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Email Marketing Company Adds Display to the Mix

Email marketing providers have spent the last two years incorporating social media and the mobile channel into their product line up. Now, one firm, LiveIntent, has turned its attention to another ad channel–display–with its  new product, LiveIntent for Publishers, which extends premium display advertising inventory into email newsletters.

LiveIntent’s email ad serving technology allows publishers to insert banner ads into emails, based on such parameters as device, location and time of day. It also lets publishers access third party data on impression. It works via an ad tag placed into a publisher's email newsletter.

When the user opens a LiveTag-enabled email sent by any standard email service provider, the LiveTag requests an ad from the LiveIntent server. Based on the context of the newsletter, the location and device of the user, LiveIntent delivers that reader the most relevant ad in real-time to their inbox.

How It Makes Money

LiveIntent takes a cut of the revenues from publishers, GigaOm explains. Matt Keiser, CEO and co-founder of LiveIntent, told the publication that email marketing could become an $11 billion opportunity if publishers can get average revenue per user similar to online display ads.

"We're not so bold to say we're creating an entirely new business model, but what we’re doing is we're tapping into the ecosystem that exists. The killer app on the Internet and the killer app on mobile is email. People are more receptive to email marketing from commercial entities than they are compared to any other method."

Are Email Marketers Ready?

However, there is marketing data to show that not all email marketers segment their messages to the extent that the LiveIntent platform allows.  Only four in 10 global marketers (43%) use email segmentation to personalize messages by audience, according to a survey from Alterian.

Another 44% are still employing email blasts of some kind, although 26% use basic personalization and 18% blast out on a mass basis.

Bottom line: only a small portion (13%) deliver emails based on preferences at the individual customer level, monitored in real-time.

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