I'm online all day, every day. Well, it seems like it anyway.
Between my Blackberry (I now lust after an iPhone when my current
contract is up because my husband, children and colleagues lord
their apps over me) and computers, it's 24/7. Not everyone is, but
nearly. In the home medical equipment industry, email marketing
campaigns directed by manufacturers to providers are commonplace.
As an HME provider, you know what you like to receive, how often
and what you don't like. The same goes for your customers.
Consumers, referral sources, subcontractors, media contacts,
contract liaisons and employees — everyone is sending and
receiving email. (Meanwhile, teens are texting and
social-networking up a storm, and their email usage is declining;
hence, enter mobile apps.) In fact, email use by the over-65
audience is the fastest-growing, now up to 45 percent of that age
group. They have some catching up to do (they'll never catch up to
use by 25- to 55-year-olds), but email continues to be a part of
their everyday communications.
What Is Email Marketing?
Email marketing is not just sending email text messages;
enewsletters and text emails have been around for awhile. Today,
email marketing is visually vibrant and content-rich online
communication.
Email marketing service providers (ESPs) have put affordable,
easy tools into the hands of small businesses. No longer do you
need to know HTML to put out a brand-rich, professional-looking
custom communication — whether it be a newsletter,
announcement or sales promotion — to target interested
audiences. These emails contain information that is relevant,
valuable and beneficial to the recipient. And a marketing campaign
can now be strategically scheduled and subsequently monitored and
measured for ROI (return on investment).
Emails have come a long way from text only. Think about your
email behavior. Typically, you view emails on a smartphone or your
computer. You might quickly view just a few items: the From line,
the Subject line and maybe six words to a sentence from the
message. You don't open an image or click on a link unless you know
the sender. You make your decision within seconds about whether to
open or delete. When you receive a text-based email from someone
you don't know, you immediately send it to spam.
Most email accounts and Internet service providers (ISPs) limit
the number emails you can send at one time, but ESPs are approved
as bulk mailers. When using an ESP, your email list is being sent
from you through the ESP's server, which is recognized by ISPs.
How Does Email Marketing Fit into Your Strategy?
Relationships drive HME business or any small business. In most
cases, the objectives of using email marketing are to build and
extend the relationship with a customer or potential customer.
Generally, it takes five to 10 communication touches to make an
impact or get the attention of a new prospect. It's six to seven
times more costly to get a new customer than retain a customer. And
the hard and fast monetary facts are that current customers spend
67 percent more. Plus, your current customers are your referral
engines; after 10 purchases, that customer has referred seven
customers to you.
So, your objectives are typically two- pronged: Get new
customers, and provide the right services and products for current
customers to refer and/or buy more. Pretty simple.
Email marketing is not the only tool you use, of course,
although for some businesses it can be the primary tool in
establishing a relationship with a new prospect or deepening
current customer relationships. Most firms integrate their email
marketing campaigns with other customer education and promotional
efforts. Emails can announce programs that are also advertised and
detailed through in-store activities, in-services, coupons and
speaker events.
One HME provider uses email marketing to target referral sources
and consumers separately, with different newsletters designed for
each audience. For referral sources, educational content,
in-services, new technologies, pertinent legislative and regulatory
issues and company information are featured. The consumer
newsletter includes informative content about "how to buy" certain
product categories, a question of the month and coupon
specials.
You can set up separate lists with an email service provider by
target type, such as referral sources by office location, consumers
by retail location, employees and friends of business such as
manufacturers and subcontractors.
Here's how to get going.
Step 1: Build a Permission-Based Email List
If you are not building email address lists now, get started. Be
sure to ask for specific permission to obtain the email address
(and get a signed release). Email addresses are a standard part of
an individual's address. Request the email address of the patient
or caregiver at intake. Specifically explain what the email address
will be used for and the frequency of contact (monthly, every two
weeks, etc.).
In some retail stores you will see a sign-in book for customers
to receive their enewsletter and new product updates. Many offer an
incentive — for example, a monthly drawing for a $10 gift
certificate — for people to sign up.
Your list is your conduit to build a relationship and additional
sales. Do not use any lists for which you have not received direct
and explicit permission to email. If you were to receive an email
from a company that you did not recognize, you would likely delete
it without reading.
Step 2: Select an Email Marketing Service
An ESP has a specific role. The service can provide ready-to-use
HTML templates that require no technical skills for email
newsletters, announcements, press releases or events. ESPs are also
the means for safe hosting of your contact lists (email addresses).
They can provide the method to manage, segment, schedule, send out
and monitor a marketing campaign.
The ramp-up time to learn how to use the ESP can be only a
matter of hours. Most services provide excellent online training
webinars to help. Most also offer the flexibility of sending
customized HTML emails or contracting with the ESP for
customization.
Using an ESP enables you to organize and send out hundreds, or
perhaps thousands, of emails, as you have agreed to
permission-based list collection. Spam or unsolicited commercial
email that is purchased or shared from other organizations (where
you have no direct relationship or permission) is dangerous and
ill-advised. Just don't do it.
Without an ESP, if you sent a large quantity of emails, the odds
are your message would be caught in spam filters. Standard email
accounts such as Outlook, Eudora, Hotmail and Yahoo are not set up
to send mass text or HTML messages to your list.
But ESPs participate in the CAN-SPAM Act. This means that by
using an ESP, you have agreed to include an "unsubscribe" or a
one-click "opt-out" line, and unsubscribes are immediately
handled.
Additionally, for the best response to an email, state how you
know the recipient: "You are receiving this email as you signed up
at the Sequoia County Health Fair," or "You are receiving this
email because you are a valued customer and signed up for info from
ABC Medical Equipment."
ESPs vary in services and pricing. Many offer free 30- or 60-day
trials so that you can learn how to use the templates, load email
addresses into the contacts database, schedule and send out emails.
Some services are free to non-profit organizations with an email
contact list of 500 addresses and under. Others range from $15 to
$30 a month for as many emails as you want to send to a list under
500 addresses, with price increases based on the total number of
addresses.
Several popular, easy-to-use email marketing services are:
- Constant Contact (www.constantcontact.com);
- Mailchimp (www.mailchimp.com);
- Vertical Response (www.verticalresponse.com);
and - MyEmma (www.myemma.com).
(You can see a comparison listing at TopTenReviews.com.)
Some websites now have the added feature of providing an email
marketing service built within the site services. This allows you
to design, send, monitor "opens" and, ultimately, track online
purchases from your email campaign. However, the ease of use and
functionality for those not trained in HTML could be a
challenge.
Step 3: Build an Email with Informative Content
No one wants to open an email that doesn't have something
especially for them. Why should they care? Content is the name of
the game. Put yourself in the readers' shoes. What is of interest
to them? What will engage them with your company? What will
encourage them to ask questions, buy or stop in? What are important
notifications that the recipient should be aware of that impact
business? What special offers and information do consumers need to
make a decision about products or problems?
Note that while developing your email template takes time,
pulling together the right content can take more. That's because
you want the information to be well-written, valuable and
compelling. You want the reader to take specific actions.
For instance, an HME provider used the company's enewsletter to
inform referral sources about legislative issues and regulatory
changes such as oxygen re-certification, changes in health plans,
new services, updates on competitive bidding and portable oxygen
developments. The newsletter was used for multiple marketing
purposes, including as a handout by referral sales, a briefing
document for employees and an information piece for new referral
prospects.
The company followed up with announcements on important changes
like the PECOS deadlines. The content was written by employees and
consultants, obtained from national HME association information and
pulled from trade publications, manufacturer materials and
university education resources.
The same company used an email announcement to inform referral
sources, consumers and employees about an upcoming Respiratory
Experts Day. The email again served multiple purposes: as a
referral sales detail piece, an in-store handout, a bag stuffer and
as the basis for posters.
Similarly, another HME provider's consumer enewsletter featured
articles on "How to Select and Buy a Lift Chair," FAQs from
consumers on life-change issues, how to make the bathroom safe and
new bed products. Additionally, this newsletter included a coupon
for a discount on a retail item and mentioned the company's latest
monthly retail promotion.
When you're thinking about content, don't forget that
manufacturers can be valuable sources. Your vendors should be able
to provide informative articles and video about conditions,
diseases, products, consumer decisions, legislation and more.
Additional sources of content for your emails include customer and
vendor testimonials, surveys, regulatory requirements, facts,
guidance and votes, among others.
Step 4: Monitor the Measurable Results
Email marketing is personal communication. ESPs send
specifically to one email address at a time. It is a cost-effective
medium; for the same response in a direct mail campaign, you would
spend 20 times more. But email is only cost-effective if you are
using it to meet specific marketing objectives.
ESPs provide valuable reporting and campaign information that is
easy to understand and act upon. You can quickly review the
campaign metrics such as number of opens, click-throughs on
specific topics, comparison performance to other like campaigns,
specific content that was reviewed in depth, number of purchases,
bounces, unsubscribes, forwards to a friend and more. These metrics
will help you assess the impact and results of your campaign and
provide guidance on how to improve the next one.
It may take a little time to get going, but email marketing is a
successful way to solidify existing relationships, initiate new
ones and convert one-time visitors. It is an important way to
communicate with your audiences. Find an email service that helps
make your life easier and breathes new energy and visual richness
into your communications, then design your emails with must-open
content.
You'll have fun doing the campaigns, your customers will enjoy
the valuable information and you will see the impact on sales.
The Value of a Customer
- You've already paid for them
It's six to seven times more expensive to gain a customer than
to retain a customer.1
Repeat customers spend 67 percent more.2
After 10 purchases, a customer has already referred up to seven
people.2
Source: 1. Harvard Business Review 2. Bain and Co.,
2002
Why Email as a Marketing Tool?
- It's cost-effective.
- For the same response, direct mail costs 20 times as
much as email.1 - Email ROI is the highest when compared to
other Internet marketing mediums.2
Source: 1. Forrester Research; 2. Direct Marketing
Association
Email Marketing Can Help You:
- Develop ongoing relationships
- Promote brand awareness
- Announce events
- Keep your company top-of-mind with contacts
- Promote specific offers
- Boost repeat business
- Enable cost-effective targeted communications
Ways to Build Your Email Lists
- Events, fairs, meetings
- Referral sales calls (Show a sample newsletter and request the
email address.) - A link in your email signature ("Sign up for ABC Medical's
newsletter here.") - Sign-up guest book or sheet at the retail desk
- On your firm's Facebook page or LinkedIn
- On your website sign-up ("Join our email list.")
Colette Weil is managing director of Summit Marketing,
Mill Valley, Calif., a consulting firm specializing in strategic
marketing and program development. You can reach her at cweil@summitmktg.com or
415/388-5303.
