Hotmail has recently been in the news for improving their users’ Inbox experience, enhancing tools and improving their filters. More specifically, Hotmail is trying to combat “Graymail”  or all of the newsletters, offers, social network website emails, and other email communications many sign up for and are no longer relevant to you but keep getting delivered. These are emails that users legitimately receive but no longer want – roughly 75% of email identified as spam by Hotmail customers according to Windows Live Hotmail.

At Experian CheetahMail, this Graymail announcement has left many of our clients asking how this change will affect their messages and more importantly their deliverability/Inbox performance. These enhancements go along with what CheetahMail Deliverability has always advised about mailing to your actives. Basically any mail that is sitting in a users’ Hotmail inbox untouched (not opened or clicked) after a while is considered Graymail. Hotmail is trying to reduce the burden of all sorts of offers, newsletters etc for the user and their own system.

We don’t have much insight into their filter algorithms but we can assume if too many people are allowing the clients emails to sit in their inboxes and end up as graymail, Hotmail’s filter will pick this up and can possibly start sending the emails to bulk. We have often seen a decrease in user engagement as a reason for Hotmail bulking. By mailing to your active and engaged Hotmail users this Graymail issue should become a non-issue. Additionally, consider asking users to add the client to their address book to ensure inbox delivery and avoid spam/junk foldering. Instructions can be found here: http://www.cheetahmail.com/deliverability/reach-the-inbox/

The two main features of Graymail that we DO know are:

One-click Unsubscribe

Hotmail has had an unsubscribe link in the user interface already, but how they handle these requests are changing and not complying could result in your email being sent to the spam folder. If a subscriber clicks on the unsubscribe link in the Hotmail interface now, and either the list-unsubscribe header isn’t present or doesn’t work, email from that sender will be permanently delivered to the spam folder. CheetahMail complies with this unsubscribe request.

Schedule Cleanup

Hotmail users can now decide how long they want messages from a particular sender, or all senders, in their inbox before they are deleted permanently or moved to a specified folder. This could be the best time to reach out to your subscribers and give them a choice to the frequency of emails they want to receive. This cleanup could also prove to be beneficial for senders as subscribers may not mark old, unwanted email as spam which can adversely drive up spam complaints.

Similar to the 2010 holiday season, 78% of holiday email campaigns are being sent between midnight and noon (compared to 77% in 2010).  Is this the best time to send? A recent Experian CheetahMail analysis indicates that it is probably not.

Lunchtime and afternoon hours present good opportunities to remind customers of deadlines and key offers.  Looking at the performance of mailings with ‘urgency’ in their subject lines (including the words ‘limited’, ‘last’, ‘ends’, final’, ‘hours’, ‘left’, ‘today only’, ‘hurry’, or ‘urgent’), a recent Experian CheetahMail analysis finds that that campaigns sent between noon and 4:00pm make up 11% of the volume, but generate 15% of the revenue.  A similar result is seen for campaigns sent between 4:00 and 8:00pm, which have 6% of the volume and 9% of the revenue.

What time are you sending? 

What time are you sending?  Consider running time-of-day testing, it’s not too late!  Who knows what new revenue opportunity you may be able to find.

Experian CheetahMail tracks the holiday mailing activity of 385 brands that also mailed in the 2010 Holiday Season. All metrics are based on results 3 days from send.

It’s not too late to include video in your email campaigns this holiday season. Video in email gives marketers a chance to express their creativity while providing relevant and highly engaging content, but do you know how to optimize, or even execute on, this powerful tactic? Experian CheetahMail and Liveclicker, a comprehensive video commerce solution that video-enables your most important marketing channels, held a webinar earlier this week to share best practices and case studies on the topic.

To highlight some of the learnings, our very own Erin Geoghegan interviews Justin Foster – Co-Founder & Vice President of Market Development, Liveclicker, on the topic:

Erin: Why should marketers be using video in email this holiday season?

Justin: Video helps marketers stand out from the crowd. Right now, most B2C/e-commerce merchants are executing a ramped email sending schedule to better compete for limited consumer shopping dollars. Video offers a way for these email marketers to grab the attention of shoppers, show their products in a new light, and differentiate from the competition – all right in the inbox.

Erin: I would think we might be too deep into holiday crunch time to implement this tactic, is this not the case?

Justin: If a marketer has ready access to video content that’s ‘on message’ for a planned campaign, then it’s probably not too late. If the content isn’t there, or if there’s not a natural alignment with the current holiday calendar, then it’s probably too late at this point. If the content is there, and the marketer has never before launched a video email campaign, then I’d advise devoting at least an additional four hours of planning to the video email campaign launch.

Erin: If you could give me, as an email marketer, a three-step process for implementation, what would it be?

Justin: At risk of oversimplifying, the three steps are:

1. Get the video
2. Use the right technique to add the video to the email
3. Send the email as normal

Each of these three steps has sub-step components that will vary based on a marketer’s goals and needs. Companies that have built processes around shooting or acquiring video content will greatly simplify the job of the email marketer for part 1. Systems like Liveclicker will completely automate the “use the right technique” part, although there are still creative considerations involved. When the right techniques are used, video can be added to email today just like images, so the last step is really old hat for email marketers. I always would advocate email marketers to seek education prior to embarking on any new initiative, including video email. It pays to spend the time up front to do the research by attending webinars like the one CheetahMail hosted this week. These sessions can be an excellent source of information for even experienced email marketers.

Click here to download the webinar.

The likelihood of consumers viewing, printing and redeeming a digital coupon at a brick-and-mortar store rises 19.6% if the coupons become accessible at 8 a.m. on Wednesday, according to a recent study by RevTrax, a partner of Experian CheetahMail that offers couponing features in CheetahMail client email programs.

The study finds that consumers print the most digital coupons on Wednesday and Thursday

The study finds that consumers print the most digital coupons on Wednesday and Thursday, which suggests consumers access online discounts mid-to-late week to redeem them during the weekend. Conversion rates constantly exceed 60% between 8 a.m. and 5 p.m. (key work hours), and conversions peak between 8 a.m. and 10 a.m., as well as noon and 5 p.m.

So what can email marketers do to capitalize on the e-coupon-obsessed this holiday season?  Here are a few tips from Experian CheetahMail:

• Use testing to keep response high and costs low: Often times, emails providing coupons to high-value or existing buyers do not have to be as aggressive or frequent as those sent to new customers.
• Create a sense of urgency and exclusivity: Despite the ease of use/redemption that many online coupons offer today, customers can take a long time to buy. Use words such as “exclusive” or “limited time only” in your subject lines.
• Use coupons to drive word of mouth: Ensure that you prominently display “Share with your network” or “Forward-to-a-friend” buttons in emails containing shareable coupons. The impact can be huge!

RevTrax ran statistical analysis between December 2008 and August 2011 to determine the best time to present coupon offers. The data represents millions of views and prints broken down and analyzed by volume per day and hour, conversion rate, percentage of coupons viewed and printed, per day and hour. It also tallied the odds or likelihood that a consumer will print a coupon based on any given day and hour.

While marketers have historically used similar creative or targeting methodologies with email and display ad campaigns, few have truly integrated the two efforts in a seamless process. In-line with Experian’s Digital Advertising Services’ efforts to pioneer addressable advertising online, Experian CheetahMail has been rapidly developing integrated opportunities for clients to leverage their existing email subscriber intelligence with display advertising.

On Wednesday, December 7, I’ll be participating on a session at the Email Insider Summit about integrating email campaigns with display advertising. For those of you who cannot attend, or for those that plan to attend but want a sneak preview, here are a few key points I’ll be making about the future of these integrated campaigns:

1. Emailers have always used pixels and cookies to better analyze open or click-through activity, or more recently with transaction reporting and remarketing efforts. In addition, most emailers have tested or implemented third party tools using pixels for analytics or creative optimization. So adding a new third party pixel to email campaigns for display advertising can be easily understood and implemented.
2. Many online marketers have integrated website re-targeting into their suite of display advertising efforts, and leveraging email pixels to enable re-targeting is similar to using a web based pixel. This is bolstered by the fact that most email recipients are now using web-based programs, which can render this type of pixel (and associated cookie) for use with display ads. However, as with any re-targeting effort, this type of display advertising is considered to be ‘behavioral’ and falls under the Digital Advertising Alliance (DAA) Self-Regulatory Principles for Online Behavioral Advertising . As a result, marketers must make sure their privacy policies reflect this practice, and provide advertising recipients with in-ad notice and choice through the ‘AdChoices’ icon.
3. The benefits of integrated campaigns are many, and include consistent messaging across channels, improved relevancy for online display ads, and increasing performance of re-targeting efforts by extending the reach to email recipients who may not be visiting your website. In addition, future integrated display ad campaigns will be able to leverage the same segmentation schema as with email, transactional data, and addressable demographic or psychographic data, all of which in a privacy-centric way.
4. The potential drawbacks of these campaigns includes making sure you are working with a large enough display ad partner to be able to reach these types of ad recipients , making the investment of time and resources to upgrade your privacy positioning, and avoiding over-personalization with display ad creative.

I look forward to sharing more with you in the future about this exciting topic, and welcome your comments or questions. Learn more about Experian Digital Advertising Services.