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Rajesh Jain

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https://vimeo.com/661608282

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Rajesh Jain 1:27
Hi Everyone in Valencia and all of those joining in online. I'm Rajesh Jain, founder of Netcore Cloud. And I'm going to be talking to you about how we energize email engagement. Another a new idea that I'm going to talk to you about, it's called microns. It combined and another idea columns, and atomic revolts. So let's go through that. For the past 20 years, we have been living in the ad tech era, we have seen a very rapid growth in internet users. And of course, internet advertising, which is now touching $350 billion worldwide. 90% of marketing budgets today are spent on ad tech and just 10% on martec. Ad Tech is all about acquisition. MarTech is about customer retention, growth, and cross sell. So just 10% of budgets are spent on retaining and engaging with existing customers. This is what I call the doom loop of ad spending. The leaky bucket ad costs have been rising. Increasingly, the acquisition is less valuable customers. There's a coming death of third party cookies, the Apple privacy framework is also disrupting ad tech. And many importantly, there's also the challenge of re acquisition 1/3 of all new acquisition is actually the acquisition of churned customers and customers are churning because brands are not taking adequate care of all this is great news, of course, for Google and Facebook, just look at their skyrocketing growth of their revenues. They've built an amazing ad duopoly worldwide. Essentially, what's happening is brands are getting booked, instead of customers getting booked. And that's the problem that we need to work on solving by moving away from ad tech and opening the door to market. The three R's of martec are really what brands should be focusing on. Retention, reactivation and reference. reactivation is an alternative to re acquisition where a lot of money is spent on Google and Facebook. So reactivation is about having the hotline to existing customers, how do we use push messages, especially email to wake them up again. Martech done right, effectively helps brands get more zero and first party data, that which helps drive omni channel personalization. It creates hooked customers better still it can create subscribers repeated spending for a very long period of time. And that is what drives exponential forever profitable growth for brands. But there is a big problem. Attention recession. We have all heard the story about people looking at their inbox and having the attention span of a goldfish just a few seconds. And that's what we see a lot of unread messages in every one of our inboxes email SMS from the WhatsApp and other mail inboxes. So what brands can do to get past this problem is offer a lot of attractive offers on transactions. So by One Get One Free 10% off, you know, you get cash backs all kinds of things. The problem is, all the focus ends up being on transactions, instead of being upstream on attention, engagement and habits. That is how you create customers. That is how we get subscribers. The focus really needs to be on how do we use push messages to get the actions that we want the opens the clicks, and form fills or whatever other actions that you as a brand manager as a marketer

of want. This is where the idea of migrants comes in. How do we solve a tension, recession, and energize email engagement? Now, push messages, like emails are very, very important because there are only three ways to get brands, or customers actually back to the website of brands, or the app. Number one, you're a monopoly, people have no choice, so they keep coming back to you. Second is you have amazing branding, maybe like Amazon or other sites like this, in which case, that for the website becomes the first port of call. For all other brands. It's the push messages, the emails and SMS is etc, that are sent out, which are very important for getting their customers, your customers back to your website, or your app. And this is where the idea of microns comes in. So think of microns as a single composite, five, I message the five eyes. It's an identified message. It's not generic. It's measured in inches short, not very long. It's interactive, not one way broadcast. And this is where I'm coming from. It's informative, not promotional only. That is where the idea of EMS comes in. Customers are incentivized to interact. And surprising, something nice in that message, they open it. That's where the idea of atomic rewards comes. What I've done is I've taken these five ideas together, put, put them together into email, as a messaging format. And that's how we come up with microphones. So I'll dig through, and EMS and atomic rewards up so each, at least I'm probably some of you are familiar with. But it's a good example of Hollywood's going to come and EmCell atomic rewards are two very interesting new ideas. And think how, as I'm giving these, some of the examples, think how you can apply these to your own brand, to get engagement, going to new levels. Let's start with them. So interactive mails, basically, think of it as websites inside of email. So this is a typical example. Or you can have surveys, which are filled in right inside the email, no need to click, no need to have the person or your customer go to a different website can have multiple choice selections, entry into a textbox. And you're done. Right there inside me an image carousel. So you can get various options. There's a simple example here, you can pick the color that you want, and add it to cart, or right from there. So you can have products out here, which you can actually send an email and get the action done right there. We've got a product display page out here. So look at the interactivity. dates can be picked up for for a hotel room, check in checkout, and the reservation can be done right there, all inside an email without having to go and click to a website. accordions, basically, you can, you can expand sections, to see a lot more detail. Like here, you could just expand it in place. So volcanoes. And you can go down and see more about the sun and so on, and then click Of course, here onwards. Look at the interactivity that is happening out here. Of course, you can do gamification. You can have puzzles that people can solve to on robots. This is email, like you've probably never seen before, but very interactive. And that's really what can drive engagement. So that was one of the ideas. Second, look at this idea called EMS, which is essentially informative emails, what I think of EMS as email moments. So typically, emails are basically either transactional mails or promotional mails. Think of a new category, where we send out information For branding, for retention for reactivation. There's a wonderful book by Byron sharp called how primes grow up basically built on this idea of physical availability of brands, the Coke and Pepsi, they're all around you. They have the presence is very important. How does that translate into the digital world, the mental availability of a brand. So communications becomes very important. How can you get customers to think of your brand for 15 to 20 seconds every day. Email, of course, has the highest ROI among all push messaging channels, almost two weeks of any other comparable channel.

This an idea, which I call EMS, like for email moments, where the Delete mindset that people have when they look at mails in their inbox, can be converted into the light with a new improved format for the micro attention customer. So think of these are short emails, readable on a single mobile screen readable and 15 to 30 seconds. And informative, very small element of promotional in there. So the recipients, your customers will find something useful in them. And they're in a story format. So they come in a series, ideally, something every morning or every evening at the same time. Otherwise, it could be a series of five or 10 or 15 messages. So let's look at some examples. So this is an Indian direct to customer brand, which could send out grandpa's basically helps mothers who purchases for their kids must have when you travel with your baby. So very useful meal. And if such meals are repeated every day at the same time, just another example, help your baby relax with the right massage. Again, click on something it will take you back to the website. But the information in there is informative. Is it okay to use baby powder, link to organic dusting powder onto the website. This is informative one of three examples there to get pre purchase the bookshop. Typically when you leave something in the shopping cart, they will send you an email, which says hey, you will have something in the shopping cart. Of course, I know I left something in the shopping cart. Now instead of that, just imagine the following. If they could send a series of four or five messages one a day, every day at the same time, so it doesn't feel like random emails or random spam. They want an excerpt about the book, day to stop previews, day three would be Table of Contents. Therefore, other books by that author, they five books in a similar category. So these all create multiple opportunities for the brand bookstore to sell. But more importantly, they are all informative means they're useful for me as a recipient, when I get them in, and I'll spend those 1530 seconds probably reading them. So creates multiple opportunities to buy is a post purchase example, we buy lots of products, how many brands will send us a series after we purchase the product, telling us more about the product, what can you do with it. So this is a NutriBullet mixer. One new type of mixer tells you on day one are welcome and tells you how to make use of it. Aha tell you tells on day two tells you have to clean it. And day three gives you solutions on this piece. Now this essentially becomes a utility for for customers, again, using the power of push, getting it into the inbox and delighting customers. This is a campaign that we have done for one of India's largest banks, where they used to have these big long messages measured in feet mortgages. And what we did was we split that up, made it more informative into three meals, three M's, sent them one after the other on three successive days. So 40% increase in open rates. That's the magic of what ends can be. And other brands hotline to customers informative short series and telling the story. The next idea gamified are incentivized emails, what I call atomic rewards. Like I said earlier, there's law of incentives to do transactions. The challenge is what happens in the top part of the funnel. So transactions is excuse me all about spending money. But what about attention, engagement habits? That is where we want customers to also spend their time time is also valuable spending time is what will lead to the transactions the money. That is where we need to think of micro moments. And can we incentivize these micro moments. Again, that's where emails come in. Many of you are familiar with this game Clash of Clans why My son taught me to play this many years ago. And it's an amazing game, it brings you back, day after day for a few minutes every day. And there are rewards, there's something to do, there is gold to be picked up alexza to be picked up. On there are daily challenges. Gamification works for kids, and adults. And that the same idea we will use here. So many of you all be familiar with this book, atomic habits by James clear. So think of atomic rewards, micro incentives for micro moments, but not linked with a transaction. That's the key

to get customers to pay attention, pay them for their attention, very important idea. Because otherwise, they churn or they become inactive or dormant, and you will end up paying Google and Facebook 100 times more for them. So think about how you can use micro rewards, for emails for email actions that you want to give to drive and reward your customers. So you get them to do what what you want. Otherwise, many of them could churn. And then because the valuable ones will end up acquiring them, again through Google and Facebook. So that's the idea of reward attention. There are many benefits of atomic rewards for an email program, it can lead to more opens, it drives a better domain reputation, more inboxing. And therefore lets you reach out to many more customers who are perhaps inactive with widens the base that you can reach out to, at a broader level, more opens means more clicks, more engagement, greater retention, which of course can lead to more transactions. It's about have a habit formation, lower churn, fewer inactives. And, of course, lesser spends on the acquisition. All of this is helping you move budgets away from ad tech into Martech. The less money that you spend on ad tech, the higher will be your available surpluses greater the profitability for you as a business. So here's an example of how the atomic reports idea could work. For this again, a typical email, we run a newsletter called martham, we send these out to people who opt in, excuse me, for two changes in this month. So in the subject line, you see this mu dot 972, the mu, what I said earlier, identify the mu tells the recipient, that this is a meal with rewards. 972 tells the recipient there is a genuine one, because that's the number of points I have, which only I know, no one can just put a random number out there and persuade me that there are good rewards. In this case, there is one mu two beyond for an open. And as soon as I open, it shows at the bottom and increment. So I get the feedback in real time. 972 goes to 973. And then of course, there's one click to redeem on to a new shop where I can use it, use the new for whatever else I want to purchase. Now, as a brand manager, you could also incentivize clicks, you could incentivize what we saw earlier with the M the form fields, asking for personal information. Tell us your age. Tell us your gender. Tell us what you want to buy next. Just ask the person but because we are asking them to spend some time give us their attention, engage with us, give them a micro incentives. That's the idea which games have done very well. That's the idea of gamification. Overall, this is what microns is about a composite five by email, which is identified like in the subject, the mean that you saw, which is in inches on a single mobile screen, rather than going into multiple screens, which typically happens with many promotional mainstream, it is interactive, so people can engage with it. It's fun answering it right there questions, surveys, ratings, anything that you want, you can actually collect, but incentivize them, make it fun gamified and also make it as informative as possible. Of course, you could apply this atomic rewards idea to existing, transactional and promotional emails also that you are sending out, but create a new category. Like we saw pre purchase post purchase for React reactivation. Informative means the real power of this idea of microns comes when you can combine all of these five ideas together into a single email package. That's the power of microns, if something new for you to look forward to try it out in your own company. And here's an action agenda for you to put more money, what I call the hook customers action plan.

So, here's a simple way to measure engagement, I call it a hook score for all your email subscribers, think of score as equal to opens multiplied by one, plus clicks into three to incentivize, we are calculating clicks, and three times what an open is worth, just do it for the past 30 days. So you'll have all the data, just calculate the score for the past 30 days for every one of your customers, you can now create cohorts. So a score of zero of course means an inactive customer, you can do aggregate individual average median scores with for the past six to 12 months to see the efficacy, the impact of your marketing programs, I've talked about email, but the same ideas can actually be used for any other push messaging channels. You can even apply this on your website or app. But keep it very simple. track it over time, and then set a target. How can you improve book score up by 6% Each month so you can double it in a year. Track the change in hope score with NRR net revenue retention, or with the cusp of customer lifetime value. And you will probably see very interesting correlations. So the idea of outscore is a very simple metric to track engagement, and track improvements in engagement. As you go forward. Of course, you can make it a bit more complex by adding in transactions etc. But I've tried to keep it very simple opens into one plus flicks into three for the past 30 days. So here's a summary of the key ideas that we spoke about today. Focus on engagement and attention, the upstream of transactions. That's really where we are focused on time, getting people to spend time with us will lead to get getting them spending money. microns is a great innovation. To help drive email engagement, you could use the individual ideas that we spoke about and EMS microns, or in the ideal case, I think, which is the remit the real power will come in is to use it as a composite. This is where you can use email as a very powerful channel to drive the three hours of Montek retention to build a hotline with your existing customers to branding for pay attention, send them something interesting health tips if you're a pharma company, finance, personal finance tips if you're in the finance, space, and so on retention, pre acquisition for the ones who have reactivation, and for the ones who have become dormant and reference and start by tracking change in the hook score over time. So that was a mistake there. By the way, sorry about that, should we activation or not react to this and we are going to spend money to Google and Facebook, we definitely don't want to do that. So start by tracking change, no score over time, a hope score again, very simple calculation is equal to opens into one plus clicks into three measure over the last 30 days. So this is my last slide. So essentially, I've done a lot of writing on these ideas. at my blog. I write every day Media Marketing and Entrepreneurship and sometimes of course on India, but go to rajeshjain.com/marketing. And you will find more details about all of the ideas that I've talked about. And you can of course, send me your questions or comments in the q&a box or to me and I'll be delighted to answer them. If you'd like a copy of the slide deck, please feel free to email me Rajesh at netcorecloud.com. So thank you very much. Have a wonderful event. And I look forward to hearing from you. Thank you

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