Friday, January 20, 2017

What is CAN-SPAM Act & How Macy's performance in the Social Media War

CAN-SPAM Act stand for Controlling the Assault of Non-Solicited Pornography And Marketing. That act is a law that establishes the rules for commercial email and commercial messages, gives recipients the right to have a business stop emailing them, and outlines the penalties incurred for those who violate the law. According to the Federal Trade Comission's website, For every single email that violates the CAN-SPAM Act, the FTC will fine you $16,000. If the company is caught being non-compliant for a list say 20,000 email, well we can do the math of multiply. Below are the list of Do and Don't which summarize the CAN-SPAM Act. The full detail can be found at FTC's website.  

DO
  • Do include your valid physical postal address in every email you send out.
  • Do provide a clear and obvious way to opt out of every email you send out, and honor the unsubscribe within 10 business days.
  • Do use clear "From," "To," and "Reply to" language that accurately reflects who you are. This applies to the person or business sending the message, as well as the domain name and email address.
DON'T
  • Don't sell or transfer any email addresses to another list.
  • Don't make it hard to unsubscribe from emails. You cannot 1) charge a fee 2) require a recipient to provide personally identifying information beyond an email address, or 3)make recipients take extensive steps other than simply replying to an email or visiting a single page on a website to unsubscribe themselves from your emails.
  • Don't use deceptive subject lines in your emails that misrepresent the contents of your message.
After analyze my email for the past week, the email that caught my attention the most is the one start with the percentage of discount on the subject email. The reason why it caught my attention because how much money I would save if I clicked on that email. I believe that I would save some money when I open that email and buy the products. For example, When I saw Macy's email, the subject line stated "Things we love: extra 20% off & a long weekend!", the first thought went through my mind was "I can save 20% off 100 dollars I spend at Macy. Macy already make me think to spend $100 dollars at their stores. If this message can reach out to 1000 consumers, and all that consumers thinking like me, Macy just generate $100,000 income.

 The emails are compliant with the CAN-SPAM act. The only change I would make for Macy's promotion email is that include the message inside the email instead just provide us link to click on it and direct us back to their main website. However, the subject line "Extra 25% off: Men's Private Sale & Clearance ends Sunday!" does catch my attention every time. In that subject line, it has the percentage of discount, which interest me, and Men Private Sale, which made it personal level, caught my attention every time I open my email.
According to the internet retailers, Mayc's web sale keep growing in the first quarter for the department store chain that is No 6 in the Internet Retailer 2016 top 500. Chief financial officer Karen Hoguet reiterated in a call with investment analysts that Macy’s will continue to pursue an omnichannel strategy of linking its bricks-and-mortar stores with its websites, Macys.com and Bloomingdales.com, and its mobile sites and apps. Hoguet also pointed out that Macy’s recently had been ranked “as the sixth largest online retailer in America,” an apparent reference to the 2016 Top 500 Guide released last month. Macy’s does not report its online sales separate from total sales, saying that the way consumers move between stores and the web today blurs the line between store and online sales. Macy's also take step to advertise on social media as well but the result is not good. While Macy’s Inc. is bullish on social media—and Pinterest in particular—this holiday season, so far it has found that few consumers are transacting via buyable pins.

Base on IR's website, “Customer adoption of buyable pins has been slower than we anticipated,” says Serena Potter, group vice president of digital media strategy at the multichannel retailer, which is No. 6 in the Internet Retailer 2016 Top 500 Guide. “There’s still a lot of Pinterest users who don’t understand how they work.” Macy’s has been using buyable pins, which enable users to purchase a retailer’s products directly within a pin, since Pinterest rolled out the e-commerce-enabled pins last year. But while Potter thinks consumers will come to buy directly on Pinterest in time, for now she primarily views the image-focused platform as a place for “discovery and inspiration,” she says.

There are many strategy elements of direct marketing to help achieve the direct marketing strategy goals. The offer is one of the proposition made by the marketer to the consumer. It has two out of 4P's product and price. The offer also include branding and place as well as other action that affects concrete attributes or product image of the product and the company. A good offer must have a deadline for expiration to let the customer know it's a one of a life time deal. Macy's is really good at doing that. Every promotion email they sent me, it always have the percentage discount and a section of item that really interest me. The list  is where business keep the prospective customer contact information and send out ads and weekly email to them to notify the promotion for the store. Macy's is really good at getting those information from the customer. Macy's already have many coupon which require a Macy's card or a member card. Those coupon could save you up to 35% off on all items. On top of that, when you sign up for Macy's member card for the first time, they will take another 15% off on the entire purchase. I have to admit, I saved a lot of money when I signed up with Macy's for the first time. The media is where Macy's is lacking on. I don't see a lot advertisement on TV for Macy's as much as before. Maybe it's the new era where everything is on mobile.  



References
1. Econsultancy, D. M. (1970, September 09). How Macy's uses Facebook, Twitter, Pinterest and Google. Retrieved January 20, 2017, from https://econsultancy.com/blog/63374-how-macy-s-uses-facebook-twitter-pinterest-and-google/
2. Macy's Says Social Media Strategy Begins with Good Content. (2013, November 01). Retrieved January 20, 2017, from https://www.emarketer.com/Article/Macys-Says-Social-Media-Strategy-Begins-with-Good-Content/1010351
3.  CAN-SPAM Act: A Compliance Guide for Business. (n.d.). Retrieved January 20, 2017, from https://www.ftc.gov/tips-advice/business-center/guidance/can-spam-act-compliance-guide-business
4. 10 Email Marketing Spam Laws You Need to Know About. (n.d.). Retrieved January 20, 2017, from https://www.elegantthemes.com/blog/resources/10-email-marketing-spam-laws-you-need-to-know-about
5. Abby Callard Associate Editor. (n.d.). Macy's takes more steps to link its stores to the web. Retrieved January 20, 2017, from https://www.internetretailer.com/2014/09/16/macys-takes-more-steps-link-its-stores-web





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