Some marketers feel that if a member of their email list has been inactive for a great length of time, that the list might be better served by deleting the name -- even if the list member themself has not requested to be unsubscribed. This has to do with the ego and expectations of the list owner more than the preference of the list member.
They say:
Inactive list members create lower percentages of open rates
Inactive list members lower the ratio of clicks
Inactive members lower the percentage of return on investment
You know what else inactive list members can do? Account for 10% of your total annual sales, or even generate over $115,000 in a single campaign!
The DMA Email Marketing Blog has an interesting post up redefining "inactives" as "emotionally unsubscribed." They cite several instances where a significant number inactive list members have been triggered to take action based on their personal 'itch cycle.'
In one case, over $115,000 dollars was generated by making a special offer (a really great offer) to those list members who'd not click on the previous 25-40 past offers. Another statistic showed that over 10% of the revenue generated in 2008 had been contributed to the bottom line by list members who had not opened or clicked a single message in the previous year.
The lesson is to not over-obsess about inactive members on your list. Just because not everyone feels compelled to read every single missive you send, doesn't mean they won't remember you when their needs match your offers.
Read a great article in the latest MarketingProfs "Get To The Point" newsletter on Marketing Analytics. They recap a post from the Email Experience Blog on measuring the success of email marketing campaigns. This specifically addresses email, but the principle applies to ALL marketing efforts and the importance of pre-establishing metrics for success.
The blog post says data gathered on email marketing campaigns might not be as useful as you think. "Real danger lurks in not measuring the right factors or not measuring accurately. You could suffer lost revenue. You might not know which messages are working. And your sales team won't know what to focus on."
There are just SO many different things you can measure in marketing (especially online marketing), that it's extremely difficult to agree upon industry benchmarks in order to make effective comparisons. People are focusing on impressions or clicks or only those clicks that lead to a single sale.
The purpose of any marketing is to trigger an ACTION. Actions could include:
Forward to a friend
Signing up for a mailing list or additional informaiton
Visit to a physical store location
Attend an event
Buy a product
It's vital to have a clear view of your client's specific goal for the campaign's marketing message and for the results on which the campaign will be judged. In order to meet those goals, tools must be in effect to capture the correct data by which effectiveness can be judged. As they say in the article... "If you can't measure it, you can't improve it."
The expectation of SOME advertising clients is that they are entitled to free radio spots, van stops, on-location broadcasts, web banners, email blasts, etc. that all seem to fall under the mysterious category of "Value Add" -- simply because they bought an advertising schedule. This expectation is utterly ridiculous. I don't know how media companies (especially Radio) ever let themselves get roped into this one-sided deal. What happened to the "win-win" deal?
Clients like this are either asking the media outlet to outright LIE to them about their "real" price (by hiding the costs of all the freebies deep within the traditional spot costs), or they really believe that media companies can afford this sort of "buy and bribe" practice.
My opinion has always been that this sort of "value add" would NEVER be permitted in any other business. Can you imagine walking into McDonald's and ordering a "Value-Add Meal?" That's where you buy the fries and drink and they give you the burger (and some McDonaldland Cookies) for free.
What about going to the movie theater and buying two tickets to see a show, and then expecting to receive free popcorn and Snowcaps from the refreshment stand?
Buying a new car and getting a boat for free?
Why are media companies (hello, Radio!) the only ones expected to do these sorts of things? The next time you have a client hitting you up for a bribe... er... I mean "value add" send them a link to the video below. Perhaps they gain a little insight into just how outlandish these expectations really are.
You want to offer your clients some REAL value-add? The added value I bring to MY clients is that of creativity, experience, marketing savvy, and personal dedication to help them grow their business. If they're really interested in elevating the success of their company -- I want truly to help them solve their toughest marketing challenges. If, on the other hand, they just want the cheapest rates and to have the station van out on a Saturday handing out balloons and hotdogs (or worse yet -- will only buy into an advertising campaign to get seats at the next game or concert) they really aren't seriously interested in their marketing success so much as getting all the "free stuff" they can from the media company. If their business can be earned by those sorts of bribes, they really aren't a client that I'd be interested in working with. Let them pick someone else's pocket.
I'm a creative marketing professional that works tirelessly for my clients, and I expect a fair rate for my services. How about you?
