Permission-based Email Marketing for Customer Engagement : A qualitative study on how email marketing and relational factors influence consumers' non-purchase behaviors

Abstract: Email marketing is not a new concept within marketing, it has been used by companies as a cost-effective way to incentives purchases for decades. However, during the past few years, there was a shift in the way email can be used. Today, it is also a way for companies to directly communicate with customers and through it create more long-term customer relationships. Previous research within the subject has had a focus on examining the effect of email marketing on purchases. However, with the new additional email practices, which have emerged in recent years, there is the need for studying email marketing from the perspective of the consumer. Since there are several conceptualizations of email marketing, this study adopts the definition where consumers’ consent to receiving the emails is a must, in other words permission-based email marketing. In addition, the study examines the influence of permission-based email marketing on consumers’ behaviors that go beyond purchases, namely the non-purchase behaviors. Thus, the purpose of this study is to gain a deeper understanding of how permission-based email marketing and relational factors influence consumers’ non-purchase behaviors. Moreover, the study aims to answer to the following research question: How does permission-based email marketing, aided by relational factors, influence consumers’ non-purchase behaviors? In order to answer the research question, a qualitative method was used, more specifically semi-structured interviews were conducted with young millennial consumers between the ages of 25 to 34. The results showed that different identified aspects of permission-based email marketing influence certain relational factors and ultimately the consumers’ engagement. However, a key factor is the consumer's own perception regarding what the emails from clothing retailers should contain in order to be relevant. Whether the email’s content is general or personalized, if the consumers perceive it as valuable and relevant, it will lead to increased customer satisfaction, perceived value, perceived brand competence, trust, commitment and loyalty. These relational factors can facilitate consumers’ non-purchase behaviors such as opening, reading, clicking on links and spreading positive word-of-mouth. However, the results also indicate factors, which contribute to less and more negative non-purchase behaviors. If consumers do not perceive to have given permission for receiving emails from a clothing retailer, they will respond by unsubscribing. Moreover, if consumers perceive to be receiving an excessive amount of emails, or if they deem the content irrelevant, they are more likely to delete, unsubscribe and spread negative word-of-mouth. The study resulted in a conceptual model, which illustrates the factors of both permission-based email marketing and relational factors and their influence on consumers’ non-purchase behaviors.