E-Mail Campaigns Positively Affect CPG Purchases: Study

The receipt of permission-based email from a consumer packaged goods company positively influences consumers' offline purchasing decisions, enhances the company's reputation and generates loyalty to its brands, according to the latest research from Dallas-based marketing services firm Epsilon.

"Consumer packaged goods companies face a challenge when incorporating e-mail communications into their multichannel marketing mix," said Kevin Mabley, SVP, Epsilon Strategic Services. "They need to engage consumers and find a way to allow them to interact with brands and products both online and offline. The research shows that the benefits of e-mail marketing campaigns for consumer packaged goods companies extend far beyond the Internet and into stores and homes."

The study examined why consumers opt to subscribe to e-mails from companies in the CPG, pharmaceutical, travel, financial services, and retail sectors of the economy, with the goal of measuring how permission-based e-mail campaigns build brand recognition and customer loyalty, and how e-mail communications influence consumers' on- and offline behavior.

Key findings of the study include:

--62 percent of respondents said the permission-based e-mail they receive from CPG companies has a direct impact on offline activities such as making purchases and shopping habits.
--63 percent have a more favorable opinion of CPG companies that send them permission-based e-mails.
--57 percent said they are more loyal to CPG companies and their products or brands because of the permission-based e-mail communications they receive.

CPG companies scored the highest, compared to all other sectors, when consumers were asked about the relationship between permission-based e-mail and their offline purchasing, opinions of companies, and feelings of loyalty.

When asked how often consumers took the following actions as a direct result of receiving permission-based e-mail from a CPG company, on a four-point scale the numbers revealed:

--91 percent of respondents downloaded or printed a coupon.
--81 percent clicked on a link in an e-mail to learn more.
--76 percent tried a new product for the first time.
--75 percent read company or brand content.
--67 percent researched retail locations that carry the product.
--66 percent ordered a product sample.
--65 percent shared a coupon or forwarded the e-mail.
--65 percent purchased the product online.
--34 percent typed or copied a URL directly into their browser.

The Epsilon study is based on a mid-October 2008 survey of 1,517 consumers, and was conducted by ROI Research, of Lancaster, Pa.

The report can be found at www.epsilon.com/pr/cpgemailbranding.
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