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News Stories Thursday, May 31, 2007   
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E-mail’s key to the marketing mix, but spending may not reflect that

E-mail is a critical element of the strategic marketing mix—but marketers’ budgets don’t always reflect that, according to a new report released this month from JupiterReseach, “E-mail Spending and Governance, 2007.” While salaries paid to e-mail marketing staff have gone up since 2005, the number of staffers dedicated to the job, per company, hasn’t changed.

Most marketers surveyed by Jupiter spend less than $250,000 per year on the individual e-mail areas defined as accustom, retention and creating. Though budgets for e-mail marketing are largely flat since last year according to Jupiter's data, marketers are trying to squeeze more out of them and are sending more e-mails than they were two years ago.

The marketers surveyed send an average of 5.3 million pieces of e-mail per month, an increase from 4.2 million per month in 2005. Marketers who use packaged applications to manage outbound e-mail in-house reported sending a higher number of messages monthly, 6.9, as did e-mail marketers with outsourced full-service applications at 6.5 per month, Jupiter found.

About one-third of each of those groups reported sending e-mail to the same subscribers four or more times per month. Marketers using home-grown applications send slightly more per month than the overall average, 5.7; while those using outsourced self-service applications send fewer, an average of 3.9 pieces of e-mail per month, Jupiter reports.

The amount spent by e-mail marketers on personnel is up since 2005, with the average spent on e-mail marketing staff at $182,067, up from $169,710 two years ago, Jupiter found. That reflects an average salary increase to $63,547. The average number of full-time equivalents remained the same as in 2005 at three. Companies with revenue of $500 million or greater had higher personnel budgets that averaged just over $400,000, according to Jupiter.

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