What's in it for me?

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June 23, 2003
Mike Allan

Your Opt-In Value Proposition is the place where the needs of your customers, your organization's core competencies, and the strengths of email marketing collide. Learn how to maximize your company's opt-in value proposition and watch your opt-ins soar.

In the late '90s a request for email addresses rarely appeared on forms designed to collect customer contact information. Fast forward. Today, email addresses are often the first piece of information requested following name and mailing address.

The bottom line is that collectively as marketers, we have become much better at collecting email addresses. Where we have failed however is in the methods we use to collected this information.

As an example, did you ask your customers for permission to use his/her email address? From a legal standpoint, we MUST add an explicit opt-in mechanism to EVERY contact point where an email address is being collected. Check with your company's legal advisors for specifics. The rule of thumb is that as a bare minimum, you need to have permission checkbox similar to the following.

"Yes, I would like to receive email promotions, correspondence, newsletters and other timely information from ABC company."

If you are collecting email addresses without explicit opt-in permission, you might as well not be collecting email addresses at all. By not asking permission and sending information that has not been requested you may in fact be creating a negative backlash toward your company's brand identity and marketing efforts.

Always take the high road. Once the mechanics of opt-in are established, it is time to start converting opt-in opportunities into sales.

To do this, we need to shift our marketing strategy from "Please give me your email address" to "Here is what we will do for you in return for your email address".

Asking for an email address is no longer enough. Today, we need to add value to the proposition. Put yourself in the customers' shoes. What is in it for him/her? Why should they provide you with their personal email address?

What Do You Have To Offer In Return For The Email Address?

Most organizations have a unique value proposition - what makes their people, products, services etc. better or unique from everyone else.

The next step is to cross-pollinate your organization's unique value proposition with the unique benefits and strengths of email marketing. The result is what we call the OPT-IN VALUE PROPOSITION. In other words, if you give us your email address we promise to offer the following additional value (unique value proposition).

Strengths And Benefits Of Email

Email marketing offers several unique strengths and benefits.

1. Direct contact (you speak directly to individuals and not just markets)
2. Timely (deployment is rapid and in some cases immediate. Turnaround is much faster than traditional direct mail)
3. Interactive (communication is two-way and not broadcast one-way)
4. Personalized (tailored to each customer's specific need)
5. Instant gratification (the customers call to action response can result in immediate sales
6. Lower distribution costs (deployment is less costly that traditional direct mail and in some cases the frequency of contact can be increased for minimal additional cost)

DETERMINING YOUR OPT-IN VALUE PROPOSITION

The key to making a successful opt-in value proposition lie in your ability to identify areas of your organization's VALUE PROPOSITION that are best expressed using the strengths of email.

As an example, if part of your VALUE PROPOSITION is to provide personalized service, look to the ability of email to offer personalized content to each customer. You will be able to "talk" to them in terms that they can relate to. If providing timely information is part of your VALUE PROPOSITION, then leveraging the speed and quickness of email is your ace.

HERE'S HOW IT WORKS!

Here are a few real life examples of OPT-IN VALUE PROPOSITIONS that MethodMail has undertaken successfully using email marketing as the medium.

Ski Resort

As a ski resort operator, a large segment of your product is based on the weather that, of course, is difficult to predict and plan for. When an unexpected snowfall leaves snow conditions powder perfect, let your customers know by email. This timely information can be delivered in a matter of minutes, rather then hours or days. You can also inform the email recipient about special offers such as "last-minute deals", exclusive packages or special events taking place at the ski resort. When compared to traditional methods of print and radio ads, email's speed and timeliness will win every race.

Hair Salon & Health Spa

As the owner of a hair salon or a health spa, why not use the timeliness and speed of email to offer deep discounts for customers who are willing to fill last minute appointment cancellations? This is a win-win. You reward customers who fill cancelled appointments and you recover some of your operational costs that otherwise would have been lost. This approach can work for any retail business that has a "perishable" product or service. Time is the enemy. Email is the clear winner to carry your message quickly and efficiently to the target audience.

Clothing Retailer

As a clothing retailer, you may not wish to sell some of your apparel online. The process of buying clothes typically requires a hands-on, personal approach. It is difficult to make a purchasing decision without trying garments on for size and fit. However, by using email, you can boost retail sales significantly. Here's how.

You can personalize messages that meet the specific need and tastes of each customer. If you sell clothing to both men and women, simply segmenting your email audience by gender will improve sales. If you specialize in men's apparel, identifying females on your list will help you tailor offers specifically to those buying gifts for men, versus buying for themselves.

By interpreting historical purchasing data, and identifying customer preferences, it is possible to build a profile of each customer. In turn, this allows you to offer products in relevant styles, colours, sizes, and price ranges that are specific to each customer.

Opt In Value Proposition As An Effective Marketing Tool

The key to a successful Opt In Value Proposition is to identify your company's Unique Value Proposition and express it using email, in a way that sets your organization apart from the competition and enhances your value to the customer. By playing to the strengths of email, you will build more long-term value into your customer relationships.

You need to be practical, but never shy away from "pushing the envelope". Look for ways to create value using email that would be impossible or impractical for any other medium. Also, look for opportunities to migrate what already exists. For example, you may have a customer newsletter that you print and mail. Find out if your customers would prefer to receive a PDF formatted newsletter by email. In this situation, you will save money (mailing & printing costs) as well as time for assembly and distribution.

Today's most effective email marketing campaigns posses the potential to exceed customer expectations by offering the unexpected and leaving customers with a positive impression. The Opt In Value Proposition concept gives marketers another effective tool to help generate sales and add long-term value to customer relationships.