Email non-viable for acquisition

Chris Marriott over at iMediaConnection talks about all the reasons email is a non-starter as a replacement for direct mail. This is something I have been telling clients for a while now. Chris mentions a number of reasons for why email is not an acquisition tool.

Today, banks can flood your mailbox with all the credit card offers they want, but they can’t flood your email box with the same offers. First, it’s not as easy to get your email address as it is your postal address. Second, even if a business has your email address, you can opt-out of that first prospecting email and be free forever from further offers. For these very important reasons, there is no direct linear progression from mail to email in the marketing world. Email is the most cost-effective retention, cross-sell and loyalty tactic in the universe, but it is not a viable acquisition tool in the way that direct mail is (though some would argue both are equally bad due to the sheer amount of wasted impressions).

The big reason he missed is complaints. It is difficult, if not impossible, to complain about direct mail. Even the opt-outs listed on the circulars do not work. For email, though, complaints are trivial. The ISPs have set up and manage a way for recipients to tell a sender they do not want any mail from that sender. Those complaints feed a scoring engine that allows the ISP to block mail that the recipients mark as spam. This feedback process makes it extremely difficult to use purchased email lists to acquire new customers.
Hat tip: BeRelevant

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Links

Venkat posts today about the ruling in the Asis v. Azoogle case. I have not yet had a chance to read the whole ruling, but in talking with Mickey over at SpamSuite it seems to expand the Gordon ruling a bit.
Mickey posts on Intellectual Intercourse about spam received from a recruiting agency trying to get him to hire one of their clients. This spam was amusing in that it contained reference to a bill that Mickey helped defeat years ago.
Box of Meat blog links to a CSO online article graphically demonstrating a botnet. The representation is really helps to understand the scope of the problem.
On Bronto Blog DJ posts about resurrecting old addresses. He has it right when he says: “If you continue to send email to customers that is random and unexpected, there will be consequences.”
Matt at ReturnPath has a couple posts about who should get delivery services and how ReturnPath chooses customers. This is something I end up dealing with occasionally. There are not specific types of companies I refuse to do consulting for. I will generally provide consulting on best practices to any business segment. My one restriction is that I will not provide ISP relations (ie, contacting the ISPs) for companies that do not send opt-in email. This has caused consternation with some potential customers.
Mark Brownlow at No Man is an iland suggests renaming “open rate” as “render rate” in an effort to make it much clearer what “open rates” really measure. Expect to see render rates referred to here on this blog in the future.
Josh talks about suppression list abuse on Deliverability.com. For those of us who use unique addresses for every signup, it quickly becomes clear that there are leaks in the suppression process. I have also seen problems with leaks from subscriptions, so do not think the problem is just in suppressions.

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Greylisting: that which Yahoo does not do

Over the last couple days multiple people have asserted to me that Yahoo is greylisting mail. The fact that Yahoo itself asserts it is not using greylisting as a technique to control mail seems to have no effect on the number of people who believe that Yahoo is greylisting.
Deeply held beliefs by many senders aside, Yahoo is not greylisting. Yahoo is using temporary failures (4xx) as a way to defer and control mail coming into their servers and their users.
I think much of the problem is that the definition of greylisting is not well understood by the people using the term. Greylisting generally refers to a process of refusing email with a 4xx response the first time delivery is attempted and accepting the email at the second delivery attempt. There are a number of ways to greylist, per message, per IP or per from address. The defining feature of greylisting is that the receiving MTA keeps track of the messages (IP or addresss) that it has rejected and allows the mail through the second time the mail is sent.
This technique for handling email is a direct response to some spamming software, particularly software that uses infected Windows machines to send email. The spam software will drop any email in response to a 4xx or 5xx response. Well designed software will retry any email receiving a 4xx response. By rejecting anything on the first attempt with a 4xx, the receiving ISPs can trivially block mail from spambots.
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