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Email trends and_benchmarks_031011

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  • 1. STRATEGY AND ANALYTICS / TARGETING / CREATIVE / TECHNOLOGY / DIGITALQ4 2010 EMAIL TRENDS ANDBENCHMARKS PRESENTED BY EPSILON ANDTHE EMAIL EXPERIENCE COUNCILResearch: March 2011epsilon.com
  • 2. STRATEGY AND ANALYTICS / TARGETING / CREATIVE / TECHNOLOGY / DIGITALEXECUTIVE SUMMARYThe Q4 2010 Email Trends and Benchmarks study shows steady open rates in a number ofindustries. In addition, average volume per client through the holiday season increased fromthe previous quarter and the same time last year.This report also delves into message types and performance trends by industry. Certaintypes of email messages have higher open and click rates, therefore marketers need toleverage these opportunities to communicate with their key audience.The Q4 2010 Email Trends and Benchmarks study is compiled from 7.4 billion emails sentby Epsilon in Q4 (October December) 2010, across multiple industries and approximately150 participating clients. This benchmark report should be used only as a guideline, sincespecifics for each company will drive results.Q4 2010 OVERALL PERFORMANCE Open rates (22.1%) saw little change over the two-year period, increasing 5% from the same time two years ago. Four of the 13 reported industries saw an increase in open rates over Q4 2009. Click rates (5.1%) decreased from the same time last year (5.9%) but remain established over the last two years. Average volume per client increased 34.3% from last quarter and 18.5% from Q4 2009. The non-bounce rate (95.0%) increased compared to this time last year (93.9%). Conversion rates increased 11.3% over last quarter and 16.1% over last year. The 2.9% conversion rate is the strongest over a two-year period. Median order sizes increased 19.8% over last quarter. The increase in median order size and orders delivered per email led to a 16.1% increase in revenue per email over the previous quarter. Epsilons Non-bounce, open and click rates continue to drive strong results 100% 94.4% 94.7% 94.8% 96.1% 95.0% 94.1% 94.1% 93.5% 93.9% l l l l l l l l l 90% 80% 70% 60% 50% 40% 30% 22.1% 22.2% 21.9% 22.0% 22.4% 22.1% 22.0% 22.1% 20.9% n n n n n n 20% n n n 10% 5.8% 6.1% 6.2% 6.0% p 5.9% 5.9% p 5.3% 5.4% 5.1% p p p p p p p 0% Q408 Q109 Q209 Q309 Q409 Q110 Q210 Q310 Q410 l Non-Bounce n Open rate p Click-through 2
  • 3. STRATEGY AND ANALYTICS / TARGETING / CREATIVE / TECHNOLOGY / DIGITALINDUSTRY PERFORMANCEBusiness Products and Services General, Retail General, Retail Specialty and Travel/HospitalityTravel Services had an increase in open rates compared to the previous year.Only Consumer Services General and Retail Apparel saw an increase in the click rate comparedto the same quarter in 2009.The highest open rate was in Travel/Hospitality Travel Services (28.4%) and the highest click ratewas Consumer Products CPG (10.3%). Consumer Products CPG also had the highest click to openrate (53.7%), greatly exceeding all other industries. Q4 10 North American Industry Average Sent Non- Open Rate Click Rate Click to per Client Bounce Open Rate Business Products and Services General 55.1% 92.4% 21.9% 3.8% 17.4% Business Publishing/Media General -76.8% 97.5% 16.4% 4.4% 26.8% Consumer Products CPG 30.6% 95.4% 19.2% 10.3% 53.7% Consumer Products Pharmaceutical -75.7% 84.0% 23.2% 6.3% 27.1% Consumer Publishing/Media General 30.8% 97.9% 14.1% 4.9% 34.6% Consumer Services General 9.5% 97.4% 18.6% 4.1% 22.1% Consumer Services Telecom 20.3% 96.4% 21.1% 5.3% 24.9% Financial Serviced CC/Banks 29.0% 93.8% 27.9% 3.5% 12.6% Financial Services General 35.5% 96.0% 26.9% 4.8% 17.9% Retail Apparel 72.8% 98.9% 13.1% 3.8% 29.2% Retail General 19.5% 96.7% 25.1% 6.7% 26.6% Retail Specialty -104.9% 97.0% 21.3% 4.4% 20.5% Travel/Hospitality Travel Services -5.6% 94.9% 28.4% 4.2% 14.7%Red or green text indicates an increase (green) or decrease (red) over last years metricsepsilon.com
  • 4. STRATEGY AND ANALYTICS / TARGETING / CREATIVE / TECHNOLOGY / DIGITALCAMPAIGN PERFORMANCEThe Q4 2010 Email Trends and Benchmarks also analyzed the message types and their performance metrics.74.4% of emails delivered by Epsilon were categorized as marketing messages, up from 63.1% the previous quarter.Marketing messages had relatively low open (17.4%) and click (3.5%) rates compared to service and editorialmessages which typically contain highly relevant and targeted information based on consumer preferencesand/or triggered campaigns. % Delivered in Q4 2010 74.4% of emails delivered through Epsilon Service Acquisition Editorial were tagged as Marketing messages* 0.0% 4.4% 0.9% Research Message Type Open Rate Click Rate CTOR 0.0% Service 38.2% 8.0% 20.9% Other Other 23.2% 3.7% 16.1% 20.2% Editorial 21.6% 5.5% 25.5% Marketing Research 18.1% 3.0% 16.8% 74.4% Marketing 17.4% 3.5% 20.4% Acquisition/Research 15.1% 2.9% 19.2% * Message types are based on emails deployed out of the DREAM platform and defined by the person(s) creating the campaigns which may not reflect the same definitions as your companyKey metrics varied by message type across the industries analyzed. Marketing messages fared well in categories suchas Business Publishing/Media General, Consumer Services General, Consumer Services Telecom, Financial ServicesCC/Banks, and Financial Services General.Message Types by Industry Industry Industry Category Message Open Click Click to % of Total Type Rate Rate Open Rate Delivered in Industry Business Products and Services Business Products and Services General Marketing 14.1% 2.0% 13.9% 72.4% Other

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