Like this article? PLEASE +1 it! Evan Signature
Evan Carmichael Top Header
Share for a Cause









Transactional Email Messages - Get Yours in Shape This Year

Written by: Karen Scharf

Article Overview: How are you doing on your New Year's resolution? Let me guess, it includes shedding a few pounds, getting more exercise, making healthy eating choices, etc. Here's another thing that needs to get into better shape: your transactional email messages program.

Free Download - Better Email Newsletters for Busy Mobile Users By Karen Scharf
Name: Email:

Transactional Email Messages - Get Yours in Shape This Year

How are you doing on your New Year's resolution? Let me guess, it includes shedding a few pounds, getting more exercise, making healthy eating choices, etc. Here's another thing that needs to get into better shape: your transactional email messages program.

Transactional emails are any messages that are sent in response to a customer transaction - things such as payment receipts, order confirmation, shipping information, delivery updates, etc.

What's great about transactional emails is that they get opened and read at a much higher rate than typical email messages. They also do not fall under the guidance of the CAN-Spam Act, which means you do not have to include an opt-out mechanism.
OK, that's the good news. The bad news is that you're probably not taking advantage of your transactional email messages.

Believe it or not, there's a high possibility that up to 74% of the emails you use to communicate with your customers and prospects are transactional messages. At least that's what Jupiter Research concluded in their recent study. I was a little skeptical about the 74% figure, until I really started looking at what constitutes a transactional email message. This covers everything from:


order confirmations
service confirmations
shipment notifications
reservation confirmations
e-tickets
inventory updates
invoices
payment notifications
customer service messages
information request messages

That's a lot of messages!

The problem that most of us small business owners face with our transactional messages is that they are often occurring behind the scenes. These messages are typically sent by our shopping cart program or email service provider or software system. Many small business owners aren't even aware when these messages are being sent, and they don't realize that these messages can be changed.

Fortunately, your transactional email messages can be changed. Depending on your set up and what system you're using, you might need to find someone with a little technical expertise to dig into the coding if you don't feel comfortable doing that yourself.

What kind of changes should you be making?

First, check out the branding on your transactional messages. These messages are a great way to build rapport with your customers and help them develop trust in your business. Are you using a template that is consistent with the look and feel of your site design and other marketing materials? Do these messages include your own logo - or the logo of your email service provider? When your customer opens your transactional messages, he shouldn't be jarred with an unexpected design.

What is the "from address" on your transactional messages? If you're using an automated software program or an email service provider, your from line might be the default name in your account set up - which isn't necessarily the name you want to use. Usability expert Jakob Nielsen suggests using the name of your company or your brand name, which will be more recognizable than an individual's name.

And, if at all possible, use no more than 25 characters in your from field so the name does not get truncated, especially in PDAs and other handheld devices, which are often used to place web-based orders.

To increase the open rates for your transactional email messages, use a personal, meaningful subject line. A subject line of "Your Confirmation" might be seen as spam (especially if it's sent with an unrecognizable from address), while "Your Smith Bros Order Has Shipped" has a much better chance of being read.

And remember, it is acceptable to include an offer or promotion within the body of your transactional email message, as long as the majority of the message (80% is the conventional industry norm) is transactional in nature.

If your system allows for dynamic content, transactional messages are a great opportunity for cross-selling. If that's not a possibility for you, try timeless offers such as "next order coupons" or whitepaper downloads. Why not promote your number one best selling product? Or, if you have the time and resources, you can update your transactional message template on a regular basis to promote your newly released products.

If you're using a set-it-and-forget-it system, I would avoid including promotions that contain discounts or coupons for a particular product. Personally, I'd be quite frustrated if I just ordered the latest and greatest widget and my order confirmation contained a 25% discount on the product I just paid full price for.

Be Sure To Follow These Guidelines

Do be cautious with adding promotional content to your transactional email messages as there are a few guidelines you must follow. First, in order to be deemed a transactional message, your transactional information must be the main focus of the email and it must be at the beginning of the message. You can't bury your transactional information within a promotional offer. You can't "force" your customers to read your sales copy in order to find their confirmation information.

All promotional copy must come at the end of the message and ideally it should make up no more than 20% of the message. This includes headlines and copy and, yes, even graphics. If your message does fall into this category, it must follow all CAN-Spam regulations.

Now, here's the controversy...

Information request messages amount to transactional messages. Which means every time you send out a free report or a download link or a whitepaper or whatever, you are actually sending a transactional message - and since transactional messages don't fall under the CAN-Spam Act, you don't need to include the unsubscribe link.

I have several clients who complain about "freebie seekers" who request free reports or links to podcasts and then immediately unsubscribe from the mailing list. What are your thoughts on this? How do you handle these "freebie seekers" and do you think there is any benefit to leaving the unsubscribe link out of your free report messages?

Related Articles
  Improve Your Email ROI with These Four Easy Techniques
  Personalizing Autoresponders
  Can’t Afford Customer Relationship Management Program Try Auto Responder to Increase Sales
  Email Marketing - Optimize Your Sending Schedule
  Do You Control Your Email or Does Your Email Control You

Home > Technology > Karen Scharf > Transactional Email Messages Get Yours in Shape This Year
Article Tags: email campaign, email marketing

About the Author: Karen Scharf
RSS for Karen's articles - Visit Karen's website

Karen works with entrepreneurs who own high traffic websites and helps them implement split testing and optimization to recover the revenues they don't even realize they are leaving on the table.

Click here to visit Karen's website
Dashed Line

More from Karen Scharf
CAN-Spam Checklist
Optimize For Ask Checklist
Improve Web Site Conversions


Related Forum Posts
Re: Books for the Entrepreneur Re: Books for the Entrepreneur - I like "A Whole New Mind" by Daniel Pink, and "Predictably Irrational: The Hidden Forces that Shape our Decisions" by Dan Ariely.
How to valuate a business How to valuate a business - Hi Garth - here is how we did it at Northern Crown Capital when I was helping them raise venture capital for Toronto-based entrepreneurs. Assume the start date is 2003 so 2008 projections are 5 years out: How Northern Crown Capital Valuates a Business 2008 Financial Projections Earnings Before Tax $5,865,000 Tax Rate 42% Taxes $2,463,300 Net Earnings $3,401,700 Amount Seeking to Raise Today $3,500,000 Discounted Value of Future Opportunity, 5 Years Out 2008 P/E Ratio 15 Value of Company in 2008 $51,025,500 Discount Rate Applied 30% Year 2008 $51,025,500 Year 2007 $35,717,850 Year 2006 $25,002,495 Year 2005 $17,501,747 Year 2004 $12,251,223 Value of Company at Investment in 2003 $12,251,223 Less: Investment Amount $3,500,000 Present Value $8,751,223 Discount for Risk & Private Company 40% Less: Discount for Risk & Private Company $3,500,489 Private Company Value $5,250,734 Present Value (What the Owner Keeps) $5,250,734 60.00% Financing (What the Investor Gets) $3,500,000 40.00% Total $8,750,734 100.00% I hope this helps!
Web magazine publisher Web magazine publisher - My duties 1) Research the articles that goes into each of my webzines - science fiction in all media, various sports (Yay, Lady Vols, 8th championship in 2008, by the way!) 2) Write the articles 3) Format and upload them to the web 4) Email and network various contacts to get out the word that new articles are available. 5) Email authors, actors, etc. etc. to see if they want to do interviews. 6) Advertise for more contributors - and then edit and upload their material!
Re: Tell a friend Re: Tell a friend - Thanks for the update Evan! I guess worse case scenario we can always just "cut and past" useful links to send to our friends. But in truth that might actually work better since our friends/business associates will actually take the time to open and read the messages we send them, since it's from a trusted source (e.g. Messages sent by the "Tell a friend" feature might get deleted by recipients who have never heard of the EvanCarmichael.com brand, even if it says it was sent by someone they know).
Re: HAPPY NEW YEAR! Re: HAPPY NEW YEAR! - Happy New Year!


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.



Featured Article


Bottom Footer
Share for a Cause












Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!
Name:
Email:
Popular Articles

Environment and productivity at the office

Ten Steps to Go from Idea to E-book for Sale

Top 5 Qualities in an Outsourcing Company

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.