer’s Interests and Deliver Personalized Offers, Information and Service ProgressiveProfiling Twitter: @MelissaSmith01 Melissa Smith Postal Address Email: MSmith@gmail.com Preferred Retailer Birth year Mobile Phone Number Personal Profile Data Browsing Behavior Product Interests Promotion Participation Mobile App Downloaded Product Purchase History Requested Push Notifications Customer Service History
  • 48. When customer data is used to predict and deliver personalized offers, Conversion Rates increase 6 – 9%! Personalized Content Drives Higher Conversion Source: 2014 Salesforce Marketing Cloud - Predictive Intelligence Benchmark ReportEmail Mobile Online
  • 49.
  • 51. Learn what the world’s best sales teams are doing right. Get insights from over 1,900 customer service leaders. See how wearable tech is grabbing hold of the enterprise. View infographics, videos, and more at salesforce.com/research Discover More Research Insights
  • 52. The Marketing Cloudcast is the new Marketing podcast from Salesforce. Subscribe on iTunes: sforce.co/cloudcast Interviews with top marketing leaders who provide their insight on the top trends, strategies and technologies that are fueling successful digital marketing. Get More Marketing Insights—Straight to your Headphones Joel Book Heike Young
  • 53. Joel Book Principal, Marketing Insights Salesforce Marketing Cloud jbook@salesforce.com @JoelBook Thanks! www.linkedin.com/in/joelbook/