Exploring New Email Pricing Models

Rob Brosnan

The standard pricing model for email marketing — the CPM — may soon change. Industry consolidation, commoditization, and growing data volumes threaten the standard. Buyers may soon confront models that range from a platform license (all-you-can-email) to total utilization (data + messaging) to seat-based models. In November, I will publish research into the rationale for model changes, evaluate different candidate models, and explore the repercussions of the change.

I need your help. Price changes will have dramatic and difficult to predict effects on customer experience, marketing practices, the vendor landscape, and even the structure of the marketing organization. For example, an all-you-can-email model may, paradoxically, reduce email volumes in the long run, if it removes barriers to adoption of cross-channel programs.

This potential shift from channel-specific to cross-channel is one of the more interesting consequences of a model change. I’d like your reactions include:

  • What is the best pricing model given the challenges you face (performance, cross-channel, real-time, mobility, etc.)?
  • Who in your organization might be affected by the change?
  • How do you anticipate the purchase process (RFP, selection, negotiation, contract review) might change as a result of a model change?
  • If you faced no pricing limits on email, how would your strategy and operations change?
  • If vendors moved to a platform model — e.g., including other modules such as web recommendations, push notifications, or behavioral targeting with email — how would your strategy and operations change?
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NFC Points To The "Pay-Per-Action" Market

Anthony Mullen

My recent paper looked at the "tap" paradigm exhibited by technologies such as NFC. I want to explore the implications of how the innocuous "tap" points the way to a not just a richer mode of marketing interaction but hints at how the "pay per" market might develop due to offline/online convergence.

There are primarily two models to the placement of NFC campaigns — the first is on your own property, which may be anything like a store, product, poster, or packaging. The second is on the outdoor network of enabled bus stops, cinemas, smart posters, and public screens. Many large shopping centers and 0ut-of-home (OOH) media stations are already enabled with NFC tags and their real-estate can be addressed dynamically by marketers to put apps, links, and media on them.

Examining the campaign management systems for tag-based approaches shows their toolset to be very similar to pay-per-view (PPV) , pay-per-click (PPC), and display tools. The difference with pay-per-tap is that the location the marketing message is delivered into is a tag rather than a a slot in Google Search results or a display location.

The figure below shows a recent campaign undertaken by Blue Bite and RMG Networks. Doesn’t it look just a little bit like the purely online models? 

 

LOOKING AT OFFLINE AND ONLINE IN CONCERT REVEALS THE "PAY-PER-ACTION" MARKET

The PPC and display industries easily have the smartest profiling, placement, and measurement systems but they aren’t addressing the real world, which is slowly filling up with tags and other digital touchpoints.

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