Online MarketingCase Study: How Rose Publishing increased online sales

by 50% during the worst recession since World War 2Sept 08-Aug 09 Twitter hashtag: #ECPAELS

Gretchen Goldsmith, CEO, Rose Publishing Inc.

ProblemIndependent brick and mortar bookstores are in

decline. Retail in general is suffering.

GoalTo increase our direct business via the Internet.

First, the Offer

Something irresistible and valuable…“Be generous online.”• Through the Bible in a year?• Verse a day?• Free Bible eChart each week?

The Offer

• Through the Bible in a year? Done by many others

• Verse a day? Done by many others

• Free Bible eChart each week - Proprietary Rose Publishing content

Determine the best methods

• Banners• Social media

-Twitter, Facebook, Linkedin

• Google AdWords• Search Engine

Optimization (SEO)

• Our own paper catalogs

Banners on the most compatible websites 279 names, $1800, <3 sales in 8 weeks

Social Media

Social Media

Not highly effective for

• Direct selling

Good for

• Google ranking (link authority) Top 2.6%=>1%

• Getting to know industry leaders, authors;

• Seminars (mind-reading industry influencers)

• News (heard about airplane in Hudson River first)

Email marketing 40%Direct - people who enter our URL usually through catalogs or word of mouth

29%

Search engines: Google/organic (unpaid)

12%

Google AdWords 10%

Search engines: All others/organic (unpaid)

5%

Referrals from people via email 4%Banner ads <1%Social Media: Facebook, Twitter, LinkedIn

<1%

Where did our ONLINE sales come from Sep 08 - Aug 09?

1. Email marketing to our own list 2. Our own snail mail catalog 3. Google paid/unpaid traffic

90% of our online business came from

3 sources

Email Marketing

• To develop an email list fast that – Delights our customers– Connects with old & new

customers– Generates direct sales– Helps provide feedback

for customer service & product development

Email Marketing

• A recommended book: Seth Godin’s Permission Marketing.

• Long on principles, short on details.

What We Learned1. You have to earn someone’s email address –

The offer and design must be good.• Offer was good. Design needed pizzaz. • Result: 10% conversion

After: Offer was good. Design good. 20% conversion.

Increasing Sign-ups

Reasons to give us information

Establish credibility

2. People can be tricky - close the loopholes.What We Learned

After: New Design - no access to free chart without double

opt-in verification of email account. Subscription confirmation rate went from 50% to 70%.

3. Overwhelm them with value.What We Learned

• Not just one, but nine free e-Charts. Plus another one each week.

• Counterintuitive: Giveaways help product sales in most cases.

4. Invite them to share with friends and they will.

What We Learned

5. Test your customers’ tolerance.• Number of emails per week?

• Best day of the week to send?

• Add urgency – limited time to share

• Reassure privacy

• Give ways to share

6. Add LOTS of self-advertising below the fold

What We Learned

• Here’s an old email Conversion Rate = 0.22%

Here’s a new email that is 3 times longer

• More products

• Discounts

• Related items

Conversion Rate = 1.17%

5 times higher!

7. Provide a consistent look throughout sales process – show other products of interest.

What We Learned

8. A healthy email list requires work

• Check deliverability (from 90% to 99% - solve problems with ISPs).

• Segment subscribers (according to sources).• Track metrics (opens, clickthroughs, sales, date &

time). Google Analytics is free.• Track value per name a year later. • Reengage inactive names by email AND snail mail.• Remove non-responsive email addresses.• Ask for a purchase in a low-key but clear way.

What We Learned

Results: Number of Online Visits and Orders Increased

• Web visits tripled over 8 months• Our number of web orders in Jan-Apr 09 were nearly

double the number in Jan-Apr 08• The orders were smaller but our retail sales increased in

12 months by 20%. Online buyers buy less but more often. Lifetime value will probably be higher.

Results: Competitive Advantage

• Visits per month compared to two industry leading competitors as reported from compete.com

Rose Publishing

Publisher 1

Publisher 2

Gretchen GoldsmithCEO/President

Rose Publishing, Inc.gretchen@rose-publishing.com

Feedback, please! Five-question survey has link to handouts

www.tinyurl.com/ecparose