I am creating an email template which has to display images from external website. I had placed some tags for rendering the images and there are som
There is actually a method to use background images in HTML emails in Outlook.
As Chaitanya mentions it can't be done with CSS, but it can be done via VML.
The technique is a bit more involved than using background: url(....) and I don't use it as frequently as I would use the CSS technique (if it worked in Outlook). But it is very useful.
I've used it successfully on a number of campaigns.
Full instructions here: including a list of email clients that support this technique.
http://www.campaignmonitor.com/forums/viewtopic.php?pid=14197