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Informaiton in this article is not correct. There’s no way to reliably insert an image into a notification template at this time.
See ticket below for details.

To ensure images render correctly on the majority of email applications and web apps, specific steps need to be taken to insert images into a Notification Template. Using the standard Word Insert → Image or copy/paste technique will result in the images not being displayed in some email applications, most often in gmail and other web-based email systems.

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