IT247 E-Commerce and Internet Marketing

E-Commerce and Internet MarketingUnit 913 min read

Email & Mobile Marketing: Strategies, Tools & Metrics

Unit 9 of E-Commerce and Internet Marketing explores email and mobile marketing strategies, their technical workflows, key performance indicators (KPIs), and real-world applications in Nepali and global businesses like Daraz, Ncell, and WhatsApp Business.

Key Concepts and Definitions

Email Marketing

Email marketing is a digital marketing strategy that uses email to promote products, services, or build customer relationships. It involves sending targeted messages to a group of subscribers who have opted in to receive communications.

Step 1: Lead CaptureCollect emails viasign-up forms, landingStep 2: SegmentationDivide subscribers(e.g., new customers, Step 3: Content CreationDesign emails withsubject lines (e.g., DStep 4: SendingSchedule via tools(e.g., Sendinblue) or Step 5: TrackingMonitor open rates(avg. 20%), CTR, and cStep 6: OptimizationA/B test subjectlines, content, and se
Step-by-step email marketing workflow with Daraz and Ncell examples.
Promote products/services via email to opted-in subscribersDefinitionLead capture (forms, landing pages, social media)Segmentation (new vs. inactive users)Email ListSubject lines (e.g., 'Forgot Something?' for Daraz)Visuals, CTAsEmail ContentMailchimp, SendinblueA/B testingToolsKey ComponentsTransactional (e.g., order confirmations)Promotional (e.g., discounts)Newsletters (e.g., industry updates)Event-Based (e.g., abandoned cart)TypesEmail Marketing
Structured breakdown of email marketing components with Nepali brand examples.

Mobile Marketing

Mobile marketing leverages mobile devices (smartphones, tablets) to reach consumers through apps, SMS, MMS, social media, and mobile-optimized websites. It focuses on delivering personalized, location-based, and time-sensitive content.

024.54973.598Email Open Rate20Push Notification Open Rate50SMS Open Rate98Open Rate (%)
Average engagement rates (2023): Email (20%), Push Notifications (50%), SMS (98%) [Source: Campaign Monitor].
Transactional (e.g., Ncell’s recharge alerts)Promotional (e.g., Daraz’s flash sale notifications)SMS/MMSIn-app messages (e.g., Pathao’s driver earnings alerts)Push notifications (e.g., eSewa’s payment confirmations)Mobile AppsGeofencing (e.g., Daraz’s ‘Shop nearby’ offers)Beacon tech (e.g., retail stores’ in-store promotions)Location-BasedOffline-to-online (e.g., Nabil Bank’s branch promotions)Product info (e.g., Himalayan Java’s coffee menu)QR CodesMobile Marketing Channels
Hierarchy of mobile marketing channels used by Nepali/global brands.
Transactional (e.g., Ncell recharge alerts)Promotional (e.g., Daraz flash sales)SMS/MMSIn-app messages (e.g., Pathao driver earnings)Push notifications (e.g., eSewa payment confirmations)Mobile AppsGeofencing (e.g., Daraz 'Shop nearby' offers)Beacon tech (e.g., retail in-store promotions)Location-BasedOffline-to-online (e.g., Nabil Bank branch promotions)Product info (e.g., Himalayan Java coffee menu)QR CodesChannelsPersonalization (e.g., dynamic content)Gamification (e.g., loyalty rewards)Mobile-optimized content (e.g., responsive design)StrategiesMobile Marketing
Hierarchy of mobile marketing channels with Nepali brand applications.

Email Marketing: How It Works

Step-by-Step Workflow

  1. Lead Capture: Collect email addresses via sign-up forms, landing pages, or social media.
  2. Segmentation: Divide subscribers into groups (e.g., new customers, inactive users, high-value buyers).
  3. Content Creation: Design emails with compelling subject lines, engaging visuals, and clear CTAs.
  4. Sending: Use email marketing tools (e.g., Mailchimp, Sendinblue) to schedule or send emails.
  5. Tracking: Monitor open rates, click-through rates (CTR), and conversions.
  6. Optimization: A/B test subject lines, content, and send times to improve performance.

Worked Example: Daraz’s Abandoned Cart Email

Scenario: A customer adds items to their cart on Daraz but leaves without checking out. Email Strategy:

  • Subject Line: "Forgot Something? Complete Your Order Now!"
  • Content:
    • Friendly reminder of abandoned items.
    • Limited-time discount (e.g., 10% off).
    • Direct link to checkout.
  • CTA: "Complete My Order" button.
  • Result: Higher conversion rate (e.g., 20% of recipients complete purchase).

Mobile Marketing: How It Works

Key Channels and Tools

Channel Tool/Platform Use Case
SMS/MMS Twilio, MessageBird Promotions, alerts, two-factor authentication
Mobile Apps Firebase, Appsflyer In-app notifications, loyalty programs
Push Notifications OneSignal, Braze Re-engagement, updates, personalized offers
QR Codes Custom QR generators Offline-to-online promotions, product info
Mobile Websites Responsive design tools Seamless browsing on any device

Worked Example: Ncell’s Mobile Banking Alerts

Scenario: Ncell sends SMS alerts for transaction confirmations, recharge reminders, and promotional offers. Example SMS:

*"Dear [Customer], your Rs. 500 recharge expires in 3 days. Recharge now: [Link] or dial 123#. Offer: 10% cashback on top-ups!" Why It Works:

  • Timely: Reminds users before expiry.
  • Personalized: Uses customer name and relevant offers.
  • Actionable: Direct link or USSD code for quick response.

Email vs. Mobile Marketing: Comparison

Feature Email Marketing Mobile Marketing
Reach Desktop + mobile (but often less optimized) Primarily mobile devices
Engagement Rate Lower (avg. 20% open rate) Higher (push notifications: 40-60% open rate)
Personalization Moderate (segmentation based on data) High (location, behavior, time-based)
Cost Low (tools like Mailchimp start at $10/mo) Varies (SMS costs ~$0.05 per message)
Best For Long-form content, nurturing leads Quick actions, time-sensitive offers
Tools Mailchimp, Sendinblue, HubSpot Firebase, Braze, Twilio, OneSignal

Advantages and Disadvantages

Email Marketing

Advantages:

  • Cost-effective: Low cost per email sent.
  • Measurable: Track opens, clicks, and conversions easily.
  • Scalable: Reach thousands of subscribers instantly.
  • Builds Relationships: Nurture leads over time with valuable content.

Disadvantages:

  • Spam Risk: Poor targeting can lead to high unsubscribe rates.
  • Delivery Issues: Emails may land in spam folders.
  • Design Limitations: HTML emails may not render perfectly on all devices.

Mobile Marketing

Advantages:

  • High Engagement: Push notifications have high open rates.
  • Personalization: Use location, time, and behavior for targeted messages.
  • Instant Actions: Users can complete tasks (e.g., purchases) in seconds.
  • Offline Capabilities: SMS works even without internet.

Disadvantages:

  • Fragmentation: Multiple OS versions and devices complicate development.
  • Privacy Concerns: Users may opt out of location tracking or notifications.
  • Cost: SMS and MMS can become expensive at scale.

In the Real World

1. eSewa and Email Marketing

How It’s Used: eSewa sends transactional emails for payments, receipts, and promotional offers. Example:

  • After a user pays a bill via eSewa, they receive an email with:
    • Payment confirmation.
    • Receipt attachment.
    • "Thank you" message with a link to rate their experience. Why It Matters: Builds trust and encourages repeat usage.

2. Pathao’s Mobile Marketing

How It’s Used: Pathao uses push notifications and in-app messages to:

  • Notify drivers of nearby ride requests.
  • Offer discounts (e.g., "First ride free for new users").
  • Send safety tips during peak hours. Example Notification:

    "Hi [Driver], 3 rides waiting near you! Earn Rs. 500 extra today. Accept now!" Why It Matters: Increases driver engagement and ride completions.

3. Nabil Bank’s SMS Alerts

How It’s Used: Nabil Bank sends SMS alerts for:

  • Low balance warnings.
  • Loan EMI due dates.
  • Promotional offers (e.g., "Earn 5% interest on fixed deposits"). Example SMS:

    "Dear [Customer], your loan EMI of Rs. 20,000 is due on 15th June. Pay now to avoid late fees: [Link]." Why It Matters: Reduces late payments and improves customer loyalty.


Email Marketing

  • CAN-SPAM Act (USA): Requires clear opt-out links and honest subject lines.
  • Nepal’s E-Commerce Rules: Mandates explicit consent for email marketing (no spam).
  • GDPR (EU): Strict rules on data collection and user consent.

Mobile Marketing

  • Telecom Regulatory Authority (TRAI) Guidelines (India/Nepal): Restricts unsolicited commercial messages.
  • Opt-In/Opt-Out: Users must consent to receive SMS or push notifications.
  • Privacy Laws: Avoid collecting unnecessary user data (e.g., location without consent).

Tools and Platforms

Email Marketing Tools

Tool Features Pricing
Mailchimp Drag-and-drop editor, automation, analytics Free (up to 500 contacts)
Sendinblue SMS + email, transactional emails Free (up to 300 emails/day)
HubSpot CRM integration, advanced segmentation Free plan available
Brevo (ex-Sendinblue) AI-powered templates, chatbots Custom pricing

Mobile Marketing Tools

Tool Features Pricing
Firebase Push notifications, analytics Free tier available
Braze Customer engagement, personalization Custom pricing
Twilio SMS/MMS, voice APIs Pay-as-you-go
OneSignal Cross-platform push notifications Free (up to 3M messages/mo)

Case Study: Daraz’s Mobile and Email Marketing Strategy

Background: Daraz, Nepal’s largest e-commerce platform, uses both email and mobile marketing to drive sales and customer retention.

Email Strategy

  1. Welcome Series: New users receive 3 emails:
    • Email 1: "Welcome to Daraz! Here’s 15% off your first order."
    • Email 2: "Top 5 products our customers love this week."
    • Email 3: "Exclusive deal: Free shipping on orders above Rs. 2,000."
  2. Abandoned Cart: Sent within 1 hour of cart abandonment.
  3. Post-Purchase: "Thank you" email with product care tips and a survey link.

Mobile Strategy

  1. Push Notifications:
    • "Flash Sale: 50% off electronics – ends in 2 hours!"
    • "Your order #12345 is out for delivery. Track now."
  2. In-App Messages:
    • "Complete your profile for 10% off your next purchase."
  3. SMS Alerts:
    • "Your order #12345 has been shipped. Track here: [Link]."

Results

  • Email: 25% higher conversion for welcome series.
  • Mobile: 40% increase in repeat purchases from push notifications.
  • Combined: 30% growth in customer retention year-over-year.

Exam Tip

For the TU exam on this unit, focus on:

  1. Definitions: Clearly explain email and mobile marketing with examples.
  2. Workflows: Describe the step-by-step process for both (e.g., email segmentation, mobile app notifications).
  3. Comparisons: Use tables to contrast email vs. mobile marketing (e.g., reach, cost, engagement).
  4. Real-World Applications: Relate concepts to Nepali companies (e.g., Daraz’s abandoned cart emails, Ncell’s SMS alerts).
  5. Legal/Ethical: Mention key regulations (e.g., CAN-SPAM, GDPR) and their implications.
  6. Tools: Name 2-3 tools for each channel (e.g., Mailchimp for email, Firebase for mobile).

Common Exam Questions:

  • "Explain the workflow of email marketing with a Nepali e-commerce example."
  • "Compare email and mobile marketing using a table."
  • "How does Daraz use mobile marketing to increase sales?"
  • "What are the legal considerations for SMS marketing in Nepal?"

Based on the TU BITM syllabus for E-Commerce and Internet Marketing (IT247), unit 9.

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