the strategic formula for email conversion success

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The Strategic Formula for Email Conversion Success Jon Powell Sr. Manager, Executive Research & Development @jonpowell31

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The Strategic Formula for Email Conversion Success Jon Powell Sr. Manager, Executive Research & Development @jonpowell31

h"p://www.emarketer.com/Ar1cle/Email-­‐CTRs-­‐Nothing-­‐New-­‐S1ll-­‐Problem/1012490/9  

“Email  CTRs  dropped  from  6.0%  in  2013  to  4.3%  in  2014—the  lowest  average  since  at  least  2009.”  

Marke&ngSherpa  conducted  a  na&onal  survey  among  2,057  adults  (aged  18  and  over)  on  a@tudes  

towards  Email  Marke&ng.  

4

91%  of  adults  polled  like  receiving  promo.onal  emails.  72%  of  adults  polled  prefer  for  companies  to  communicate  with  them  via  email  over  postal  mail,  

television  ads,  print  media,  text  messages,  social  media,  in-­‐person,  phone  call,  online  ads/videos  or  mobile  apps.

Marke&ngSherpa  conducted  a  na&onal  survey  between  Jan  21st  and  23rd,  2015  among  2,057  adults  (aged  18  and  over)  on  a@tudes  towards  Email  Marke&ng.  

From  This   To  This  

Designing  for  Mobile InteresMng  Experiments

Version A

Vs. Version B

54%  In  Clicks  

Version A Version B Vs.

13%  In  Clicks  

Using  InteresMng  Imagery InteresMng  Experiments

Version A Vs.

Version B

30%  In  Clicks  

Version A

Vs. Version B

52.5%  In  Clicks  

Using  Preheaders InteresMng  Experiments

Version A Version B

Without  preheaders   With  preheaders  Vs.

104%  In  Clicks  

12%  In  Clicks  

Why  is  it  that  these  emerging  strategies  are  working  in  some  

cases  but  not  in  others?

What  really  separates  the  strategies  that  work  from  those  that  don’t?

How  can  I  know  if  what  I’m  trying  in  email  will  help  me  get  more  clicks  and  not  less?

Science-­‐based    Op2miza2on  Ins2tute Conducts  both  primary  and  secondary  media  and  messaging  research  and  strategy  from  actual  behavioral  tests  with  real  customer  data.   20  years  of  ac2ve  research,  including  over:   •  20,000  sale  path  experiments •  1  billion  tested  emails •  500,000  execu2ve  interviews •  2,200  brand-­‐side  case  studies

Science-­‐based    Op2miza2on  Ins2tute Conducts  both  primary  and  secondary  media  and  messaging  research  and  strategy  from  actual  behavioral  tests  with  real  customer  data.   20  years  of  ac2ve  research,  including  over:   •  20,000  sale  path  experiments •  1  billion  tested  emails •  500,000  execu2ve  interviews •  2,200  brand-­‐side  case  studies

People  make  the  same  type  of  judgments  in  the  digital  

experience  as  they  do  in  the  physical  experience.

Science-­‐based    Op2miza2on  Ins2tute Conducts  both  primary  and  secondary  media  and  messaging  research  and  strategy  from  actual  behavioral  tests  with  real  customer  data.   20  years  of  ac2ve  research,  including  over:   •  20,000  sale  path  experiments •  1  billion  tested  emails •  500,000  execu2ve  interviews •  2,200  brand-­‐side  case  studies

It’s  not  about  the  change  in  the  email;  it’s  about  the  change  in  

the  mind.

So  what  can  we  target  in  the  mind  of  the  customer  to  trigger  a  change  of  behavior  (i.e  an  

increase  in  clicks)?

The  Strategic  Formula  for  Email  Success

eme  =  rv(of  +  i)  –  (f  +  a)  ©  eme    =    email  messaging  effec8veness  index          rv    =    Relevance  to  the  consumer          of    =    Immediate  offer  force              i      =    Incen1ve  to  take  ac1on              f    =    Fric1on  elements  in  the  email            a    =    Anxiety  elements  in  the  email  

The  Strategic  Formula  for  Email  Success

eme  =  rv(of  +  i)  –  (f  +  a)  ©  

Today’s  Focus

Today we are going to focus on the 4 elements that don’t cost you anything to adjust.

Relevance The  Strategic  Formula  for  Email  Conversion  Success

eme  =  rv(of  +  i)  –  (f  +  a)  ©  

Relevance

Defini2on  –     The  immediate  compa2bility  of  the  email  message  to  the  recipient’s  mo2va2ons.

Relevance From This To This

Relevance

•  Customers  aren’t  trying  to  open  and  click  your  emails,  they  are  trying  to  eliminate  them.  

•  To  prevent  elimina2on,  the  most  effec2ve  strategy  a  marketer  can  take  is  to  ensure  an  immediate  personal  connec2on  with  the  customer.  

•  This  personal  connec2on  can  be  established  by  referencing  one  of  these  two  levels:

–  A  customer’s  internal  biases

–  A  customer’s  external  events

Key  Observa8ons  

eme  =  rv(of+i)  –  (f+a)  

9%  In  Open-­‐Rate  

26%  In  Click  Rate  

Reference  an  upcoming  holiday…  

eme  =  rv(of+i)  –  (f+a)  

Original  Subject  Line:  Book  now  to  save  up  to  30%  on  hotel  stays  this  December  in  NOLA  

Treatment  Subject  Line:  Holiday  Shopping,  Reveillon  Dinners,  Cathedral  Concerts  and  More  NOLA  Tradi1ons  

From This A  specific  need…  

eme  =  rv(of+i)  –  (f+a)  

To This A  specific  need…  

eme  =  rv(of+i)  –  (f+a)  

150%  In  Click-­‐rate  

From This Or  even  the  size  of  their  dog…  

eme  =  rv(of+i)  –  (f+a)  

To This

410%  In  Click-­‐rate  

13%  In  Daily  Total  Rev.  

Or  even  the  size  of  their  dog…  

eme  =  rv(of+i)  –  (f+a)  

Offer The  Strategic  Formula  for  Email  Conversion  Success

eme  =  rv(of  +  i)  –  (f  +  a)  ©  

Offer

Defini2on  –    The  value  you  promise  in  exchange  for  an  ac2on  (i.e.  a  click)

Offer

eme  =  rv(of+i)  –  (f+a)  

Offer

•  You  may  think  that  the  offer  is  the  product  that  you  want  to  sell.  

•  In  reality,  however,  the  offer  is  the  addi2onal  informa2on  a  customer  receives  in  exchange  for  a  “click.”

•  What  is  the  most  effec2ve  way  to  get  a  click?  

–  Is  it  to  give  them  an  en2re  product  pitch?  Or  just  part?

–  Is  it  to  by  telling  them  more  than  enough?  Or  just  enough?

Key  Observa8ons  

eme  =  rv(of+i)  –  (f+a)  

Version A Version B

Without  preheaders   With  preheaders  Vs.

So  why  did  having  a  pre-­‐header  work  in  one  instance  but  NOT  work  in  another  instance?

Learn how a farm justifies premium…

Version A Version B

Without  preheaders   With  preheaders  Vs.

! Significant  drop  in  offer  force How  appealing  is  learning  about  a  farm,  anyway?  

Case  Studies

Barack Obama Stand with me today

The New York Times Get Unlimited Access to NewYorkTimes.com with Home Delivery

[B2B Software Company] The CFO’s Guide to Assessing Financial Viability

Subject  Lines

From This

eme  =  rv(of+i)  –  (f+a)  

The CFO’s Guide to

Case  Studies

Barack Obama Stand with me today

The New York Times

[B2B Software Company]

Subject  Lines

To This

Get Unlimited Access to NewYorkTimes with Home Delivery .com Free the Online

Hey

13%  In  Opens  

10%  In  Opens  

34%  In  clicks  

16%  In  Dona8on  Revenue  

eme  =  rv(of+i)  –  (f+a)  

Assessing Financial Viability Avoiding the 7 Deadly Stiflers

eme  =  rv(of+i)  –  (f+a)  

51%  In  Clicks  

Case  Studies Body  Copy

From This

eme  =  rv(of+i)  –  (f+a)  

Case  Studies Body  Copy

To This

51%  In  Clicks  

Case  Studies Calls-­‐to-­‐ac2on

From This

eme  =  rv(of+i)  –  (f+a)  

SHOP  NOW  

To This

VIEW  DETAILS   13%  In  Click-­‐rate  

SHOP  NOW   LEARN  MORE   37%  In  Click-­‐rate  

*Bu"on  color  and  style  anonymized  (neither  was  changed  in  the  test,  just  text)  

FricMon The  Strategic  Formula  for  Email  Conversion  Success

eme  =  rv(of  +  i)  –  (f  +  a)  ©  

Fric2on

Defini2on  –     Psychological  resistance  to  a  given  element  anywhere  in  the  email  process.

Fric2on

•  We  oaen  generate  unnecessary  problems  in  our  emails  by  the  amount  of  content  we  have  and/or  the  way  we  display  it.  To  the  customer,  this  is  perceived  as: –  Unnecessary  Difficulty

–  Unnecessary  Length

•  In  most  cases,  the  objec2ve  is  to  minimize,  not  eliminate  fric2on.    If  you  eliminate  all  fric2on,  you  eliminate  “the  click.”

Key  Observa8ons  

eme  =  rv(of+i)  –  (f+a)  

Case  Studies From This

eme  =  rv(of+i)  –  (f+a)  

Case  Studies To This

7.5%  In  Click-­‐rate  

10.4%  In  Click-­‐rate  

3.6%  In  Click-­‐rate  

8.8%  In  Click-­‐rate  

33.7%  Cumula2ve  Increase in  Click-­‐rate

PRODUCT  B    

IMAGE  

[PRODUCT  B  NAME] [Product  Category  Referenced  Above]

eme  =  rv(of+i)  –  (f+a)  

Three  word  headline.

We’re  the  2015  TripAdvisor  Travelers’ Choice  for  [Specific  Product  Category]

PRODUCT  A  IMAGE  

[PRODUCT  A  NAME] [Product  Category  Referenced  Above]

Our  [PRODUCT  A  NAME]  is  reengineered  for  life  on  the  go.  We  improved  the  [travel  feature],  and  then  added  beher  [feature],  another  [feature]  plus  a  [final  feature].

•  [Use  feature  A  for]  the  road,  rail,  air  and  engine  noise  to  add  some  peace  to  your  journey

•  [Use  feature  B]  for  the  [ac2vity]  you  love •  [Use  feature  C]  to  achieve  [specific  ac2vity] •  [Use  feature  D]  to  achieve  [another  ac2vity]  you  love

VIEW  DETAILS  

•  [Use  feature  A  for]  the  road,  rail,  air  and  engine  noise  to  add  some  peace  to  your  journey

•  [Use  feature  B]  for  the  [ac2vity]  you  love •  [Use  feature  C]  to  achieve  [specific  ac2vity] •  [Use  feature  D]  to  achieve  [another  ac2vity]  you  love

VIEW  DETAILS  

From This

Case  Studies

PRODUCT  B    

IMAGE  

[PRODUCT  B  NAME] [Product  Category  Referenced  Above]

eme  =  rv(of+i)  –  (f+a)  

12%  In  Click-­‐rate  

Three  word  headline.

We’re  the  2015  TripAdvisor  Travelers’ Choice  for  [Specific  Product  Category]

PRODUCT  A  IMAGE  

[PRODUCT  A  NAME] [Product  Category  Referenced  Above]

Our  [PRODUCT  A  NAME]  is  reengineered  for  life  on  the  go.  We  improved  the  [travel  feature],  and  then  added  beher  [feature],  another  [feature]  plus  a  [final  feature].

•  [Use  feature  A  for]  the  road,  rail,  air  and  engine  noise  to  add  some  peace  to  your  journey

•  [Use  feature  B]  for  the  [ac2vity]  you  love •  [Use  feature  C]  to  achieve  [specific  ac2vity] •  [Use  feature  D]  to  achieve  [another  ac2vity]  you  love

VIEW  DETAILS  

•  [Use  feature  A  for]  the  road,  rail,  air  and  engine  noise  to  add  some  peace  to  your  journey

•  [Use  feature  B]  for  the  [ac2vity]  you  love •  [Use  feature  C]  to  achieve  [specific  ac2vity] •  [Use  feature  D]  to  achieve  [another  ac2vity]  you  love

VIEW  DETAILS  

To This

Case  Studies

Vs. Non-Mobile Mobile

For  the  non-­‐mobile  version,  the  difficulty  experienced  by  the  customer  (pinch-­‐to-­‐zoom  +  scroll)  is  

unnecessary.  

Non-mobile

Vs. Mobile

54%  In  Clicks  

So  why  did  having  a  mobile  design  work  in  one  instance  but  

NOT  in  another?

Non-mobile

Vs. Mobile

54%  In  Clicks  ! Mobile  design  increases  importance  of  content

The  mobile  design  increased  read  rate,  thus  pu@ng  more  weight  on  content  (for  worse  in  this  case)  

Anxiety The  Strategic  Formula  for  Email  Conversion  Success

eme  =  rv(of  +  i)  –  (f  +  a)  ©  

Anxiety

Defini2on  –     Psychological  concern  s2mulated  by  a  given  (or  unaddressed)  element  in  the  email  process.

Anxiety They’re  just  hard  water  stains…

eme  =  rv(of+i)  –  (f+a)  

Anxiety

•  Anxiety  is  just  as  lethal  to  conversion  as  fric2on.

•  Try  and  mi2gate  anxiety  ra2onally  and  you  are  likely  to  fail…

–  Though  created  from  legi2mate  concern,  its  impact  in  the  mind  is  oaen  dispropor2onate  to  the  reality  of  risk.  

•  In  email,  anxiety  is  most  oaen  experienced  as  a  form  of  intense  “knee-­‐jerk”  skep2cism  and  cau2on.

Key  Observa8ons  

eme  =  rv(of+i)  –  (f+a)  

Text-heavy Image-heavy Vs.

When  compared  to  the  text-­‐heavy  email,  the  image-­‐heavy  email  feels  like  an  irrelevant  ad.

Case  Studies To This

60%  In  Click-­‐Rate  

159%  In  Comple8on  Rate  

From This Anxiety

eme  =  rv(of+i)  –  (f+a)  

Balanced imagery Vs. Heavy

imagery

So  why  did  heavier,  ad-­‐like  imagery  work  in  this  case?

Vs.

! Increase  in  relevance  for  exis2ng  customers This  email  was  sent  at  the  beginning  of  fall  to  a  list  of  customers  with  an  established  rela&onship.  

Case  Studies

252%  In  Conversion  

152%  In  Revenue/Visitor  

Anxiety

eme  =  rv(of+i)  –  (f+a)  

Approach A Approach B

Case  Studies From This

Anxiety

eme  =  rv(of+i)  –  (f+a)  

eme  =  rv(of+i)  –  (f+a)  

Case  Studies To This

151%  In  Click-­‐Rate  

Anxiety

eme  =  rv(of+i)  –  (f+a)  

Final  Case  Study The  Strategic  Formula  for  Email  Conversion  Success

Final  Case  Study

Background:  A  web  tool  that  lets  you  quickly  create  and  customize  Bible  studies.

Goal:  To  increase  click-­‐through  rate

Research  Ques2on:  Which  email  will  produce  the  highest  click-­‐through  rate?

Approach:  A/B  split  test

!  

Brand:  SmallGroup.com Loca2on:  Marke2ngExperiments  Research  Library Protocol  ID:  Pending

But here’s the problem: In the busy day-to-day of church life, the time you have to work on Bible studies is often stretched thin by other ministry needs. That’s why our team created smallgroup.com: a convenient web tool that lets you quickly create and customize Bible studies.

We would love for you to try smallgroup.com free for two weeks. During your preview, you can build up to eight customized studies to try out in your groups.

Try it free for two weeks!

You’re serious about discipleship. That makes two of us.

Start My Free Preview

But here’s the problem: In the busy day-to-day of church life, the time you have to work on Bible studies is often stretched thin by other ministry needs. That’s why our team created smallgroup.com: a convenient web tool that lets you quickly create and customize Bible studies.

We would love for you to try smallgroup.com free for two weeks. During your preview, you can build up to eight customized studies to try out in your groups.

Try it free for two weeks!

You’re serious about discipleship. That makes two of us.

Start My Free Preview

We would love for you to try smallgroup.com free for two weeks. During your preview, you can build up to eight customized studies to try out in your groups.

Try it free for two weeks!

Start My Free Preview

Add your logo/colors and share instantaneously.

You’re serious about discipleship. That makes two of us.

But here’s the problem: In the busy day-to-day of church life, the time you have to work on Bible studies is often stretched thin by other ministry needs. That’s why our team created smallgroup.com: a convenient web tool that lets you quickly create and customize Bible studies.

In the busy day-to-day of church and small group life, the time you have to work on Bible studies is often stretched thin. That’s why our team created smallgroup.com: a web tool that lets you quickly create and customize Bible studies that fit your style and approach.

See how it works

From This To This

Final  Case  Study

Email  Design   Total  Click  Rate   Bu"on  Click  Rate  

Original   0.8%   0.2%  

Treatment   1.1%   1.0%  

 %  Rela1ve  Change:   42%   358%  

 Increase  in  Buhon  Clicks

358%

The  email  design  improved  using  elements  of  the  strategic  formula  produced  a  staMsMcally  significant  increase  in  bucon  clicks  and  total  clicks.

Key  Takeaways The  Strategic  Formula  for  Email  Conversion  Success

Summary

•  Customers  aren’t  trying  to  open  and  click  your  emails,  they  are  trying  to  eliminate  them.  

•  To  prevent  your  emails  from  being  prematurely  dismissed  by  customers,  you  must  significantly  increase  perceived  value  and  significantly  decrease  perceived  cost.  

•  You  can  achieve  this  when  you  use  the  email  effec2veness  index  as  a  strategic  guide  to  op2mizing  and  crea2ng  your  email  campaigns.  

Key  Observa8ons  

MECLABS.com/CNX15

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