Suped

What are the best practices for using an existing email list for a new sub-company?

Summary

Effectively leveraging an existing email list for a new sub-company requires a strategic approach focused on transparency, consent, and careful reputation management. The primary goal is to maintain subscriber trust and prevent deliverability issues that can arise from perceived 'list buying.' Best practices involve clearly communicating the new sub-company's relationship to the parent brand, typically through an initial announcement from the parent company, and providing granular control over communication preferences. It is also crucial to manage sender identity carefully, whether by leveraging the parent domain's reputation or warming up new IPs and domains for the sub-company, while rigorously segmenting the audience to ensure relevance and prevent subscriber fatigue.

Key findings

  • Transparency is Paramount: Clearly communicate the new sub-company's identity and its relationship to the parent brand to manage subscriber expectations and prevent confusion, which can lead to higher complaints.
  • Explicit Consent Best Practice: Seeking re-permission or explicit opt-in for the new sub-company's content is highly recommended for compliance, engagement, and avoiding spam complaints, even with an existing list.
  • Parent Company as Initial Sender: Beginning communications from the parent company, announcing the new sub-company, can leverage existing trust and establish the relationship for subscribers before the new brand sends its own emails.
  • Segmentation Over Migration: Instead of moving contacts to a new list, use tags or groups within your existing audience to segment subscribers interested in the new brand, enabling highly targeted campaigns without creating separate audiences.
  • Deliverability Risks are High: Without proper transparency, consent, and sender identity management, introducing a new sub-company can severely damage deliverability and lead to significant unsubscribe and complaint rates, potentially causing an 'unmitigated disaster'.

Key considerations

  • Consent Strategy Design: Plan how to obtain or verify consent for the new sub-company, whether through a soft announcement with an opt-out, a re-permission campaign, or an affiliate-style opt-in, especially considering regulations like GDPR.
  • Sender Identity and Warming: Decide whether to use the parent domain, for example, via subdomains, or a new sending domain and IP. If new, allocate time and resources for IP and domain warming to establish reputation and prevent deliverability issues.
  • Subscriber Onboarding Flow: Create a clear introductory journey, potentially a welcome series, for subscribers who engage with the new sub-company, setting expectations for content and frequency.
  • Granular Unsubscribe Options: Ensure subscribers can easily opt-out of the new sub-company's emails without unsubscribing from the parent company's communications, offering control and preventing frustration.
  • Branding Consistency and Evolution: While establishing the new brand's identity, subtly reference the parent company in initial communications to build familiarity and trust, gradually transitioning as the sub-company gains recognition.
  • Continuous List Hygiene: Actively monitor engagement for the new sub-company's emails and be prepared to quickly drop unengaged contacts to maintain list health and optimize deliverability.
  • A/B Testing Initial Outreach: Test different subject lines, sender names, for example, 'Parent Company via Sub-Company' versus 'just Sub-Company,' and content styles for initial emails to gauge subscriber response and optimize engagement.

What email marketers say

11 marketer opinions

Leveraging an existing email list for a new sub-company necessitates a meticulous strategy focused on trust, transparency, and a smooth transition. Beyond clear communication and granular unsubscribe options, a key best practice involves treating the new entity akin to an affiliate, where the parent company introduces the sub-brand, inviting existing subscribers to explicitly opt-in for new content. This approach, combined with initial communications leveraging the parent company's trusted branding and infrastructure, helps mitigate severe deliverability risks, maintains subscriber goodwill, and ensures that recipients genuinely want to engage with the new brand's messages. Continuous monitoring of engagement and quick removal of unengaged contacts are also vital for the new sub-company's list health.

Key opinions

  • Affiliate Model Reduces Risk: Treating the new sub-company as an affiliate, where the original company entices existing contacts to opt-in to the new list, significantly reduces the risk of deliverability disasters and perceptions of list buying.
  • Re-permission for Engagement: Running a re-engagement or re-permission campaign for the new brand specifically ensures genuine subscriber interest, leading to reduced unsubscribe rates and improved overall deliverability.
  • Branding Bridges Trust: Consistent branding that subtly references the parent company in initial communications helps transfer existing trust and familiarity to the new sub-company, easing the transition for subscribers.
  • In-depth List Due Diligence: Before any outreach, it is crucial to carefully review the original list's acquisition methods, recency of engagement, and the clarity of the sub-company's affiliation to tailor introductions and manage expectations effectively.

Key considerations

  • Crafting Tailored Introductions: Design introductory messages that acknowledge the subscriber's prior relationship with the parent company, for example, "We appreciated your business at X, and wanted to make you aware of new group Z.Y," to build a seamless connection.
  • Onboarding with a Welcome Series: Develop a specific welcome series for subscribers who opt into or are segmented for the new sub-company, re-introducing the brand, setting content expectations, and providing initial value.
  • Testing Initial Communication Elements: Utilize A/B testing for subject lines, sender names, for example, "Parent Company via Sub-Company" versus "just Sub-Company," and content styles in early emails to optimize subscriber engagement and response to the new brand.
  • Proactive Unengaged Contact Removal: Implement a strategy to quickly identify and remove unengaged contacts specific to the new sub-company's campaigns to maintain high list quality and prevent deliverability issues.

Marketer view

Marketer from Email Geeks explains that companies have successfully used this approach by treating the initial communication as a "sponsored message" from the old company on behalf of the new company, recommending a separate opt-out segment for the new company's campaigns.

10 Jul 2023 - Email Geeks

Marketer view

Marketer from Email Geeks shares that it's crucial to be very careful, as this sounds like a new list and recipient type. He advises checking how addresses were acquired, their recency, and the clarity of the sub-company's affiliation with the parent company. He suggests tailoring the introduction to acknowledge the source, for example, 'we appreciated your business at x, and wanted to make you aware of new group z.Y' and quickly dropping unengaged contacts.

19 Dec 2022 - Email Geeks

What the experts say

2 expert opinions

Building on the foundation of transparency and trust, successfully introducing a new sub-company to an existing email list hinges on securing explicit subscriber consent and making a well-informed decision about sending domain strategy. Without clear consent for the new entity, even a highly engaged list can quickly lead to confusion, increased complaints, and significant deliverability challenges. Furthermore, the choice between leveraging an established parent domain or building a new reputation with a separate domain directly influences both subscriber perception and the overall success of email delivery for the sub-company. Careful management of these aspects is essential to maintain a healthy sender reputation and positive subscriber experience.

Key opinions

  • Explicit Consent is Essential: For a new sub-company to use an existing email list, explicit subscriber consent to receive communications from that specific entity is paramount to avoid confusion, increased complaints, and deliverability issues.
  • Transparency Manages Expectations: Without transparent communication regarding the new brand's relationship to the parent company and its content, subscribers may become confused, leading to higher complaint rates and reduced engagement.
  • Domain Strategy Impacts Deliverability: The strategic choice between using a single sending domain, which leverages existing sender reputation, or separate domains, which requires building a new reputation, significantly impacts how subscribers perceive the new brand and influences overall deliverability.

Key considerations

  • Consent Confirmation Strategy: Evaluate and implement strategies to confirm or obtain explicit consent from existing subscribers specifically for communications from the new sub-company to ensure compliance and engagement.
  • Sending Domain Decision: Carefully weigh the implications of using a single sending domain to leverage existing reputation versus establishing a new one, considering the need for new domain and IP warming for the latter.
  • In-Email Branding Clarity: If utilizing a shared sending domain, ensure exceptionally clear and consistent in-email branding for the new sub-company to differentiate it from the parent brand and prevent subscriber confusion.
  • New Domain Reputation Building: Should you opt for separate sending domains, allocate sufficient resources and time for proper IP and domain warming to build a new, positive sender reputation effectively.

Expert view

Expert from Word to the Wise explains that when using an existing email list for a new sub-company, explicit consent is crucial. Subscribers must have clearly opted in to receive communications from all entities, including the new sub-company. Without proper consent or transparent communication, sending emails from a new brand to an existing list can lead to confusion, increased complaints, and deliverability issues. It is vital to manage subscriber expectations regarding the content and sender identity from each brand.

30 Aug 2023 - Word to the Wise

Expert view

Expert from Word to the Wise discusses the strategic decision of whether to use a single sending domain for multiple brands, such as a new sub-company, or separate domains. Using a single domain can leverage existing sender reputation but demands rigorous segmentation and clear in-email branding to prevent subscriber confusion. Opting for separate domains means building a new sender reputation from scratch with IP and domain warming. This implies that when using an existing list for a new sub-company, the choice of sending domain significantly impacts how subscribers perceive the new brand and how deliverability is managed, requiring careful consideration of brand identity and subscriber experience.

10 May 2025 - Word to the Wise

What the documentation says

5 technical articles

Successfully introducing a new sub-company to an existing email list requires a strategic blend of audience segmentation, proactive consent management, and meticulous attention to sender reputation. Rather than creating entirely separate lists, leveraging internal segmentation methods like tags or groups within your current audience allows for targeted campaigns while maintaining a centralized subscriber base. Crucially, even with an established list, obtaining explicit consent from subscribers to receive communications from the new entity is vital to uphold engagement and avoid spam complaints. Furthermore, carefully managing the sender identity, whether by utilizing subdomains of the parent company or warming up new domains and IP addresses, is paramount to safeguarding deliverability.

Key findings

  • Segmentation Best Practice: Leverage tags or groups within your existing audience to segment subscribers interested in the new sub-company, allowing for targeted campaigns without needing to create separate lists.
  • Consent for New Brand: Explicitly ask existing subscribers if they wish to receive emails from the new sub-company to ensure relevance, maintain high engagement, and prevent spam complaints.
  • Sender Identity and Reputation: Maintain a consistent sender identity, using subdomains if possible to leverage the parent domain's established reputation, and warm up any new IP addresses or sender domains used by the sub-company to prevent deliverability issues.
  • Centralized Audience Management: Managing the new sub-company's communications within a central existing audience simplifies operations and compliance while allowing for targeted outreach.

Key considerations

  • Audience Segmentation Method: Determine the most effective method, such as tags or groups, to segment your existing audience for the new sub-company, ensuring relevant content delivery.
  • Consent Re-affirmation Strategy: Plan how to explicitly secure consent from existing subscribers for the new sub-company's communications, prioritizing subscriber choice and engagement.
  • Domain and IP Strategy: Decide whether to utilize subdomains under the parent company's established domain or invest in warming up a new sending domain and IP address for the sub-company, evaluating the impact on reputation.
  • Deliverability Ramp-up: If using a new sending domain or IP, commit to a gradual sending ramp-up (warming) to build a positive sender reputation from the outset, even with an existing list.

Technical article

Documentation from Mailchimp explains that while they don't support moving contacts between audiences directly, the best practice for a new sub-company is to use tags or groups within your existing audience to segment subscribers for the new brand. This allows you to maintain one central audience while sending targeted campaigns from the new sub-company, ensuring subscribers only receive relevant content.

12 Jan 2023 - Mailchimp Knowledge Base

Technical article

Documentation from Constant Contact advises that for a new sub-company, you should segment your existing list based on interest or past engagement relevant to the new venture. They recommend explicitly asking subscribers if they wish to receive emails from the new sub-company, even if they initially opted into the parent company's list, to maintain high engagement and avoid spam complaints.

7 Mar 2023 - Constant Contact Help Center

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    What are the best practices for using an existing email list for a new sub-company? - Compliance - Email deliverability - Knowledge base - Suped