Every email marketer wants to increase relevance, whether
through timing, content or segmentation. The e-commerce marketers
in this article push for one-to-one relevance. They send
personalized content to individual subscribers and get great
MarketingSherpa describes three tactics that increased
revenue by more than 10% across the company's campaigns. You'll see
how the marketers weaved each tactic -- such as customized display
ads and abandoned cart follow-ups -- into the strategy and their
Tactic #1. Target content to search behavior
Tactic #2. Target content based on past purchases
Tactic #3. Target abandoned shopping carts
Cart abandonment emails have been a boon to many
e-commerce sites, including Motorcycle Superstore. Barney's team
has achieved great results (all results are averaged):
52% open rate, more than three times higher
than the team's standard emails
49% clickthrough rate, 48% higher than standard
7% conversion rate, more than three times
higher than standard emails
20% higher average order value than standard
73% lower unsubscribe rate than standard
To read the full article, click here: http://www.marketingsherpa.com/article.php?ident=32231#
This is a very good article to remind us of the importance of
"all channel communications". The slogan that is referenced
in this article is "anytime, anyplace, anybody, anyway".
Many organizations feel that they need to define the
communications channels that they believe their customers should
use. Ultimately, the customer is king and should be offered
choice - this article is yet-another story about the value of
We live at a time when, in the B2C world, the customer's
expectations are at an all-time high and are continuing to grow at
an almost exponential rate.
Consumers expect access to you, your business and your products
24 hours a day, 7 days a week and they expect this across whichever
channel they happen to be using at that time. The massive growth of
the Internet over the last two decades combined with the 'always
on' accessibility of today's smartphones and tablets ensures that
your clients can find what they want, when they want it; offering
instant gratification of an ever-growing array of needs.
This 'Age of the Never Satisfied Customer' was first brought to
our attention almost 14 years ago by Regis McKenna in his
similarly-titled book. In an interview with Harvard Business Press,
McKenna was quoted as stating "everything we need to know (or even
things we only occasionally want to know) is available anywhere,
anytime at our fingertips". That was back in 1999.
McKenna's proposition and the reality of customer communications
today are surmised by the marketing slogan used in the 1970s and
'80s by Martini - "Anytime, anyplace, anywhere".
We could go even further and update the slogan for today's needs
to "anytime, anyplace, anybody, anyway". For the sake of
simplicity, let's still call it 'The Martini Principle'.
Brands that understand the Martini Principle are constantly
raising the bar of what is possible for customer communications.
Starbucks, for example, understands the Martini Principle
perfectly. You can 'Like' them on Facebook where they interact with
customers all day. You can download their apps to find a local café
or even pay for your drinks using a barcode that the app displays
on your screen. And when you reach the right level in their Rewards
programme, they will mail you a voucher on a postcard.
Mail? Yes-because Starbucks understand that this is how their
clients want to be communicated to when it comes to rewards and
vouchers. The experience of receiving a physical affirmation of
your brand loyalty is greater than that felt if they were to
deliver the coupon to your smartphone, Facebook or Twitter
accounts. It also forces you to visit the store to collect your
To succeed in this world, organisations must therefore get all
of their customer communications right. Getting it right
incorporates developing innovative, relevant and timely
propositions which meet holistic customer needs and which are
available via the customer's channel of choice.
Given that the vast majority of documents and communications
delivered by information systems are mundane (but critical) client
communications such as statements, bills, invoices and other
transactional documents, this is also the area of greatest benefit
to those organisations that wish to embrace the Martini
Financial services institutions, banks and utilities are not
alone in this arena. An ever-increasing number of new entrants
become active in the 'high-volume transactional output' sector,
from supermarket chains to mobile phone operators and consumer mega
brands; standing out from the competition and establishing trust
are critical to their success, as they strive to serve the broad
needs of the 'never satisfied customer'.
To take advantage of the massive revenue opportunities and
cost-cutting benefits available in this field, organisations will
need to use relevant data about their customers. This allows them
to engage, inform and educate consumers about why they need their
products or services, through to communicating what makes them a
more appropriate supplier than the next company. And that's where
multi-channel communications come into play.
Customer communications management incorporates the marketing
capabilities to design and execute customer segment-specific,
multi-channel in-bound and out-bound messages. It also includes the
ability to internalise those messages to enable all customer-facing
staff to bring the brand and the message to life at every
interaction with the customer.
But how does a business manage this in a world where a
significant percentage of transactional output is still generated
by one or more legacy systems? How do you optimise this output for
electronic or hard-copy delivery? How do you take that paper
statement and update it to include one-to-one messages? How do you
internalise it so that your call-centre staff understands exactly
what was received and what brand message has been promoted? What
needs to happen to your archive so it can cope with all these
Should you choose revolution or evolution? You could embark on a
multi-million pound/euro/dollar project to update your
applications, financial systems, marketing systems and
communications solutions. That would certainly be one method, and
you would not be the first business to go that route. You might
look at making changes in the document composition stage of the
process, which is also a pricey and time consuming road to
By far the lowest risk, fastest-to-market and least-cost option
is to make as few changes as possible to the upstream processes and
infrastructure and to concentrate instead on the output of these
systems. The fact is that the further down the output process you
go, the more cost-effective it is to make the change, and the
disruption to the business reduces too. Smart brands understand
that leaving their legacy systems alone and making the changes at
the very end of the output cycle is the way to go.
By post-processing your documents you can update the contents of
those communications with everything from re-branding, consistent
messaging and complex one-to-one advertising through to simple
barcodes or control marks that drive print inspection and
enveloping equipment. You can also keep pace with the ever
increasing regulatory burden of compliance. Customer preferences
can be monitored to automate the formatting and re-routing of
communications pursuant to the individual client's device of
choice. You can even pass the output to an on-ramp solution that
understands which clients are using a digital mailbox service and
send their documents directly to their inbox.
The possibilities are almost endless and as new communication
opportunities continue to be developed by the likes of Google,
businesses and brands will have to find innovative ways to embrace
the Martini Principle and stay one step ahead of their
However, in a double-dip recession world, businesses everywhere
have to find the most cost-effective and least disruptive way to
achieve this. Push as far as you can to the end of the output cycle
and you'll be able to satisfy your customers - anytime, anyplace,
anybody and anyway - without breaking the bank.
This article was written by Stewart Rogers, Director of
Marketing Communications, at Crawford Technologies.
When we talk about multichannel marketing many marketers fail to
include direct mail in the mix and concentrate only on the digital
world. However, as we can see from the article below, this approach
is flawed. While incorporating online channels into your marketing
efforts is vital, we can't overlook customer preferences, many of
which prefer to receive printed materials over email for some types
of communications. By simply cutting print entirely and forcing the
consumer into an entirely online relationship you may end up
cutting off communications with some customer's altogether.
While email does have its advantages, for both marketers and
consumers, we can't overlook the fact that more email than ever is
being sent to consumers, clogging their inbox's, sometimes causing
your message to be lost in the crowd. Consumers will only open
emails that are relevant to them and that are from trusted brands.
One way to build that brand trust is to offer customers a choice of
what they want to receive and how they want to receive it.
The key is to ensure that your message is consistent across
channels and relevant to the consumer you are targeting. By
offering customers a choice and delivering on it, you will maximize
your marketing dollars by increasing your ROI.
Direct Mail Dominates as Customers' Preferred Information
Though considered outdated by some, direct mail holds an
emotional connection, making it the favored mode of brand
communication for U.S. and Canadian consumers.
Papachristos | Published 12/20/2011 in 1to1
Just like a gift at the holidays, receiving a letter in the mail
brings with it a childlike sense of excitement. But now, with the
technological revolution afoot, much of our mail arrives
electronically, becoming a nuisance rather than a pleasure.
However, when it comes to brand communications, U.S. and Canadian
consumers continue to prefer "old school" direct mail above all
other forms of contact.
According to Epsilon Targeting's 2011 Channel Preference Study,
"The Formula for Success: Preference and Trust," 60 percent of U.S.
consumers and 64 percent of Canadian consumers enjoy checking their
mailboxes each day, signaling an emotional connection with direct
mail. The study, which polled 2,226 U.S. consumers and 2,574
Canadian consumers, also reveals that 50 percent of U.S.
respondents and 48 percent of Canadian respondents pay more
attention to postal mail than email. Additionally:
*Thirty percent of U.S. respondents and 50 percent of Canadian
respondents said they're receiving more direct mail that interests
them as compared to a year ago.
*There's a perception that reading email is quicker than sifting
through postal mail. However, only 45 percent of U.S. respondents
agreed with that in 2011, down slightly from 47 percent in 2010,
suggesting that clogged inboxes are increasingly a time drain.
*This year saw a 66 percent increase in consumer product
information research and review via Facebook. Yet, 33 percent of
U.S. consumers and 31 percent of Canadian consumers said that they
don't find advertisements on social media sites useful.
*Thirty seven percent of U.S. respondents and 29 percent of
Canadian respondents use television to get consumer product
information daily, down from 43 percent and 35 percent,
respectively, in 2010.
*The least trustworthy channels are social media and blogs,
garnering only 6 percent and 5 percent of U.S. and Canadian trust,
*Of those who prefer email over postal mail, 34 percent of U.S.
respondents and 42 percent of Canadian respondents cited saving on
paper as their main impetus.
Key takeaway: Acting on customers' contact preferences
facilitates customer trust because customers then feel that they're
in charge of how and when they're contacted. To convey brand
communications in an effective, successful manner, marketers must
first come to understand which channels appeal to which customers
during various points of the purchase cycle. This will allow
marketers to build a cross-channel marketing strategy that
reinforces information shared offline and vice versa.
In response to the continued excitement about transforming
digital and social media channels into marketing communication
vehicles, Lyris has put together a comprehensive marketing guide
outlining 22 Tips to Cross-Channel Success through the eMarketer
FYI newsletter. This complimentary guide, found at
provides interesting statistics, examples, best practices, and tips
for marketers that are interested in reaching their audiences where
they live, work and play.
If you look at the staggering statics swirling around social
media engagement it isn't difficult to see why marketers are
looking to take advantage of these opportunities. I personally
loved the idea of signing-up for all of your competitor's Twitter
accounts so you can see what they're up to, and be prepared to
react to what's happening in the market.
This guide describes the importance of Social and Email, shows
how they work together to drive business, tells you how to
integrate the channels together, and what tools you can use to
build towards quantifiable ROI when measuring Social, Email and
overall Cross-Channel campaign success.
Check out the link to see what you can do to improve your
customer engagement efforts.
Most conversations about multi-channel communications typically
lead to an over-simplified analysis on 2 demographic groups……the
"old" generation likely prefers traditional channels such as paper
and the "young" generation favours digital/electronic
communications. The obvious conclusion is that electronic
communication will ultimately dominate all channels as the years
move on. This article is really interesting because it
highlights a recent study showing that this young generation -
called "digital natives" actually prefer traditional (print/mail)
channels for some communications over digital.
What this suggests to me is that we (as marketers and
communicators) probably shouldn't make a lot of channel
assumptions. We might think that one demographic group
favours one channel while another demands a different
channel. We will never know. And even if our
assumptions are right, should we really be talking to "groups" or
We believe that all the energy that goes into "guessing" about
channel choice should be redirected to delivering solutions that
let our customers choose - and then honouring those choices by
providing all communications across all channels!
Electronic Media vs. Print: Digital Natives Strongly
In a recent survey, a new generation of
Digital Natives show strong preferences for paper - still the
favored medium of all age groups for reading and safe keeping of
documents, according to a report. What does this mean for the
world of high volume transaction output? Share your comments at the
end of this article.
The research was conducted by IPSOS - in association with
industry organizations Two Sides and Print Power - who
interviewed 4,500 European consumers who declared their preference
for paper based media in a digital world.
"In an exciting multimedia world, with mobile devices setting
the communication agenda, it's perhaps surprising but reassuring
that paper based media is still widely trusted and preferred," said
Martyn Eustace, director of Two Sides, an organization dedicated to
promoting an understanding of print and paper's environmental
sustainability. "Publishers of books, newspaper and magazines will
be delighted, I'm sure, to know that, for their readers who can now
choose to read many different devices, print on paper is still a
In brief, the survey shows that in
The 18 - 24 year old age group, the so called Digital
Natives, lead consumers in appreciating paper based
---83 percent of 18-24 year olds, (80 percent of all consumers),
believe that reading from paper is nicer than reading off a
---78 percent of 18 - 24 year olds, (74 percent of all
consumers), say that compared to other media, print and paper is
more pleasant to handle and touch.
---63 percent of 18 - 24 year olds, (58 percent of all
consumers), prefer to keep important documents on paper
And when it comes to the environment:
---57 percent of 18 - 24 year olds, (54 percent of all
consumers), believe that paper records are more sustainable than
electronic storage of information
---63 percent of 18 - 24 year olds, (68 percent of all
consumers), believe that print and paper is based on a renewable
But there are clear signs that consumers require more
information about the environmental sustainability of print and
---80 percent believe that forests in Europe have remained the
same or decreased in size over the past 50 years. (In fact,
according to the UN FAO, forests have actually increased in size
by 30 percent)
---Most consumers believe that about 20 - 40 percent of waste
paper is collected.
(In fact, according to the European Recovered Paper
Council, ERPC, the European recycling rate for paper and
packaging is 69 percent. The industry is one of Europe's leading
"The message here," says Eustace, "is that whilst consumers are
still showing strong preferences for paper, we can do more to tell
them about the industry's great environmental record, particularly
on recycling and the very positive development of Europe's forests.
We don't want consumers feeling guilty about using print on paper;
it's a fantastically powerful and sustainable way to
Two sides will be using the results of the survey to plan its
continuing campaign, to create a better awareness, it says, of the
great environmental credentials of paper and print media.
What are your thoughts on electronic media's impact
on high volume transaction output? Views on this survey? Share your
thoughts and comments below.
I thought that the article below was very interesting and
fitting for a recent online experience I just had.
If any of you are busy Mom's or Dad's out there you know that
holiday shopping can be a chore. I prefer to check out products and
deals online first, make my list and then decide if I will purchase
online or brave shopping in mid-December.
Last night as I was working away I saw a commercial for
Toys"R"Us and I have to say what a great job they have done
connecting all the multichannel touch points with their holiday
First, their holiday commercial is a retro 80's commercial from
when I was a small child. This created a ton of emotion for me as I
remember the commercial and song and all of a sudden I was on their
site checking out what I should get my children for Christmas (a
month early). As soon as I landed on the site there is a holiday
promo where consumers can win $1,000 towards their child's wish
list. The catch? - You have to create the wish list online first
and then enter the contest. So now I am browsing for exactly what
my children would like for Christmas. I entered the contest and
then it took me to an instant win game where I could win a gift
card or more entries into their contest. The best part is that they
"invited" me back to enter every day until the contest closes. I
can even access the contest on my mobile for my convenience. I
looked down at the clock and I had just spent 30
minutes browsing the Toys"R'Us online store and it only felt
This promo really took multichannel to the next level:
Read more about how to provide customers with a multichannel
Transforming Big Data Into Big Opportunities
Companies that blend structured and unstructured data sources to
create a holistic view of the customer can leverage the growing
influx of information to their advantage. No matter which
direction we look, it is not until we turn full circle that the
entire view comes into focus. This especially applies to gaining a
truly holistic view of customer data. With the flood of structured
and unstructured information pouring in from a growing number of
sources, companies need to look further than they have in the past
to gain that 360-degree of the customer. Once organizations
determine which sources of data will create the complete customer
view they need, they must determine how to bring that information
together to enable them to act on it.
This abundance of information encompasses everything from what
products customers are searching for to how they prefer to be
communicated with to whether they pay on time. In other words,
there's more information than ever before on their behaviors,
needs, and value or potential value-data that's essential to
building a customer experience based not only on what's most
important to customers, but also on what will deliver business
"A 360-degree…customer view looks beyond simply providing a
consistent experience to the customer," says Doug Cox, general
manager, North America, at GMC Software
Technology. "It delves deeper, blending CRM data with
operational data from a variety of sources including invoices,
third-party sites, and contracts to understand what the experience
is that the customer actually wants, and what is needed within the
company to have the agility to deliver that experience. It's a more
holistic approach to customer communication management."
According to Joseph McFadden, director of marketing at Enkata, companies also must
understand their customers' interests and intent. Gathering voice
of the customer insight is one way organizations are doing this.
"Companies have begun to embrace the power of customer opinion and
deploy tools to collect, measure, and act on the voice of the
customer; surveys, tools to analyze customer calls, tools to track
customer patterns on the web, tools to uncover customer commentary
on social sites," McFadden says.
This information can provide a deeper level of insight that
companies might not get otherwise. For example, because companies
can now monitor what customers do online, they can determine key
influencers and who consumers trust the most, says Steve Woods, CTO
Like a conductor who brings myriad instruments together to
produce a harmonious symphony, companies must keep track of the
many different voices coming from both individual consumers and
various customer segments, across all available channels. By
layering customers' activities, such as monitoring their webinar
attendance, community activity, and social tendencies, onto other
behavioral data companies can add depth to their customer
knowledge, says Woods. Companies can then use such tracking methods
to present relevant information and offers that build customer
engagement and bolster customer loyalty.
Build a holistic customer view
Once companies determine which of the myriad data sources
available will form a true 360-degree view of their specific
customers, those organizations must then combine that often-siloed
information in a way that will make it actionable. "You can get a
360-degree view by standing on top of a mountain, but you can't see
everything at one time. You have to turn your body around to see
all the segments that comprise the complete view," says Blaise
Barrelet, founder and CEO of Anametrix. "Technology can put
all those segment 'snapshots' together into one panorama."
Some companies are embracing cloud technology to compile
multichannel data and make that information available across all
departments. According to Eloqua's Woods, putting information in
the cloud allows cross-department sharing, pulling together the
pieces of a scattered puzzle. Other firms are using tools that
layer atop and across existing systems, pulling data from them to a
central system that creates a holistic view of the customer and
allows for cross-channel analytics.
Creating that panorama often requires more than technology,
though. Integrating cross-channel data is a stumbling block for
many companies because it also takes collaboration across
departments, and often requires new processes. According to Ahmer
Inam, senior manager of analytics at Quaero, companies are failing to
build links between channels and departments, leaving a
Some organizations are solving these issues by created shared
goals across functions or channels, or building cross-functional
teams that have oversight and authority for collaboration among
department. When both data and staff come together, the view of the
customer and how best to serve them becomes clearer.
"It's as if you're on a mountain that has a network of roads
that converge at the peak. Because there are tall trees everywhere,
all you can see is the road you're on and the intersections with
other roads as you encounter them," says Barrelet of Anametrix. "If
you could only get above the trees, you could see how all the roads
intertwine to determine your best route to the top."
Understanding one's customers clears that path to success.
This article - and the attached video - is a great discussion on
preserving the "single-channel" approach to communications.
I guess USPS has more at stake than most organizations as more
communications move away from the physical mail channel. But
can we as service providers control (or even influence) channel
choice? I don't think we can. Ultimately the consumer
will demand multi-channel and the successful marketers will be
those that are able to meet these demands. Part of Innovating
- according to Doug's article and most of the success stories in
our shifting economy - is taking risk. Risk to transform your
organization to embrace changing technology. Risk to
cannibalize existing business in order to the right thing for your
customers (USPS has a hard time with this - understandably).
We believe that service providers need to be channel agnostic and
prepared to take these risks - on behalf of their customers,
shareholders and employees!
Now that the Canada Post strike is over and mail is starting to
flow again, many people are wondering whether things will return to
the way they were. Will businesses and consumers move
away from physical mail to email, social media and
e-presentment. Will mail volumes slow and eventually
disappear? There were some really interesting points made by
Elizabeth Renzetti in the Globe and Mail last week:
"With or without a Canada Post strike, we know that mail volumes
are declining. According to the CBC, Canada Post estimates a
17-per-cent drop in five years, while the postal union says 6 per
cent. The vast majority of that is stuff nobody is pining for:
bills and Visa statements and requests for money from the
university that once tried to kick you out. After 11 days of
rolling walkouts, Labour Minister Lisa Raitt said, "there hasn't
been a lot of public outcry." In other words, no one's waiting by
the mail slot with bated breath."
Many forms of communication suit electronic distribution.
We recently ran a series of e-presentment webinars and they were
well attended by people representing insurance companies,
investment companies and utility companies - all organizations that
spend hundreds of thousands of dollars on postage delivering
customer data - statements, invoices and other transaction
notices. We believe that these types of communications will
continue to move towards e-presentment which delivers cost
reduction by eliminating postage, faster delivery through the web
and enhanced security.
But we feel that each piece of communication is different and
any notion that "once size fits all" is wrong. While
e-presentment is garnering great interest, so is multi-channel
communications - the practice of delivering communications in the
channel chosen by your customer - email, postal mail or the
web. And Renzetti's article uncovers some other interesting
"Well, let me tell you: Nobody has ever felt their eyes well up
at the arrival of a tweet. No one is going to be clutching a bundle
of tweets on their deathbed. E-mails are not redolent of old
people's sock drawers, the way envelopes containing birthday money
are. Facebook is a fusillade of vacation photos and cat miscellany,
but a letter is a guided missile to one person's heart. Maybe it's
not the hard work of writing letters that accounts for their rarity
these days, but the privacy of the sentiments they contain."
"When John Keats wrote to his beloved, Fanny Brawne, "I know not
how to express my devotion to so fair a form: I want a brighter
word than bright, a fairer word than fair," maybe he was merely a
captive of technology. Perhaps, 200 years later, he would have
texted her a picture of his weedy, tubercular chest next to the
words "Yo, Fanny, you is well fit," but somehow I doubt that
message would be handed down through time."
We all encourage our kids to send a note of thanks for special
occasions and thank yous. The written word will always stir
greater emotions than a digital message delivered into your
And we believe that this notion of multi-channel is very
relevant in B2B and B2C sectors. Can a highly personalized
welcome package or enrolment kit be delivered electronically?
Of course it can - but not with the same impact to your new
customer. Could email marketing messages completely eliminate
direct mailers? Of course they can - but ROI would suggest
that savvy marketers leverage multi-channel or "all-channel"
communications to maximize results or ROI.
So I guess the return of mail and the future of mail is kind of
like the paperless office that we were selling at IBM 20 years
ago. Some forms of communication will move to electronic
channels - permanently. But many will not. Which I
guess is good news for the Canada Post letter carriers….
This article by Steve MacLaughlin really drives home why a
single channel marketing strategy is no longer viable in today's
society. While this article focuses on not for profit, the message
is the same for any industry that has not yet embraced a
multichannel marketing strategy.
Single Channel Communication Is Dead
Direct mail is dead. Email is dead. TV and radio are dead. Face
to face is dead. Telegraph is dead. Social media is dead. There are
so many obituaries being written these days that it's hard to tell
what's still alive. Is everyone just trying to be clever or are
they auditioning for a role on CSI?
None of these channels are dead. OK, telegraph is still dead
despite rumors of a comeback. And there is a continual evolution
within each of these communication options. Nonprofits are still
improving their use of direct marketing, phone, email, and other
What is dead is the use of one channel at a time to engage
people. What is dead is operating in silos of data and systems that
don't play well together. What is dead is mindset that multichannel
communication doesn't apply to your organization. The old ways of
planning and managing constituent communication are dead.
Single Channel Is Dead
There, I said it. In fact, it's been dead for a while now. Most
savvy companies and organizations recognized this years ago and
have diversified their engagement streams. The reality is that you
can only get so far riding one horse. The channels aren't dead, but
using them by themselves is.
Using a single communication channel to engage with constituents
is a dead-on-arrival strategy. This isn't just theoretical
pontificating. An analysis of trends and data support this fact.
And basic biology does too.
Humans are Multichannel
People come multichannel-ready thanks to sight, hearing, touch,
taste, and smell. This explains why watching television, texting,
and browsing the Web all at the same time isn't a medical disorder.
Thinking in single-channel mode almost always means ignoring
multiple senses. Great communication strategies focus on hitting
two or more senses. I have a sixth-sense feeling that most
communication today is either seeing or hearing by itself.
People's channel preferences don't rise and fall as quickly as
the prognosticators might like. I didn't stop liking the alumni
magazine just because my university started sending me emails. I
didn't stop liking video just because an organization decided to
invite me to an event. I didn't stop wanting to renew my membership
online just because I can give via SMS. It doesn't work that
Faux Multichannel Is Dead
Just because you sent out a mailing, blasted all of your email
addresses, and posted something on Twitter does not make you
multichannel. That's faking it. Multichannel communication means
thinking strategically about how you combine the use of channels to
The cause of faux multichannel communication is often the silos
of systems and organization charts. It's easier to just do your
thing with your tools than worry about what anyone else is doing.
Of course, this is very hard on your constituents. The end result
is not pretty.
The Proof is In the
Some new trends were revealed in a recent donorCentrics Internet
Giving Benchmarking Group meeting held by Target Analytics. The
group was comprised of 14 very large nonprofit organizations and a
review of online and offline giving between 2005 and 2009. The
median percentages of multichannel donors compared to online or
offline donors are very telling.
First year retention for multichannel donors was 51% compared to
30% for offline donors and 22% for online donors. Multi-year
multichannel donors do even better with 75% being retained versus
59% for offline and 52% for online. The reactivation rate for
multichannel donors was 16% compared to just 7% for both online and
offline donors by themselves.
"Tyranny of the Or"
Recently, I've heard some in the nonprofit sector predicting a
massive shift from direct mail to online giving. They're missing
what is really happening. This isn't direct mail vs. the Internet.
That's the mother of all oversimplified ideas. That's what I call
the "Tyranny of the Or." The global fundraising perspective is that
it's about person-to-person and events and telephone and
face-to-face and direct mail and web and email and peer-to-peer and
social and mobile and other channels. Multichannel means more "and"
- less "or" across the board.
According to the Blackbaud Index of Online Giving, just over 5%
of giving in the U.S. happens online. While the growth in online
fundraising has been tremendous, let's not forget that 95% comes
from other channels. And it's not all from direct mail. Nonprofits
continue to diversify their channels. They aren't turning them
completely off. Don't succumb to the Tyranny of the Or. Think
multichannel and succeed.