Recent Posts

Subscribers notice what marketers do

Stephanie Miller from RP blogs at EEC about a UK consumer survey with the take home message: “consumers notice what email marketers do. When we send something interesting and relevant at a good pace, they are happy to stay active with our programs. When we don’t… well, then we’ve lost them, perhaps for good.”

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Friday Funny

New Car

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Links Post

Lifecycle Marketing on Bronto Blog. A good summary of issues in marketing to customers as they move through a relationship with recipients.
Blocked email: why me? on Cloudmark’s blog. A good introduction to blocking issues.
Tamara’s links for 4/16. She’s found a lot of good posts here, including multiple posts about unsubscribes and others on improving your email marketing program.
Speaking of unsubscribes, Loren McDonald discusses how the location of the unsubscribe link can affect reputation and email performance.

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Measuring open rate

In this part of my series on Campaign Stats and Measurements I will be examining open rates, how they are used, where they fail and how the can be effectively used.
There has been an lot written about open rates recently, but there are two posts that stand out to me. One was the EEC’s post on renaming open rate to render rate and Mark Brownlow’s excellent post on what open rate does and does not measure. I’ve also weighed in on the subject.
Overall, I find open rates to be a very frustrating metric. Some senders, particularly those relatively new to email marketing, are so sure they know what open rate is and what it means, that they don’t take any time to actually understand the number. While the name “open rate” seems self explanatory, it’s actually not. Open rate is actually not a measure of how many recipients open an email. However, there are times where open rate is a useful metric for measuring a marketing program over time.
What is an open?
If asked, most people will tell you that open rate is the number of emails that were opened by the recipients. The problem is that this isn’t actually true. An open is counted when a tagged image in an email is rendered by the recipient’s email client. Not all mail clients render images by default, but the emails are still available for the recipient to read. If a user clicks on a link in an email that has not had an image rendered, some ESPs count that as an open as well as a click. In other cases, visiting a link in an email with no image rendered is just a click, no open is recorded.
What is the open rate?
Open rate is generally the percentage of email opens divided by some number representing the number of emails sent. Many senders use the number of emails sent minus the number of bounced emails, others use just the number of emails sent without factoring in the number of emails bounced.
Open rate is a secondary metric. While it does not measure the success, or failure, of a campaign directly, it can be used as a indicator for campaigns. Many people use open rate as a metric because it’s easy to measure. Direct metrics, such as clicks or average purchase or total purchase, may take days or even weeks to collect and analyze. Open rates can be calculated quickly and easily.
What the open rate isn’t
Open rate is not a measure of how many people opened a mail. It is not a measure of how many people read a mail. It really only records that an image in a particular email is loaded and, sometimes, that a link was clicked on. Open rates can be wildly different depending on how the sender measures opens and how the sender measures sends.
What senders use open rates for
To compare their open rates with industry averages
As I talked about above, this use of open rates is problematic at best. You cannot compare numbers, even when they have the same name, if the numbers were arrived at using different calculations. Open rate is not open rate and unless you know the underlying algorithm used you cannot compare two open rates. This is a poor use of open rate.
As a metric for advertising rates
Since a sender can manipulate the open rate by using different calculation methods, this is a good metric for the advertiser to use. It is not so great for the purchaser though, who is at the mercy of the sender’s metrics. There are contractual ways a purchaser can protect herself from an unscrupulous marketer, but only if she understands how open rate can be manipulated and takes steps to define what open rate is in use.
To judge the success of campaigns over time
A single open data point doesn’t mean very much, however, using consistently measured open rates a sender can measure trends. Open trends over time are one area that open rates can help senders judge the success, or failure, of a marketing campaign.
As one metric in A/B testing
Comparing open rates in A/B testing gives some indication of which campaigns recipients may be more interested in. As with trends over time, the lone measurement isn’t useful, but as a comparative metric, it may provide senders with insight into a particular mailing.
To judge the engagement of recipients
Over the long term, recipients who do not interact with a mailing become dead weight on the list. Too many non responders can hurt a sender’s reputation at an ISP. List hygiene, in the form of removing people who never open or click on an email, is an important part of reputation management.
As metrics for email campaigns go, open rate is limited in what it measures about an email campaign. However, as a quick way to measure trending or do head to head comparisons it is a useful metric.

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Verizon does not have a FBL

When I posted my initial cut of the ISP information page earlier this year, there was a comment asking about a Verizon FBL. At that time, I talked to some of the people-who-would-know over at Verizon and asked if they do have a FBL. The answer was a definite no.
For some reason, though, I continue to receive questions about the Verizon FBL. Based on the questions, the best I can extrapolate is that there is an ESP out there, somewhere, that states they have a Verizon FBL. It is possible, albeit unlikely, that they have a special agreement with Verizon. However, there is no generally available Verizon FBL.
If Verizon does make a FBL widely available, I will mention it here and update the ISP information page with the data. Until then, be very cautious with claims that there is a Verizon FBL.

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Campaign stats and measurements

Do you know what your campaign stats mean? Do you know what it is that you’re measuring? I think there are a lot of emailers out there who have no idea what they are measuring and what those measurements mean.
The most common measurement used is “open rate.” There’s been quite a bit of discussion recently about open rates, how they’re calculated, and is there a better way. In my own opinion, open rate can be useful, but only in some circumstances. More often it is a distraction from real measurements
Not only has there been the recent discussions about “open rate” versus “render rate” and a lot of confusion among people about what the underlying issues are, but I’ve also been working through some campaign stats questions with other people that indicate maybe they don’t actually understand the numbers they’re using.
For instance, what do the delivery statistics reported by the various mailbox monitoring companies mean? If you have 100% inbox delivery as measured by the program, does that mean all your mail has reached the recipient’s inbox?
What about bounce rates? Everyone says “keep them low” but what does low mean? How do you measure them?
Over the next few posts, I’ll talk about the different stats and measurements in common use and what they do and don’t mean.

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Deliverability versus delivery

Deliverability is a term so many people use every day, but what do we really mean when we use it? Is there an accepted definition of deliverability? Is the concept different than delivery?
At a recent conference I was running a session talking about email delivery, senders and the roles senders play in the email industry and at that particular organization. The discussion went on for a while, and the subject of deliverability versus delivery came up. J.D. Falk had a comment about the difference that resonated with me. Paraphrased, he said:

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Open rates climbing, click rates dropping

Ken Magill reported on a study published by Epsilon (pdf link) on Tuesday. This report shows open rates are climbing but click-through rates are falling.

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Three ways spammers get your address

Paul explains 3 ways spammers get your email address.

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Privacy policies in court

Venkat has an analysis of a case where an individual provided a unique address to a vendor and that vendor released the address in violation of the posted privacy policy. The federal court rejected the suit due to the failure of the plaintiff to provide evidence of harm.
I posted last week about privacy policies and how often they are intentionally or unintentionally violated and when email addresses leak. Courts have consistently ruled against plaintiffs. It seems that the courts believe merely revealing information, even in contradiction to a posted privacy policy, is not actionable by the plaintiff.
As a consumer, I really don’t like the ruling. If a company is going to post a privacy policy, then they should follow it and if they don’t, I should be able to hold them responsible for their lies. Back in the land of reality, I am not surprised at the rulings. Individuals have never owned their personal information, it is the property of the people who compile and sell data
It does mean, however, that privacy polices are not worth the paper they’re written on.

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