Internet Retailer - Strategies For Multi-Channel Retailing

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News Stories Friday, March 21, 2003   
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Retailers are cutting back on frequency of e-mail marketing

As e-mail marketing contends with spam and over-saturation of messages, retailers are favoring twice-monthly as opposed to weekly e-mail campaigns, a study by consultants The E-Tailing Group Inc. reports. "You'll see more retailers go to twice a month, where we might have seen them on a weekly schedule a year ago," E-Tailing president Lauren Freedman predicts.

In The E-Tailing Group’s recent survey of 200 major retailers, 34% said they are e-mailing marketing messages twice a month; 27% said weekly; 17%, monthly, and 5%, quarterly.

As retailers cut back on the frequency of e-mail marketing messages, they're also sharpening the focus and increasing the range of content in messages, Freedman says. "We see more retailers focus on branding aspects of the marketing and more multi-purpose e-mail--more content on fewer messages," she says. She notes that Amazon.com Inc. and Toys R Us Inc. have recently sent e-mail messages with a combination of full-price and discounted offers.

She notes that some retailers, such as Crate & Barrel, are deploying particularly creative e-mail promotions that coordinate strong marketing messages--including attractive photos embedded in the e-mail message--with the content on their web sites. "You have to engage the customer," she says.

In other e-mail trends, Freedman says retailers will concentrate more on product newsletters to build relationships with customers--a strategy cited by 26% of survey respondents.

Despite the challenges facing e-mail marketing, e-mail is still considered the best channel for moving overstock merchandise. "E-mail is still the most cost-effective way to liquidate," Freedman says.

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