• Over 100 million American adults now use the Internet.
• 77 percent of all users send e-mails weekly.
• The average user sends 6.4 e-mails per day.
• E-mail advertising will grow from 3% of total web advertising dollars in 1999 to 15% in 2003.
• Internet direct marketing is estimated to be 60-65 percent cheaper than traditional direct marketing.
Source: Yankee Group
• Direct marketing cost-per-piece comparison: $.01-$.25 per e-mail versus $1.00-$2.00 for traditional mail.
• Banner ads have a response rate between .005 to 1%. Direct mail programs typically generate an average 1 to 2%. Opt-in e-mail campaigns produce and average response rate of 5 to 15%.
• The rapid response rates for email marketing programs (which average 80% return within 48 hours vs. 6 to 8 weeks for traditional direct marketing methods), is building the huge surge in demand for outsourced volume email solutions.
Source: Jupiter Communications
• 59% of adults with access to the Internet send or receive e-mail every day. Another 30% use it at least weekly.
• E-mail accounts for 91% of online usage.
Source: Yahoo/Jupiter Communications/USA Today
• According to G2 Research, organizations gain as much as 30% savings by outsourcing either some or all of their e-mail services.
Source: Electronic Commerce World
• The number of permitted commercial email messages is expected to grow from 3 billion to 250 billion by the year 2002
• Marketers that outsource the delivery and list management of their email have more than 400% higher purchase rates than those that keep email operations in-house (6% versus 1.4%)
• Compared to the average click-through rates of 0.65% for banner ads, opt-in emails average response rates of 18% prompted one analyst to describe their results as "positively dream-like". An estimated 500% increase in demand for email services is expected this year alone (1999).
• HTML email will become the central point of customer contact as it delivers not just marketing, but also transactional and customer service. Both the infrastructure and skills required to personalize, deliver, and analyze such sophisticated email campaigns will force firms to turn to outside experts.
• Among 50 retail marketers which Forrester surveyed, 64% outsourced at least part of their e-mail operations.
• The number of email boxes will grow by about 50% from 1999 to 2003.
Source: Forrester Research
• A well known hotel recently sent an email message to about 8,000 customers who had opted-in to their mailing list. Their offer for discounted hotel rooms received a 45% response and resulted in the selling of 2,000 rooms.
Source: Boldfish Inc.
• 65% of home and work Internet users have a
college degree and their median household annual income is $67,000.
• Of the items for which Internet shoppers browse online, they complete the transaction 15% of the time online, but 43% of the time offline, that's a 3:1 ratio in favor of buying offline.
• When survey respondents were asked about receiving a personalized email newsletter with only product information that matches their profile, 50% of the people said they'd appreciate receiving it, and 25% said they want to receive an email news letter from a merchant once a week.
• The number of email users has hit 122.6 million.
• 65% of the dollars spent on e-mail direct marketing will be used to retain customers, as opposed to acquiring them.
Source: S.G. Cowen