canada post/ uniteu/ freshaddress webinar
TRANSCRIPT
CASL, Omnichannel
Marketing, and the
Pre-Holiday POS
Mishaps to Avoid
Mike Montrose
VP Marketing and SalesMiranda Paquette
Manager, Compliance & PrivacyMichael Dreyfus
Business Development Manager
Ecommerce is exploding – 30% of Canadians buy online at least 1x per month
By 2018, the average Canadian online spend is expected to increase by 37%
In 2013 – Canada Post delivered over 150 million parcels – with unmatched reach to
35 million Canadians
Holiday 2013 we delivered 1 million parcels in a single day… 9x’s.
A milestone achieved just once in the previous year.
Canada Post Ecommerce Growth
Key Industries 2014 Parcel Volume Increases
FashionHouse wares
Health & Beauty Electronics
25% 28% 12%10%
Source: YOY parcel volume growth – 2013 to 2014. Data derived from 2,014 ecommerce customers within 9 key industries
…versus all of Canada 20%
Toys & Hobbies
23%
This active audience represents the greatest opportunity for you to drive
ecommerce revenue
The Power of Data
Ecommerce buyers are:•high income•Married with children•University Degree•Own home, single or semi, and newly built
•Target the top 10 active percentile.
8
Male
37%
Female
63%
All Online Buyers Recent Online Fashion Buyers
What are Their Demographics?
Canadian online buyers demographics:
All stats are from Canadian e-Shopper Experience, Canada Post Study 12-209, September 2012.
1%
7%
15%
18%
19%
23%
17%
6%
10%
17%
20%
27%
19%
Prefer not to say
65+
55–64
45–54
35–44
25–34
18–24
EducationAge
2%
12%
38%
26%
21%
2%
14%
42%
23%
18%
Prefer not to say
Professional/Post
graduate degree
College /
University
Some College /
University
High school or
less
9
P3M Online Buyers
P3M Frequent Online Buyers
What are Their Demographics? Frequent online buyers tend to be younger and more educated than the average
online buyer.
What They Think About Shopping
81%
80%
75%
69%
65%
62%
58%
57%
42%
Researching/browsing to compare prices is easier online
than in physical stores
More likely to make additional purchases from online
retailers that offer special products or shipping discounts
or rewards
Browsing online provides a greater selection than physical
stores
Shopping and buying online is more convenient than
physical stores
A negative experience with an online retail site will cause
unwillingness to visit their physical store
I appreciate getting purchases immediately from physical
stores compared to buying online and waiting for shipment
More likely to make additional online purchases from
retailers who remember my purchases /make suggestions
based on previous purchases
Buying online is less expensive than buying in physical
stores
I appreciate the personal in-store service compared to
having to research products/ services online 10
51%
55%
60%
67%
76%
79%
81%
82%
82%
82%
51%Flexibility to re-route package
Flexibility to choose delivery date
Availability of live customer service
Number of delivery options offered
Ability to create an account to track past purchases
Ease of making returns/exchanges
Online tracking ability
Clear returns policy
Variety of brands/products
Ease of check-out
Free/discounted shipping
What Online Buyers View as Important
11
Variety of brands and products is viewed just as importantly as free or discounted
shipping. Canadians don’t have access to many U.S. brands, and a number of
shoppers seek to access them internationally.
34%
39%
43%
44%
55%
63%
The package will not be safe before I arrive home
Having to go to another location to pick it up
The package may be damaged en route to me
Having to be home when the package is delivered
My ability to assess the quality of the item
The shipping costs will be too high
What Concerns Canadian Online Shoppers?
12
How They Want to Receive Communications
13
Interest in Receiving Promotional Items
% rating 5, 6, or 7
47%
57%
72%67%
72%
39%
60%63%
57%
66%
Newsletter
communications
Product catalogue Notices of
upcoming sales
Points or reward
program
Sales offers and
coupons
Digital Physical
There’s high interest in receiving more information from online fashion retailers where they
have made a purchase. Digital holds the edge, but physical holds its own. Not surprisingly,
there is a slight preference for receiving catalogues physically.
Commercial Electronic Messages = CEMs
• Rules apply to:
Commercial electronic messages (CEMs)
Sent to
electronic addresses
What are the Anti-Spam Rules?
•Prohibited to send CEM unless:
The person consents (can be implied or express)
The message includes:
• identification information
• contact information
• unsubscribe mechanism
What are the consent rules?
Can be implied based on existing business relationship
Express (opt-in)
Can be orally or in writing but business has burden of proof
No consent via email after the legislation is in force
Must get separate consent for each activity
Exceptions that may apply• Seven exceptions to CASL likeliest to apply to
marketing activities:1) Current business relationship (b2b)2) Business inquiries or applications3) Response to request or complaint4) Conspicuous publication*5) Existing business relationship* (b2c)6) Disclosed email addresses*7) Referrals*
• *time limited and/or must still comply with content requirements
Four steps to be compliant
1) Format and content changes to outbound messages:identify all senders
include contact information
include opt out
2) Consumer re-permission or purge
3) Use of third-party data
4) Backend data management
Data Management
Backend data management requirements:
Record consents
Capture time limits for all implied consents
Create a 1-click unsubscribe function
Capture unsubscribe requests and action w/i 10 days
Contact info link active for 60 days
Express Consent
Dear Sam Smith, Canada is set to enact new anti-spam legislation which, when it comes into force, will regulate the distribution of electronic messages. To comply with this new law, Santa Claus Inc. is required to obtain your consent in order to continue to send you e-communications from our firm. This may include newsletters, publications, announcements, invitations and other news or information.
Please use the button below to confirm your consent to receive emails and other electronic exchanges, as outlined above, from Santa Claus Inc.
If at any time you would like to withdraw your consent or update your profile and preferences, you can do so by clicking here or by contacting us directly.More information on Canada’s new anti spam law can be obtained by visiting: http://www.crtc.gc.ca/eng/archive/2012/2012-183.htm.Please do not hesitate to contact us for more information.
Thank you for your attention to this matter.
Santa Claus Inc. Phone: 416 555-1212• Fax: 416 555 1212 •santa
[email protected] Santa Plaza, 1 Candy Cane Lane, Canada HOHOHOwww.santaclause.ca
View our privacy policy.
Next Steps
Inventory your campaigns & determine:o Is it a CEM?
o Do we need consent?
o Do we need special content?
o Do we need an unsubscribe?
o Is there an exemption we can use?
If you have consent determine:o Do we know when and how we got consent?
o What is our relationship with this group of individuals
o Purge or refresh consent where you can before the legislation comes into force
Make sure you have back-end data management that can support compliance.
FreshAddress brings the power of real time email validation to retail POS
Guarantees that all collected email addresses are 100% valid and deliverable
360 solution for your omnichannel digital marketing linking POS, mobile POS and e-Commerce
What does the term “Omnichannel Strategy” really mean for retailers?
SOLVING THE MYSTERY
Consistent customer experience
Inventory Management
Loyalty Programs
Digital Receipts
Suggestive Upsell
Flexible Product Return
Targeted email marketing
Social media
Maximum monetization of the customer relationship
If your omnichannel strategy does not make you money its just a bunch of fluff
What is the most important component of an Omnichannel strategy to a retailer?
Customers Email Address
Three biggest advantages of email
1. Email is the most efficient marketing method with the largest trackable ROI
2. It costs $0.0017 to send an email vs $0.35 to send a marketing piece via postal mail
3. Email allows the retailer to monetize their relationship with the customer after they have left their store or their website
Consistent customer experience Digital Receipts Inventory Management Loyalty Programs Flexible Product Return Suggestive Upsell
The email address is the keystone of any Omnichannel strategy
What can go wrong when collecting the customers email?• Typos• Syntax errors• Transposition• Toxic emails (spam traps, DMA – Do Not Email List, etc.)
Most common email address collection points utilized by retailers
In store POS
In store mobile POS
Smart phone
Retail web site
What can happen when sending an invalidated email campaign?• Degraded reputation with your ESP (email service provider)• Most of your emails going to spam folder not inbox• Marketing campaign shutdown by ESP• Black listed by ESP
Most importantly: What happens when the customer email address is entered incorrectly?
• The retailer has no way to reach the customer after they have left the store or web site• There is no way for the retailer to monetize their customer relationship post visit• Low ROI on money spent to attract a customer to the retailers store or web site
Brick & Mortar
POS
Brick & Mortar
Mobile POS
Web
E-Commerce site
Mobile
E-Commerce site
CONSUMER
Email Collection Sources
70% VALID
Email Addresses
35% TOXIC
Email Addresses
Marketing Database
ESP
Email ServiceProvider
INBOX
SPAM
Folder
EmailRecipient
Without email validation 35% of all collected email addresses will be undeliverable
Every campaign run by the retailer will have bounces and decrease ESP reputation
As ESP reputation worsens more emails are sent directly to recipients SPAM folder
GoodReputation
BadReputation
Messaging costs will remain the same while revenue declines with each campaign
ESP
$$$$$$Revenue
NoRevenue
CampaignROI
Industry statistics on error rates for email addresses collected by retailers• 35% of POS collected emails are unrecoverable/invalid• 12% of web site collected emails are unrecoverable/invalid
Brick & Mortar
POS
Brick & Mortar
Mobile POS
Web
E-Commerce site
Mobile
E-Commerce site
CONSUMER Marketing Database
Loyalty Program
Omni-Channel
Email Marketing
Digital Receipts
Email Address
Acquisition Points
CONSUMER
Email Address
Utilization Points
Email Address
Consolidation Point
POS
% of invalid emails
35 %
Mobile POS
% of invalid emails
35 %
E-Commerce
% of invalid emails
8 %
Mobile E-Commerce
% of invalid emails
10 %
Toxic emails
Undeliverable email
Inaccurate
campaign ROI
Undeliverable digital
receipts
Inaccurate loyalty
point tracking
Poor customer
service
Duplicate customer
records
Database
contamination
Negative impact on
ESP reputation
Emails routed to
SPAM folders
Blacklisting
ESP send charges
even for bad emails
Digital Email Marketing Campaign NO ValidationWith Validation
POS
% of invalid emails
0 %
Mobile POS
% of invalid emails
0 %
E-Commerce
% of invalid emails
0 %
Mobile E-Commerce
% of invalid emails
0 %
No Duplicate
customer records
No Database
contamination
Positive impact on
ESP reputation
Emails routed to
Inbox folders
No Blacklisting risk
ESP send charges
even for bad emails
All emails 100%
SafeToSend
All emails 100%
deliverable
Accurate
campaign ROI
All digital receipts
100% deliverable
Accurate loyalty
point tracking
Great customer
service
900,000600,000
Retailer spends money to collect 900,000 customer email addresses
Email marketing without validation is a waste of money, time and resources
300,000 Due to the 35% POS error rate one third of the email is unrecoverable
One third of the money used to acquire customers email has been wasted
ESP charges to send 900,000 emails regardless of how many are actually delivered
One third of the money used to send emails to customers has been wasted
Emails Emails Open Conversion Average Total
Sent Delivered Rate (4%) Rate (2%) Transaction Revenue
No Email Validation 900,000 600,000 24,000 480 $45 $21,600
With Email Validation 900,000 900,000 36,000 720 $45 $32,400
Email marketing campaigns with email validation yield 30% more revenue
In the example above the campaign with email validation generated $10,800 more than the campaign without email validation
Examples of real time email validation within a POS environment
The examples on the following slides show email validation on an in store POS terminal.Same functionality is available on mobile POS and e-Commerce solution
Collins
Phil
Master Customer Record
Invalid email address entered
Customer is not found in database and sales clerk fills in customer contact information in the master customer record
Collins
Phil
[email protected] Invalid email address detected
Correct email is suggested
Sales clerk mistakenly enters the wrong email address where ‘Gmail’ is misspelled. The system automatically detects the error in real time, alerts the clerk and offers a correction.
Collins
Phil
[email protected] Automatic correction
The email address field is automatically updated with the correct email address ensuring that 100% of all collected emails are valid and deliverable
Springsteen
Bruce
[email protected] Email address does not exist
Real time validation can also determine if an email address actually exists, registered with the email service provider and accepting incoming messages.
Tyler
Steven
[email protected] Email address does not exist
Other common mistakes made in a hectic retail environment are syntax errors, typos and transpositions. Real time validation flags these errors so they can be corrected.
This is an example of our integration with a mPOS and e-commerce platform.Email validation can be done is real time as well as batch.
Questions?
Contact us!
Cari Wegner
Dedicated SendReady Rep
Andreas Schwartz
Senior Manager, Direct Marketing
Michael Dreyfus
Business Development Manager