Using Generative AI to 10x Your Email Open Rate with Larry Kim

Published Sep 17, 2023, 11:00 AM

Larry Kim shares how he perfected leveraging data and generative AI to create an email marketing strategy that can 10x your open rate at the Leveling Up Founders' event.

TIME-STAMPED SHOW NOTES:

  • (00:00) - Larry Kim's key insight on his business success journey.
  • (02:26) - Larry Kim's expertise in using data and generative AI perfectly.
  • (03:20) - Combining the best elements of inbound and outbound email marketing
  • (05:20) - Here’s where you can get your data sources (not what you’re thinking)
  • (06:15) - Email deliverability tools you don’t know to increase open rates
  • (08:37) - Here's how to maximize AI for email marketing


Go to https://www.marketingschool.io to learn more!


  • Don’t forget to help us grow by subscribing and liking on YouTube!


Leave Some Feedback:


  • What should we talk about next? Please let us know in the comments below
  • Did you enjoy this episode? If so, please leave a short review.


Connect with Us: 


Learn more about your ad choices. Visit megaphone.fm/adchoices

Hey guys, Eric su here, So the following is a clip from the Leveling Up Founders a mastermind that happened in Beverly Hills and you're gonna hear from some amazing founders, some amazing marketers and investors. And this was a private event that happened. So again you'll get a preview of it. If you want to learn more, you can go to leveling up dot com slash founders. Once again, lovely up dot com slash founders and without further Ado enjoyed the clip.

When it came to starting this new business customers at AI, we're in the sales, outreach, automation and data company for it. It's a very interesting product. I think that part I think we've figured out. It was definitely in need of a go to market channel, and as I was reviewing, like how the heck are we gonna get this in front of people, one of the key discoveries was that what worked for you in the past doesn't necessarily work for you today. And not to say that we don't do content marketing, but it's just harder.

Like I have a website, it does about.

One or two hundred thousand visitors, one or two hundred thousand visitors a month, six thousand domains, and thirty six thousand backlines.

But it's just really hard.

I'm competing against is Neil here, No Neil, I'm just calling out here.

It's just very hard.

I'm competing against websites like nil patel, who's got twelve point eight million backlinks and one hundred and eighty thousand referring domains. And it's just the idea that I could, like somehow magically displace these companies like HubSpot or word stream or nil patel. Is this fantastically unrealistic. And even the ads, which were a big part of my go to market for my last business I was buying, clicks were five cents okay, they're now fifty dollars a click okay, And Facebook ads were like fifty cents per thousand impressions that they're now eight hundred, nine hundred dollars. It's just I needed a new marketing channel to exploit in twenty twenty three to get this thing moving like how I did before. And don't laugh, guys, my master plan, at least the original version one point zero of it was outbound emailing.

It's the plan was pretty simple.

Get a list of four hundred thousand marketers and salespeople from something like zoom Info or apollo is. Just download that list and then bombs away like email these people, of course, did not work. It does not work people. I was shut down by Google. I was shut down by Sendrid. It was destroyed the sending reputation. It was quite a disaster. Actually, However, I'm very stubborn, and over the last two years, I believe I've perfected what I could describe as a way to actually make this work.

I call it this.

It has to do with leveraging new ideas and new technologies. Specifically, three areas of concern. One is user intent data and turning that into emails. A second idea is these advanced email delivery tools and I'll talk about that in just a second. And the third kind of category is generative AI. And if you can stitch together these different ideas, this is a very high leverage to go to market that is very easy to copy in your own organizations. So my big claim today, guys, is that AI powered intent driven outbound email marketing will save the day. And what I mean by save the day is make you tons of money. Leads, profits, sales. If you've never heard of INTI driven outbound email marketing, don't worry. It's just a word that I made up. It doesn't actually exist. But conceptually, the way I'd like you to think about it is that it combines elements the best elements of inbound email marketing and outbound email marketing. Suppose, if you will, if you could figure out a way to combine the higher engagement rates of inbound emailing with the unlimited supply of emails and low costs of outbounding. And this is where I've landed here. So remember I said there were three components to this machine. The first component is leveraging user intent data. This has to do with harvesting intent signals from users and then turning them into email lists. That's actually one of the things that, among other things that my company does, we have developed a way to identify the anonymous website visitors that go to your website.

It's crazy.

So those emails lists they get generated, therefore, are they have a high intent signal because they're just not just random people. They're people who are in market for your product or service and they've heard of you. So this is like almost the lay up here. This is just one example. There's tons of different data sources that any company could leverage to generate these outbounding lists. Suppose you're an e commerce consulting agency. One of your user signals, the signals that your users gives off prior to becoming a customer, might be the installation of something like Shopify or or clavey O. So using products like built with you can subscribe to kind of technology additions or removals, depending on what the signal is for your target buyer. If you're suppose you're a like an office furniture retailer, Okay, who are you going to sell your office furniture to? You could just subscribe to the SEC business financing records, Like when someone raises five million dollars or whatever, you have to fill out this form and it shows up on this SEC website and those are the kinds of people that are going to buy your office for an LinkedIn A sales navigator, of course, very good at providing data around the new hires, promotions, work anniversaries, company and the news that kind of stuff. And there's tons of crazy data products out there that you might not be aware of what you can subscribe to life events like baby, new house, death, and the family. You can subscribe to physical locations people who who enter a Good Years store on a certain street. You can go after people's search history and get their identities even And there's a huge difference here between static interest based email lists, which are used to power conventional cold email outreach versus dynamic intent driven email lists, which is used to power these intent driven outbound marketing strategies. And the punchline here is that the intent driven lists have ten times higher engagement, more clicks, more opens, more replies, lower complaint rate. It sends all of the good signal to the Google's algorithm, which improves the deliverability. The second big idea here, I have to show what you has to do with email deliverability tools. So these are tools that exist that are specifically designed to undermine the Google promotions tab ai. Okay, the one that I use is called instantly and it's quite a racket. Basically, you sign it to this network of instantly dot Ai and then you're part of this network of a cabal of emails that are like sending emails to each other like a big, a big network of sending emails and occasionally something will get found in the in the spam folder and it'll just confuse the heck out of Google by marking that is not spam and pulling it out of the inbox. So this is just like a sporting analogy, Like you can't just have a strong offense and no defense. So the intent driven list is the offense, like it's a better list to begin with. The deliverability tools is like the defense. It's when you know it's something got classified as spam, we're gonna have to pull it out there. My third big idea today is to customize the email content using generative AI in combination with the data intent signals.

That you've previously collected.

As an example of this, companies like my own and other companies do provide a lot of consumer data. So for any one of you people, I have hundreds of data points of like where you live and how many kids you have, and your marital status and your income. So you can augment the data that you have on these people and then leverage generative AI use cases such as this to generate spectacular outreaches. This one is actually me, So this is writ an email for a guy who lives at fifteen House Street in Dennis, Massachusetts.

In the email working to.

The copy a reference that will be recognizable to someone who lives at that address, also mentioned that he had got interested in startups to two kids at home.

This is what it ends up coming up with. It's crazy.

It says, as a resident of Dennis, Massachusetts, you're no stranger to the notorious shark sightings at nearby West Dennis Beach.

What the heck? This email?

Not only does this increase the delivery because it's impossible to fingerprint because every email is completely different, it also is it's a delight to receive that does an email like this just sixty seventy eighty percent open rates? There are I'm just scratching the surface here. There are many other generative AI use cases for intent driven outbound emailing. For example, we could use genera AI to generate.

The text for text messages. But why stop there.

You could use AI algorithms, the new AI text to speech algorithms to have a friendly female voice read that text message and then turn it into a voicemail like you could do video sales letters, record them once, have the AI customize your speech patterns and the sound to be customized at scale for every single recipient of that email. So what we're talking about here is, for the first time in the human existence, we can enable one on one hyper personalization at scale, the benefits of which are super ridiculously high engagement and deliverability.