More and more marketers turning to ESPs for e-mail

Share this content:

Working with an e-mail service provider as opposed to an in-house e-mail system can save marketers money, according to a new study by Jupiter Research.

The study looked at marketers who use a hosted provider for e-mail marketing services and those that choose to deploy e-mail in-house, and found that the majority of marketers are working with ESPs.

"I think that more marketers are choosing to outsource to an ESP because they have the platforms in place," said David Daniels, analyst at Jupiter Research. "They also have a staff that can think about strategic issues such as deliverability and how to deal with rich media and content."

According to Daniels, some marketers, especially online travel sites such as Travelocity, have incorporated e-mail into their business models.

"If you look at a company like Netfilx or Ticketmaster, e-mail is so incorporated into their way of doing business, more than just a way to broadcast multichannel marketing," he added. "So it makes sense for them to work with an ESP who can deal with e-mail issues."

Daniels added that centralizing e-mail communications helps a business organize and build a good reputation, especially when various departments within an organization are using e-mail to market.

Surprisingly, working with an ESP can be much more affordable not just in terms of the centralization, but in terms of dollars. Most marketers that deploy e-mail in-house are spending about $100,000 a year on the executives who manage e-mail marketing. This is more than those who work with ESPs spend in an annual budget for e-mail services. But, money isn't everything.

"Marketers looking for an ESP should not be swayed by rates, but should look at the quality of the ESP and their references," Daniels added.

Sign up to our newsletters

Company of the Week

Brightcove is the world's leading video platform. The most innovative and respected brands confidently rely on Brightcove to solve their most demanding communication challenges because of the unmatched performance and flexibility of our platform, our global scale and reliability, and our award-winning service. With thousands of customers and an industry-leading suite of cloud video products, Brightcove enables customers to drive compelling business results.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above