Branded Email Hosting

In today’s quest for brand dominance, (white label) branded email hosting has the power to boost brand recognition, increase customer engagement, reduce churn, cut costs and become a key source of alternative revenue – if companies are able to recognise and harness its true value.

Today, brand customisation has not only become more sophisticated and all-encompassing, but best practice email hosting now takes a more holistic approach to the relationship between email hosting and overall brand revenue.

5 Benefits of Branded Email Hosting

1. Boosting Brand Recognition

Email hosting presents a unique opportunity for telcos, ISPs and hosting providers to discreetly, or not so discreetly, promote their most valuable asset – multiple times a day. For example, if the 2017 Adobe Consumer Email Survey Report figures are accurate, consumers are still so obsessed with email that they are giving their email provider 5.4 hours a day to keep their brand top of mind.

2. Increasing Customer Engagement

If an email hosting provider can offer a positive branded email experience, their consumers might know, love and think about their brand more than ever before. In fact, The Temkin Group’s 2016 study of 10,000 American consumers showed that customers who enjoyed a positive experience “are 5 times as likely to repurchase, 5 times as likely to forgive, 4 times as likely to refer[, ] 7 times as likely to try a new offering and up to 14 times more likely to buy than potential new customers.”

3. Reducing Churn

Arthur Middleton Hughes, Vice President of The Database Marketing Institute in 2008, said: “Statistics in dozens of industries have proved conclusively that the retention rate is a function of the number of products that a customer is buying from your company. The higher retention rate of multiple product purchasers is the reason why telecom companies are trying to sell “The Triple Play” of phone, broadband and TV. By selling a landline customer broadband, you make a profit from the broadband, but you also reduce the likelihood of churn by this particular customer. If you can also sell him TV service, you may have him for life. You make it [a] nuisance to switch.”

4. Cutting Costs

If the lost revenue from a churned telco customer is US$1,117 and the average customer acquisition cost for a new customer is US$400, telcos need to be careful not to lose more customers than they can afford. “In the current downturn, many companies are tightening [their] belt. But too many are missing their biggest opportunity to keep costs down: building loyal relationships with customers…” said Fred Reichheld in 2001, fellow at Bain & Company and the inventor of the Net Promoter Score (NPS). “Return customers tend to buy more from a company over time. As they do, your operating costs to serve them decline. What’s more, return customers refer others to your company. And they’ll often pay a premium to continue to do business with you rather than switch to a competitor with whom they’re neither familiar nor comfortable.”

5. Growing Revenue

Despite the rise of messaging platforms as alternative advertising channels (for example, Facebook, Twitter, Instagram, LinkedIn and Snapchat), email is still the only digital channel that gives direct access to a customer’s inbox. This means that branded email hosting is a CMO’s dream, because it offers an unencumbered route to advertising, upsell, cross-sell and increasing overall brand revenue. No complicated, mystery algorithms to stonewall marketing efforts. Just advance to GO and collect $200.

Interested in learning more?

If you are a telco, ISP or hosting provider that wants to stay close to your customers, you’d be wise to stay close to your customers’ email.

Click here to learn more in our free white paper, 'Fight Churn & Grow Revenue: How telcos, ISPs and hosting providers can leverage brand loyalty for profits'.

Click here to talk to us about how we can help implement branded email hosting in your organisation.