1. Driving Increased Email Response Rates and Member Site Use via Targeted Campaigns Inbox = Opportunity Tyler Cox Manager of Consumer Analytics, eBusiness, Regence

2. © 2012 The Regence Group. Private and Confidential. 2 l Purpose of todays session We will : Discuss how targeted email campaigns based on consumer behavior and preferences are essential to successfully engaging customers in today's fast-paced world Share insights for creating high-performing email programs that rely on customer insights, intelligent segmentation and dynamic messaging Review the design and impact of various campaigns Share experiences on best practices, learnings, the evolution of email communication, and more…

3. © 2012 The Regence Group. Private and Confidential. 3 l Email Programs: Newsletter Wellness Wire Newsletter: Sent twice a month Average open rate: 19.7% Average click rate: 3.8% Average open-to-click ratio: 19% Current # of subscribers: 277,407 For the medical, dental and healthcare industry (which we use as a benchmark): Open: 13.76% Click Rate: 2.59%

4. Newsletter: Open rate, clickthrough rate, open-to-click rate 4 Fitness Blood Pressure Recipes Pain Management Vision

5. © 2012 The Regence Group. Private and Confidential. 5 l Email Programs: Promotional Emails Repeat Visits: Used to increase use of key areas of the site: General Health Assessment Treatment Cost Estimator Provider Reviews Personal Health Record Programs Intended to drive site traffic and build engagement Content is customized based on the members geographic location Actual posts (with real icons and user names) are used.

6. © 2012 The Regence Group. Private and Confidential. 6 l Impact on weekly patient reviews volume

7. © 2012 The Regence Group. Private and Confidential. 7 l Effectiveness of community focused email promotions

8. © 2012 The Regence Group. Private and Confidential. 8 l Save Money campaign drives member site visits Weekly visits to featured content:

9. © 2012 The Regence Group. Private and Confidential. 9 l Email Programs: Reactivation Emails Reactivation: Used to encourage inactive users to return to the site Some best practices we used to increase the performance of these campaigns: Subject line testing Day of send optimization A/B testing of content

10. © 2012 The Regence Group. Private and Confidential. 10 l Email Programs: Acquisition Acquisition Emails: Sending emails to members and encouraging them to register on myRegence.com Pilot Results: Open rate: 22.35% Clickthrough rate: 2.63% Open-to-click rate: 11.76% Bounce rate: 11.81%

11. © 2012 The Regence Group. Private and Confidential. 11 l Email Programs: Future Direction Transactional Emails In Progress: Reduce costs by ensuring members register to get online claims, reducing the number of paper EOBs mailed to members In the Future: Capture member preferences to transition to more email and online communications Target members more effectively to provide tailored messaging that increases engagement

12. © 2012 The Regence Group. Private and Confidential. 12 l Email Programs: Measures of Success Constant measurement of email campaigns drives informed business action: Increased email subscribers and strong retention rates More active engagement with email: open rates, clickthroughs, click per open Increased site traffic, time spent on site, usage of key features Improved member experience: personalized messaging, delivered in a timely manner Reduction in costs: online vs. paper transactions, member self service vs. customer service costs, etc.

13. © 2012 The Regence Group. Private and Confidential. 13 l Success stories, learnings and more… Additional questions to ponder: What has worked best for your organization? What has been the greatest barrier to implementing a successful email program? Do you know what type of information your members want to receive from you? What segments of your membership would benefit most from email communication? What business processes could benefit by leveraging email?