Magilla Marketing: The Blunt Truth on Everthing E-mail
From DIRECT and Multichannel Merchant Magazines | A Prism Business Media Property May 16, 2006  
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IN THIS ISSUE
>> DearAOL.com: Making ... Us ... Very ... Tired
>> Lyris Unveils ListManager 9.0
>> FTC Should Have Better Things to Do
>> AOL Subscribers Switching to Yahoo!: Return Path
>> Marketers Plan Questionable List-Growth Tactics: Silverpop
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The Big Picture
DearAOL.com: Making ... Us ... Very ... Tired
By Ken Magill
Dear DearAOL.com: Please, give it a rest. You're making sensible people's heads hurt.

Is it willful ignorance or stupidity that drives Goodmail's critics to continue spouting nonsense?

Latest case in point: the Electronic Frontier Foundation's Danny O'Brien's anti-Goodmail post on DearAOL.com under the headline: "AOL Starts the Shakedown."

Shakedown?

By Goodmail CEO Richard Gingras's account, the company is rejecting close to 80% of companies applying for its CertifiedEmail program. AOL and Goodmail are apparently extremely non-opportunistic shakedown artists.

And O'Brien's headline is just the beginning. His post is riddled with blatant falsehoods and intellectually dishonest arguments.

To read more, go to our Web site.

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Endnotes
Lyris Unveils ListManager 9.0
E-mail marketing software company Lyris Technologies is expected today to unveil the latest version of its flagship product, Lyris ListManager 9.0.

New features include some enhanced A/B split testing abilities, including randomly generated test segments; concurrent sending of test e-mail; and comparative reporting on such metrics as unsubscribes, subscribes, opens, click-throughs and purchases.

ListManager 9.0 allows marketers to split test up to 10 versions of their messages, according to Lyris.

The new software can also send e-mail up to 10 times faster than the last version, the company said.

ListManager 9.0 also offers a new "engagement index," which the company says uses data such as forwards, opens, click-throughs and transactions, to assign each address a numeric value based on how engaged the receiver is with the marketer's message.

According to Lyris, the engagement index is a way to spot list segments worth some extra attention, such as prospects who may not have purchased but who are clearly engaged with the brand and, as a result, should be approached with a special offer.

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FTC Should Have Better Things to Do
By Ken Magill
From the pathetic-on-multiple-levels file comes news that Kodak last week agreed to pay $26,331 to settle charges by the FTC that it violated the federal Can-Spam Act.

Turns out Kodak's photo-sharing unit sent 2 million of its customers e-mails that failed to contain an opt-out mechanism or instructions on how to avoid getting e-mail from Kodak in the future.

A spokeswoman blamed the error on a technical glitch.

The entire e-mail marketing world has been waiting for months for the FTC to issue some rules concerning the Can-Spam Act, such as -- marketers hope -- defining "sender" in such a way that multiple advertisers in a single e-mail aren't all required to include their postal addresses, and ensuring the 10-day opt-out provision isn't shortened to the three days the FTC is reportedly considering.

And now we find out they've been spending their time on a simple technical mistake by Kodak? This should have been settled with a phone call.

On a separate note, the announcement sheds some embarrassing light on Kodak's e-mail marketing. According to the FTC, the $26,331 settlement represents "100% disgorgement of the gross proceeds from the offending e-mail campaign."

Now let's see... $26,331 divided by 2 million ... That's 1.3 cents per e-mail. Ouch. We know someone else who needs to find better ways to spend their time, as well.

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AOL Subscribers Switching to Yahoo!: Return Path
The vast majority of people who leave AOL and use Return Path's e-mail change of address service switch to Yahoo! free e-mail addresses, according to Return Path.

Of AOL's 1 million defectors last quarter who used Return Path's change-of-address service, 42.5% went to Yahoo!, wrote Return Path CEO Matt Blumberg in a recent post on his blog at onlyonce.blogs.com.

Blumberg warned that the data is skewed because of Return Path's data sources, but that the service gets information from 1 million consumers a quarter.

As for the rest of AOL's defectors, 23.5% switched their addresses to one offered by a broadband provider, 19.5% switched to Hotmail, and 2.7% switched to Gmail.

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Marketers Plan Questionable List-Growth Tactics: Silverpop
Many e-mail marketers are planning to use list-growth tactics that others said didn't work very well, according to a recent survey by e-mail service provider Silverpop.

For example, 24% of those surveyed in Silverpop's 2006 Email List Growth Survey said they are planning to use viral marketing to grow their lists. However, just 10% said they had found viral marketing to be a successful e-mail list-growth strategy, the company reported.

Also, 15% of those surveyed said they planned to append e-mail address to their customer lists, but just 4% said the tactic paid off.

"It's generally wise to proceed cautiously with email appends, said Elaine O'Gorman, vice president of strategy for Silverpop, in a statement. "The quality of data sources varies considerably among suppliers. A bad batch can put your brand in a very poor light."

Also, 18% of marketers surveyed said they plan to add cross promotions to their e-mail programs, but just 10% who used the tactic said it was very successful, according to Silverpop.

A good cross promotion involves products that are obviously complementary, O'Gorman said.

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