dma client benchmark report 2012 research findings
DESCRIPTION
DMA client benchmark report 2012 research findings. Presentation sponsored by Alchemy worx.TRANSCRIPT
Research findings Fiona Robson, managing director, Rocketseed Anthony Wilkey, strategic client director, Emailvision
#dmaemail
17th May 2012
• Fiona Robson
– Managing Director
– DMA Email Council
– DMA Email Benchmarking Hub
• Anthony Wilkey
– Product Marketing Manager
– DMA Email Benchmarking Hub
DMA Benchmarking Hub
2011: a great year for email
Email in 2011
Report Overview
• Strategic importance of email
• Email marketing budgets
• Barriers to success
• ROI – revenue and relationship
• 2011 key metrics
• Concerns
• Contact strategies
• Segmentation
Strategic value of email
Importance of email
• 90.9%: “Very Important” or “Important”
• Significant increase YOY for B2B
• Recognition for direct response but also longer-term impacts of email marketing
• 62% of marketers satisfied with their email marketing programme
Email:% of marketing budget
Email expenditure
• <10% of total spend for almost half of respondents
• 30% or more of marketing budget for 1/3 of respondents
• 63% expect to increase expenditure
• Increased spend linked with plans for advanced email marketing tactics
• Expected increase in spend in 2011 did not happen
• Is email so cost effective that businesses think investment is not needed?
Barriers to success
Barriers to success
• Internal Resources are the biggest barrier
• In 2010 Budget was top issue (37% vs 26%)
• Lack of data is less of a concern (28% vs 22%)
• In B2B responsibility for email marketing more likely with Senior Staff
• 15% cite lack of involvement of senior staff as a barrier
Email:contribution to revenue
The value of email
• Reported Revenues from email marketing are “disproportionately large”
• For almost half – drives 30%+ of revenue
• 2011 sees an increase in those who can measure revenue from email (61% vs 55%)
– 79% B2C vs 44% B2B
• Increased focus on revenue vs tracking
• Increased awareness of longer-term, brand, relationship impacts
ROI of Email in the Marketing Mix
ROI in the Marketing Mix
• Email marketing is rated as best marketing tactic for ROI
• Newsletters & limited time offers contribute the most to revenue
• Findings concur with other recent surveys: – DMA US estimated Email Marketing’s ROI at
$40.56 for each $1
Relationship in the marketing mix
Relationship in the Marketing Mix• Email marketing is the clear winner, cited by
72% of respondents
• This is exactly double those citing “social networking sites”
• Opens up new value possibilities beyond direct response
• Email as a vehicle for both distributing and creating content
• Complementary channel to social media, requiring an integrated approach
Performance Trends
Performance Outlook
Performance
• Positive trends
• Optimistic outlook
• Stay focussed
• Importance of testing
Satisfaction
Primary Concerns
Satisfaction and Concerns
• Broadly optimistic outlook
• Significant drop in overall concern
• Key challenges– effectively engaging senior management
– highlighting the true value of email
– data and resource management
Contact Frequency
Contact Frequency
Contact Frequency
• Move beyond deliverability
• Mailing volumes remain low
• Focus on contact strategy
• Testing opportunity
Segmentation
Segmentation
• Definition of segmentation changing
• Progress towards personalisation
• Growth of multi-channel
• Emergence of mobile marketing
Conclusions
• Overall email trends and sentiment are positive and improving
• New channels present an opportunity• Investment in email remains relatively
low• Critical to highlight the value of email to
secure additional resources and optimise programmes