The purpose of the study is to examine how utilizing volunteered data influences the response and unsubscribe rates of e-mail marketing to consumers.
Abstract
Purpose
The purpose of the study is to examine how utilizing volunteered data influences the response and unsubscribe rates of e-mail marketing to consumers.
Design/methodology/approach
In three longitudinal field experiments conducted among 1,864 applicants of a higher education institution, the study compares customized marketing e-mails based on volunteered consumer data to e-mails that are personalized based on observed consumer data and to control e-mails that are not tailored by the marketer at all.
Findings
The results indicate that marketers should make consumers active participants in the communication process, as response rates are higher in those e-mails where volunteered data are utilized. However, the unsubscribe rate is the highest in customized e-mails.
Research limitations/implications
The authors demonstrate that e-mails displaying empowering aspects influence consumers' behaviors and lead to outcomes that mostly outperform non-empowered e-mails.
Practical implications
Compared to other forms of interactive marketing, e-mail has lagged behind in both popularity and customer-friendly implementation. However, it has the potential to succeed if marketers pay more attention to consumer empowerment. As over 306 billion e-mails are sent worldwide daily and 75% of marketers use e-mail when contacting customers, the increase in response rates can have a significant influence on their returns.
Originality/value
Unlike prior research the focus was on the process of tailoring, this perspective supports customer advocacy and emphasizes consumers' important role in creating engaging, empowering e-mail marketing communication.
Details
Keywords
The purpose of this paper is to clarify why, when and how e-mail marketing can be used to empower consumers and to give ideas for future scholarly research.
Abstract
Purpose
The purpose of this paper is to clarify why, when and how e-mail marketing can be used to empower consumers and to give ideas for future scholarly research.
Design/methodology/approach
Systematic literature review studies 41 e-mail marketing and 54 consumer empowerment articles published in variety of academic journals between 1998 and 2014.
Findings
E-mail allows an active, interactive and personalized communication fulfilling the preferences of an empowered consumer. E-mail marketing can be used to empower consumers by sending e-mails based on permission, by making consumers active participants in the communication process and by making e-mails relevant for the recipients. However, current e-mail marketing strategies need to be updated to get the maximum benefit out of the channel.
Research limitations/implications
The limitation of the study is the broad domain of research, which hampered the in-depth analysis. However, the study was able to synthesize the scattered literature and create an overall picture of the topic as planned.
Practical implications
The paper encourages managers to use empowering e-mail marketing strategies and presents several suggestions for future e-mail marketing research.
Originality/value
The paper uses a new perspective, consumer empowerment as a lens for understanding e-mail marketing. Because e-mail marketing is currently very popular among marketers but is threatened by its negative image among consumers, it is important to understand how e-mail marketing can be developed so that it can also survive in the future.