Most online entrepreneurs just send an email without regarding the market and the style of their content. Some do not even know the two basic types of marketing is. To cut the chase,Â we will provide you with the basics of online marketing and it starts by knowing what is transactional and direct email.
The Definition of a Transactional Email
Transactional email is defined as the electronic interaction of emails based on the actions triggered by the customer. Some of the examples are order confirmation, verification and receipts. The aim of this type of email is to confirm an action made by the customers. It has a high open rate percentage as it is perceived as an official message that should be read for a specific purpose. The open rate percentage of transaction emails are more than 40 percent. That is a fairly higher number than those who send messages without the customers’ consent.
Transactional emails are a great way to connect with the customer on a more personal level. It allows privacy especially when the company maintains a high level of security system. Another common usage of these emails are customer service, sales and marketing and even sending newsletters to the customers. There are lots of softwares that offer transactional emails, some even offer a free trial.
How Direct Email is Defined
Direct emails are those that are sent without the customers’ consent. This is used mainly for promotional purposes and it may actually have privacy issues. Companies gather the email list by paying off the records of another company. This is often called third party sharing. There are several companies who share one email list and the records are obtained from past customer transaction. Banks, insurance companies and other financial institutions usually do this kind of business strategy and so a customer may be surprised how a certain company was able to obtain a specific personal information. When using a direct email, be sure to inform the customers on how their info was taken and assure them that their information will be kept confidential.
What To Choose?
Choosing the best type of email may be easy especially when the company knows what it aims. Direct emails are actually helpful as it can connect with large amount of customers as compared with the transactional ones. Transactional emails can be used to retain the loyalty of the customers or to perform daily customer service activities. Both types have advantages and disadvantages that a company should compare. In general, both are within the advantage of email marketing which are:
- Faster communication and dissemination of information
- Efficient tracking of the effectivity of a marketing plan.
- Cheaper in value but faster in delivery
- Provides high chances of return of investments
These are the two types of email marketing that any company should know. It is a way to transact different kinds of operations, whether it may be for promotional or informational purposes. Both do have different definitions but the bottom line of it is that these types are under the same roof of email marketing.