Email Marketing Benchmark Results

Marketo Benchmark on Email Marketing

Jon Miller

Co-founder and VP of Marketing, Marketo

© 2011 Marketo, Inc. Marketo Proprietary and Confidential

Jon Miller, VP of Marketing and

Co-Founder, Marketo

• Author of the Modern B2B Marketing Blog

• About Marketo: • Cloud-based Revenue Performance

Management provider (marketing automation and sales effectiveness)

• 1,400 customers: fastest-growing private company in Silicon Valley

• Highly efficient revenue cycle


Answer the Question:

How does my Email Marketing compare to my

peers and what are the best practices?


Industry Breakdown

Software & Internet, 32%

Business Services, 14%

Manufacturing 14%

Healthcare, 6%

Financial Services , 6%

Other, 22%


Number of Employees

0%

5%

10%

15%

20%

25%

30%


How the Benchmark Works

Get Your Report. Take the Survey

Crowd Sourced Personalized

• Industries

• Top Performers

• Averages

Calculate the Information

Analyzed


Top Performer Methodology

High Revenue Growth

Low Unsubscribe

Rate

Low Bounce Rate

High Trust Rate

High Satisfaction

Level

Top Performer

• Makes up top 5% of responders • Top performers span 10 industries


Basic Email Marketing Metrics

Metric Average Top Performers

Open Rate 11 - 15% 16 - 20%

Click Thru Rate 2.1 – 5% 5.1 – 10%

Click to Open 11 - 15% 16 - 20%

Bounce 2.1 – 5% < = 2%

Unsubscribe 0.11 – 0.2% < 0.1%


Top Email Marketing Goals

Lead generation

Online sales

Offline sales

Website traffic

Branding and

awareness

Education


Top Email Marketing Challenges

Click through rates

Inbox overload Deliverability Budget/resources restrictions

Building and managing campaigns

Measurement Incorporating social sharing


Capabilities and ROI - Average

Frequency of Use

ROI Impact Great Increase

Moderate Increase

Little Increase

No Noticeable

Change

Decrease

Never Rarely Often Always

Text Email from Sales Rep

TP

TP

Custom Landing Pages

Social Sharing

Triggered Emails Drip Marketing Segmentation

Dynamic Content

Testing


Top Performer Differences

Frequency of Use

ROI Impact Great Increase

Moderate Increase

Little Increase

No Noticeable

Change

Decrease

Never Rarely Often Always

Segmentation Average

Segmentation Top Performers

Landing Page Average

Landing Page Top Performers

Drip Marketing Average

Drip Marketing Top Performers


Opt-In Methods

All Responders Top Performers

What opt-in method do you use?

0%

20%

40%

60%

80%

100%

Singleopt-in

Doubleopt-in

Opt-out Other Don'tknow

0%

20%

40%

60%

80%

100%

Singleopt-in

Doubleopt-in

Opt-out Other Don'tknow


Data Sources

All Responders Top Performers

What sources do you use to acquire contacts for email marketing?


Trust in Emails

When your audience trusts your emails they are: • More likely to open them • Less likely to unsubscribe • Much less likely to mark them as spam

My Email is Trusted

(% Agree / Strongly Agree)

Open %

Unsubscribe %

Bounce %

Average 54.6% 11 – 15% 0.11 – 0.2%

2.1 – 5%

Top Performers

100% 16 – 20% 0.06% - 0.10%

< = 2%


List Building Impact on Trust

55.4% 54.7% 54.6%

48.2% 44.5% 43.8%

0%

10%

20%

30%

40%

50%

60%

70%64.4% 64.3%

54.6%

48.2%

% Using Method Saying Their Emails Are Trusted (Agree / Strongly Agree)


Frequency of Communications

Daly

Weekly

Two Times per Month

Monthly

Quarterly

Occasionally

Don’t Use

Product and Service Promotions

Newsletters

Automated Nurturing Emails

Event Promotion

Average (Shown as a % of Total)

Daly

Weekly

Two Times per Month

Monthly

Quarterly

Occasionally

Don’t Use

Product and Service Promotions

Newsletters

Automated Nurturing Emails

Event Promotion

Top Performers (Shown as a % of Total)

0 10 20 30 40 50 60 70 80 90 100

0 10 20 30 40 50 60 70 80 90 100

Estimate how often an individual in your database typically receives communications.


Resource Allocation


Conversion Rates

0%

10%

20%

30%

40%

50%

60%

< 5% 5.1 – 10% 10.1 – 15% 15.1 – 20% 20.1 – 25% > 25% Don't Know

52%

Impact of marketing automation: • Companies with Marketing Automation: 9.2% average • Without Marketing Automation: 7.2% average

% Known Name Conversion to Marketing Qualified Lead (MQL)


Key Takeaways

1. Top performers use more email marketing tactics and get higher ROI

2. Top performers are more realistic about the level of engagement on their lists

3. Trusted emails have lower bounce and unsubscribe rates; the way you build your email list has a large impact on whether recipients trust your emails+

4. Top performers spend more time overall, and significantly more on email marketing strategy


What’s Next?

• More data slices! • Industry

• Company Size

• B2B vs. B2C

• More benchmarks! - Revenue Performance Management

- Social Media

- Lead Nurturing

- Marketing Measurement, etc.

RPM

Social Metrics


Participate in the Benchmark

www.marketo.com/benchmark

http://www.marketo.com/benchmark


Marketo: Take Your Email to the Next Level

Powerful and easy marketing automation:

• Triggered emails

• Drip emails

• Inbox deliverability technology

• WYSIWYG editor

• A/B testing

• Lead management / CRM integration

• ROI analytics

Salesforce - Best

Marketing Automation

Best Marketing

Solution Best Marketing and

Sales 2.0 Solution

Marketing Solution

Winner

Salesforce - Best Mass

Email Solution

http://www.marketo.com/_includes/wp/news/wp-content/uploads/2010/11/Sales-2.0-logo-small1.jpg


Marketo, Inc. 901 Mariners Island Suite 200 San Mateo, CA 94404

JON MILLER VP Marketing

[email protected] @jonmiller2

Contact Us

Participate in the Email Marketing Benchmark now! www.marketo.com/benchmark

Email Marketing Benchmark Results

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