1. Asking Permission for Loyalty: E-mail marketing’s influence on customer attitudes Luke Taylor University of St Thomas

2. Why is this important? By 2004, marketers will be sending over 200 billion e-mails each year (Rizzi, 2001)

3. Catalyst for Research Question “Well-executed e-mail communications can be an extremely effective way to earn the confidence, respect, and most importantly, [the] ongoing business of customers.” (Rizzi, 2001, p 56)

4. Research Question Does opt-in e-mail messaging promote customer loyalty?

5. Background Permission or “Opt-in” Marketing Good E-mail Marketing Customer Loyalty

6. Permission Marketing “It [involves] contacting individuals with targeted offers or messages in an agreed-upon format at agreed-upon intervals.” (Lyons and Fletcher, 2002)

7. Good E-mail Marketing Personal Anticipated Relevant

8. Customer Loyalty A combination of attitudes and behaviors, including: repeat purchase customer satisfaction recommendation to others (William D Neal, cited by Grisaffe, 2000)

9. Most Popular Purchase Items Books Travel Music

10. Methodology E-mail survey Sent to 156 employees, all e-mail users, of a large company Many employees do at least some travel

11. Survey Questions Identify airline Indicate opt-in or not Give information about purchase, recommendation, and level of satisfaction Provide simple demographic data

12. Two Key Groups Recipients Non-Recipients

13. How many trips by air have you taken in the past 12 months? 67% of Recipients took 1-5 trips 67% of Non-Recipients took 1-5 trips

14. How many pleasure trips by air have you taken in the past 12 months? 97% of Recipients took 1-5 trips 94% of Non-Recipients took 1-5 trips

15. Are you a member of your specified airline’s frequent flyer club? Frequent Flyer Recipients85% Non-Recipients55%

16. Do you visit your specified airline’s website? Yes Recipients94% Non-Recipients64%

17. Have you recommended your specified airline to a friend, relative, or other acquaintance? Did Recommend Recipients59% Non-Recipients64%

18. Have you seen an advertised fare and told someone else about it? Referred to Ad Recipients71% Non-Recipients48%

19. Please indicate how you feel about your specified airline. Neutral Feelings Like / Strongly Like Recipients18%74% Non-Recipients41%50%

20. Please indicate your level of satisfaction with your specified airline. Satisfied / Very Satisfied Recipients77% Non-Recipients72%

21. The Answer Does opt-in e-mail messaging promote customer loyalty? Research seems to say “no”

22. Conclusions A good sales tool A decent advertising medium Not good vehicle for customer loyalty

23. Recommendations Larger sample size Additional product categories

24. Discussion Price may be only important factor Illusion of personal relationship

25. Questions?