I remember a couple weeks ago a heated discussion I had with a client with respect to EDMs. I maintained, and I still maintained that EDMs do not work particularly well for FMCGs. There simply is not enough for an FMCG to talk about (unless it’s serious about becoming a lifestyle brand) and the acquisition and long term maintenance of such a contact database is high.
This is not to say that EDMs are not useful marketing channels. I have always maintained for high value and lead generation campaigns, EDMs from owned databases work extremely well.
However, I think in both situations, EDM effectiveness/efficacy will decline in huge ways with the birth of the Google Priority inbox. Gmail will rank emails on the basis of how often mails from a sender are opened and replied to, which are both extremely low for EDMs. It is already quite easy for consumers to ignore EDMs, and open rates are historically low (~1% IIRC). Imagine how low they will be if they are always moved to the secondary box, separated from the “real emails.”
If I were a direct marketing or database marketing company, I would be concerned right about now.
