Wednesday, May 25, 2005

Is E-Mail Prospecting Over?

Two disappointing experiences using opt-in e-mail lists to prospect for new retail customers suggests that opt-in e-mail has little or no prospecting value.

Case 1. A highly regarded multi-channel retailer sells me 15,000 double-opt-in names which I select by age and geography. I pay $83 per thousand. We create a target-centric, time sensitive offer which gets through SPAM filters for all major ISPs. I get less than 100 clicks to my site and zero sales.

Case 2. The leading tech site sells me a skyscraper in a weekly newsletter. 150,000 readers opt-in for a weekly dose of niche information. I pay $19 per thousand to expose my page-dominant relevant message. I get less than 300 clicks and 6 sales.

In both cases , performance is much worse than any public industry benchmarks and worse than DM norms. Both are credible vendors. Creative is on-point, less than 200 words, above the fold, offer-oriented, well-designed and gets through tight filters.

It makes you wonder:
Has opt-in e-mail been debased into the dust?
How many people have signed up for things they ignore or delete without opening?
How many list owners are carrying these names as active?
How much longer will anyone buy these lists?

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