November/December
Home
Up
January
February
March
April
May
June
July/August
September
October
November/December

Sarah Stambler's

E-Tactics

® Letter

November/December, 2004
Volume 14, Issue 1

Is Direct Mail Slated For A Come Back?

I’ve been hearing this in different corners on the DM community. I’ve missed out on some luncheons on this topic recently. But I came across this article by Drew Nisser of Renegade Marketing in the Imedia newsletter on 12/7/04 and thought I’d let you ponder his thoughts:

"If 2004 was the year of online search, 2005 will be the year marketers rediscover direct mail. Although search will most likely see double-digit growth again in 2005, its growing popularity also means rising prices as the most popular search terms (a finite resource) are auctioned off to the highest bidders. As prices rise, effectiveness will decline and marketers will re-visit other channels like classic direct mail. Direct mail will also benefit from the certain implosion of email, the big loser of 2005, as spam filters protect us from all but the friendliest of missives. Savvy email marketers will try to fight this trend by offering better quality and less frequent correspondence hoping to maximize their effectiveness. DoubleClick, for example, recently announced a way for online retailers to take advantage of purchase confirmation emails, one of the few emails that are almost always opened."

If search and email reach their limits as Drew describes above, it’s back to paper and ink and postage? I’m not so sure. Certainly for very deep-pocket marketers it is. But e-commerce has spawned a new strata of entrepreneurs who have little experience or need for direct mail marketing.

Recently a feature I’ve come to use and like very much is the "Call Me Now" button on my bank’s web site. The call comes immediately with no heavy menu on the front end , it’s actually a delight. Maybe we’re going to enter an era of permission telemarketing. Emails that entice recipients to invite a follow up call. Web sites that coax surfers for the call. Now there’s more interaction than ever. And I would think call centers need this business!

It just seems like a big 360 turnaround for us to develop this wonderful online world and go back to cluttering up paper mail boxes because we’ve blown our resources on line.

Top

AND TO OUR NEXT FRONTIER - 
The Invasion of mobile devices begins….

Snapple Converts Text-Messages to Sales

Cadbury Schweppes Americas Beverages generated a 33% sales conversion rate, selling Snapple brand beverages with a direct text-message sweepstakes campaign targeting thirsty 18 to 24-year-olds last summer.

Participants registered at the Snapple.com Web site to begin receiving text-message notifications of winning sweepstakes numbers printed on the insides of bottle caps. The cable television stations MTV and VH1 were also used to promote the sweepstakes and generate online requests for text-message alerts.

"Mobil marketing is becoming an established method for capturing the imagination of the youth market now that penetration is so high," said Kristen Marshall, Snapple brand manager in a prepared statement.

Outbound text-messages were sent to cell phones at lunchtime and other peak beverage purchasing times to announce the winning numbers. The campaign was organized by Enpocket, a New York-based mobile-media marketing firm

Ninety-three percent of the text-messages sent out were read and about one-third of these consumers subsequently purchased a Snapple brand product. The text-messages encouraged recipients to purchase special "play Snapple" bottles to participate in the sweepstakes.

(As appeared in DirectNewsline 11/2/04)

Top

QUICK STATS ON EMAIL TRENDS FROM DOUBLCLICK EMAIL TREND REPORT:

    • Year-on-year figures show an increase in delivery rates and a decline in open rates and click-through rates
    • For all mailers, the latest trend report shows continued stability in overall email performance over the past two years
    • click-to-purchase conversion rate grew 23.5 percent or 0.8 points year-over-year, from 3.4 percent in Q3 2003 to 4.2 percent in Q3 2004
    • average number of orders per email delivered rose 17 percent or 0.04 points year-over-year to 0.28 percent in Q3 '04 from 0.24 percent in Q3 '03.
    • revenue per email delivered declined year-over-year to $0.21, a 19.2 percent drop, while the median order size, declined 6.9 percent year-over-year to $94 in Q3 2004.

Top

WHERE'S THE MONEY?  

With search ads a booming business, Google's lack of revenue diversity hasn't been a problem. But many industry analysts believe this market could significantly decelerate in the next year or two. Researcher eMarketer predicts growth of such search ads in the U.S. could slow from 55% this year to 19% in 2005. Although overseas growth will continue at a faster clip, the looming domestic slowdown shines a spotlight on Google's lack of other businesses.

Such concerns certainly aren't lost on Google. The search giant has been rolling out a number of new products, from its ad-supported e-mail offering dubbed Gmail to new software that searches users' computer hard drives. While these are interesting technology bets, they have yet to show serious money-making potential.

No question, Google has far exceeded expectations thus far as a public company. Its stellar performance has muted many of its skeptics. But while Google has made a case for a stock price in the $125 to $150 range, investors who dare to buy near $200 are probably taking a mammoth gamble.

http://www.businessweek.com/technology/content/nov2004/tc2004115_9975_tc015.htm

Top

What Comes Before Search? 

This white paper covers online behavioral targeting, presented by The Wall Street Journal Online. Jeremy Helfand, SVP at Advertising.com calls it a "must read for any marketer looking to understand today's behavioral targeting landscape." Download Now.

Top

Men Are The Big Buyers Online….

Married women, nearly all of whom believe they do most of their family's online shopping, will be surprised to learn that men browse and shop online more frequently than women do, according to an American Online report recently released.. And even though women now represent the majority of Web shoppers, men plan to spend nearly 15 percent more online this holiday season--$326 for men against $284 for women, according to the report.

…Men are willing to spend $1,751 for a single item online vs. $787 for women, according to AOL's report. Patrick Gates, senior vice president of eCommerce at AOL attributed this difference to the fact that men have traditionally spearheaded their family's expensive and technical "high- involvement buys" like plasma TVs and home entertainment systems.

Buying music and videos, clothing and books rank as the top three categories for both sexes' holiday gift lists. However, there is a marked difference in the number of men planning to purchase consumer electronics as gifts, 38 percent, vs. 25 percent of women. The same goes for computer software and hardware as gifts, 37 percent of men vs. 25 percent of women.

Men also plan to buy more sporting goods and travel services/tickets, while women plan to purchase more health & beauty products and toys, reported AOL.

(MediaPost, 12-10-04)

Top

It’s time to wish you all a happy holiday season. We’ve had a fab year, one of our best ever. And we hope we can share our success with you.

Please call us anytime – if we can help we’d love to oblige.

Have a happy and healthy New YEAR!

 

In This Issue

Is Direct Mail Slated For A Come Back?

And To Our Next Frontier - The Invasion of Mobile Devices Begins...

Snapple Converts Text-Messages to Sales

Quick Stats on Email Trends From DoubleClick Email Trend Report

Where is the Money?

What Comes Before Search?

Men Are the Big Buyers Online...

Want to learn more about us? Please visit our site at:
www.e-tactics.com

Or write:
Sarah Stambler

Phone: (212) 222-1713

Not reading your own copy?

To change your e-mail status please click here.

Back Issues:

October 2004

September, 2004

July, 2004

June, 2004

May, 2004

April, 2004

March, 2004

February, 2004

January, 2004

More


The E-TACTICS LETTER, (ISSN 1542-2623) is published by E-Tactics, Inc. a boutique e-marketing firm established in 1984 that specializes in the creative use of e-media in the design and implementation of customer driven marketing, research and publication strategies.

© 2004 E-Tactics, Inc. All rights reserved. E-Tactics is registered in US Patent & Trademark office.
Permission is granted to reprint or distribute The E-TACTICS LETTER as long as this full copyright notice is included together with the subscription information.


E-Tactics, Inc. / 370 Central Park West, Suite 210 / New York, NY  10025