Email will remain a key channel for marketers in 2023, and artificial intelligence automation and innovation will increase campaign effectiveness. According to DMA's Consumer Email Tracker, 32% of consumers say branded messages via email are helpful, up from just 15% in 2021.
At the same time, new privacy measures and changing user preferences require careful consideration by marketers. DMA also revealed that 37% of consumers now use separate inboxes to keep personal and marketing emails separate, up from 23% in 2021. did.
So what are the biggest trends impacting email marketing right now, and how can marketers drive success? Brian McKenna, VP of CRM at DMi Partners. and Mike Fantis, Vice President and Managing Partner of DAC Group. He gains professional insight.
Eventually, AI could take on the task of assisting with content creation, allowing for more granular segmentation.
AI has been a valuable tool in email marketing for some time, and marketers are using artificial intelligence and machine learning to power their campaigns, particularly using this technology to improve segmentation and recommendations, and optimize send times. , used to test creatives and assess list saturation.
McKenna said that brands' investments in AI have so far focused primarily on access to these tools, as well as “ongoing marketing automation and continued learning to improve campaign deployment.” He says he has come.
But in 2023, tools like ChatGPT and Dall-E are bringing generative AI to the forefront and driving innovation. Many email providers are also launching their own generative AI tools. For example, MailChimp recently introduced Email Content Generator, allowing marketers to create email campaigns based on industry, marketing intent, and brand voice.
Given the effort required, the excuse that peer groups are too small to target is no longer valid.
– Mike Fantis, DAC Group
According to DMi's Brian McKenna, a huge number of end-to-end AI solutions for email are being announced and in development, meaning that “from idea to audience selection to email construction, AI will begin to be more fully utilized.” Until the introduction. ”
“Looking forward, our best recommendation for our customers is to continue investing in their data infrastructure and email templates to take greater advantage of AI in the future.”
DAC Group's Mike Fantis agrees that AI's ability to deliver personalization at scale will drive further adoption by email marketers.
“Think about segmentation,” he said. “Brands are concerned that they don't have enough content to support multiple segments. This is where AI's ability to generate content, or at least perform research work at speed, can really help. Given the effort required, the excuse that peer groups are too small to target is no longer valid…”
McKenna argues that “true personalization” is “the most effective retention strategy for brands in 2023.”
“It's about consistently delivering highly customized messaging that's relevant to individual subscribers, continually learning to improve subsequent messaging, and looking for clues to adjust the frequency and cadence of communications.” ,” he says. “This keeps the maximum percentage of customers in highly engaged segments and reduces persistent churn. These strategies also leverage acquisition and re-engagement-driven journeys to replace lapsed customers/ Send different communications to your subscribers and pull them back for future communications.”
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Privacy changes highlight the value of building trust and subscriber relationships
iOS 15, released by Apple in September 2021, had a huge impact on email measurement. With the introduction of Mail Privacy Protection, users can hide information about their email activity. Additionally, Apple pre-loaded the email data, making open rates unreliable, regardless of whether users actually opened the email.
“As a result, improving click-through rates has become even more important,” McKenna says.
Recently, Apple announced new privacy changes in iOS 17. This includes removing URL tracking parameters from links accessed through the Mail and Messages apps and Safari Private Browsing.
“as a result [of iOS15]Improving click-through rates has become even more important. ”
– Brian McKenna, DMi Partners
Interestingly, not all ESPs are parameter dependent, so McKenna believes it will have less of an impact than previous changes in 2021.
“As we considered the details of the beta, we determined that none of our clients would be affected by the upcoming changes and would not lose the ability to track subscriber clicks,” he said. “However, it is clear that Apple and other groups continue to expand their efforts around privacy, so this is an area that we will continue to monitor and adapt as necessary.”
He also suggests that a focus on privacy should give email marketers food for thought, especially when it comes to building trust.
“If anything, these changes continue to emphasize the value of building relationships with subscribers and earning their trust to continue to opt in and engage with your messaging via email (and other channels).” As we continue to focus on privacy, our ability to personalize the experience for our own subscribers will always be significantly greater than for site visitors who did not contact us via email.”
Mike Fantis agrees with privacy strategy It hasn't hit marketers as hard as perhaps expected, “given that most marketers aren't leveraging existing data as effectively as possible.”
If marketers were charged a fee for each email sent, would their strategies be the same? I don't think so.
– Mike Fantis, DAC Group
“The impact lies in a shift in focus and a growing recognition of the importance of media mix modeling rather than channel-specific coverage. This allows marketers to go beyond a single channel and learn more about users and their journeys. “It requires us to think broadly,” he said.
Looking ahead, Fantis suggests that the danger could be for marketers to move away from personalization, rather than towards it. “If marketers were charged a fee for each email sent, would their strategy be the same? I don't think so. There are currently no media costs allocated to email marketing. .So if a CMO needs to justify the success of an email campaign to the CFO, there will be a more conscious effort towards targeted emails.”
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Fantis says personalization continues to be a trend in email marketing, but “brands and marketers still don't fully understand what it means and how far they should go. ” states.
“A great place to start is to add value based on the user's profile, needs, previous purchases, etc.,” he suggests.
By considering your customers' challenges and what's happening locally, you're more likely to provide them with the timely, thoughtful, and effective content they need.
– Mike Fantis, DAC Group
At the same time, Fantis points out that broader factors such as the cost of living crisis, rising mortgage rates and other financial concerns also come into play, ultimately requiring brands to emphasize the value they provide. There is.
“This requires not only personalization but also localization,” he says. “Measuring the impact that macro factors are having on local communities allows marketers to personalize at the local level and achieve the best results from their efforts. If you consider how your customers are doing, you are much more likely to deliver the timely, thoughtful, and effective content that your customers need.”