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Blog Home > AOL & Yahoo Not Charging To Send Emails

February 08, 2006


AOL & Yahoo Not Charging To Send Emails

AOL and Yahoo’s deal with Goodmail Systems has been widely reported in the mainstream press over the past week. On the front pages of papers across the world have been headlines similar to “AOL and Yahoo to Charge for Sending Email” and “Postage is Due for Companies Sending Email" (thanks to the NY Times for that one).

These headlines have led a number of the 4000 users who use IntelliContact to call or email and ask if this is true. Let’s start by sorting out the facts from the speculation.

It is true that AOL and Yahoo have announced they intend to begin to use Goodmail’s CertifiedEmail program starting in a few months. The key point that has been missed a number of times, however, is that AOL and Yahoo will be charging for assured delivery (with images enabled and an included trust symbol), not delivery in general. For most senders, nothing will change. AOL spokesman Nicolas Graham and Yahoo spokeswoman Karen Mahon indicated in a release on February 6, “Companies that don't want to pay a fee will be able to send e-mail to Yahoo and AOL members exactly as they have in the past.” Essentially, if you’re getting through to AOL and Yahoo now then you will in the future.

Senders likely to utilize the program would be emailers sending high value messages such as online bill notifications or transaction receipts, especially those in the financial sector where a trust symbol might allow consumers to distinguish between phishing scams and legitimate financial-related emails. The decision for each sender will be: will spending $3 to $4 per 1000 emails to AOL and Yahoo to assure delivery (with a trust symbol and images enabled by default rather than disabled by default) provide a greater additional return than the cost? Our belief is that for the large majority of senders, the answer will be no.

This noted, if and when the time comes when AOL and Yahoo do decide to use the Goodmail program, we’ll make sure IntelliContact is a reseller and that our clients can utilize the service if desired.

For additional information, see:

* Yahoo, AOL to Charge Some E-Mail Senders
* Amid Controversy, AOL to Keep Enhanced Whitelist
* Stop the Madness - Wading Through Fact & Fiction Behind the AOL-Goodmail Announcements

Posted by ryanallis at February 8, 2006 11:46 PM

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About this Blog: Follow the journey of entrepreneur Ryan Allis as he builds his company iContact into the worldwide leader in on-demand software for online communications, publishes his book Zero to One Million, travels the country as a speaker on entrepreneurship, explores the worlds of public policy, technology, marketing, management, leadership, venture capital, and organizational behavior, and lives a passionate life as a North Carolina entrepreneur and CEO.

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