Just for consideration, the first email marketing blast was sent in 1978 by a computer company to 400 recipients, which resulted in $13 million in sales. (towerdata)
yeah! that happened long ago, but it still demonstrates why email marketing remains one of the most important and successful digital marketing strategies of the present time.
The evaluation of technology and the rise of social media has brought significant changes to today’s digital world, that is why some people think that the rise of social media has replaced email marketing.
Well! That is not true at all.
The reason why email marketing does not work is that the email content is not relevant, in most cases, and so, a well-planned campaign and selecting the right audience is important.
In this article, I will write down some important facts about how email marketing is effective?
Let us get started…
Email marketing is a highly effective and cost-efficient digital marketing strategy for sending emails to customers.
Wow! You already know that.
But for those who are not sure about it, what is email marketing? I am writing a few extra lines below.
In this marketing strategy, email is used to promote products and services by directly sending them to potential clients.
A bulk of email is sent to an email list, which is a list of email addresses.
Special software is used for this purpose. E.g. MailChimp, GetResponse.
Ok, now the question is, how email marketing is effective? Is it really effective or you are wasting your time sending thousands of emails?
Let me make one thing very clear that to launch a successful email marketing campaign, well planning and selecting the right target audience is very important.
Let us move forward to the comprehensive part of this article and find out how email marketing is effective?
The importance of email marketing
Did you know, according to the email users state (Statista), about 4.073 billion people in the world use email, which’s almost 55% of the world’s total population.
So, if a successful email marketing campaign is launched, don’t you think it will add enormous value to your sales and business?
With having an idea of how many email users are there in the world, let us find out how email marketing can be an effective choice for your business?
with other online marketing strategies, you have no control over who should see your advertisement. You just pay for your advertisement and you can only pray for some kind of conversion to happen.
However, with email marketing, you have full control over your potential clients and the segmented area.
You can easily create your email list based on lead status, location, demographics, and customer data.
There are high chances of conversions as your campaign is well targeted according to the needs and demands of your clients.
You can also send personalized emails to each customer, which can boost your customer loyalty and long-term relationship.
Personalized emails have 6x higher conversion rates (Business2Community)
The best part of email marketing is, it is cost-effective.
It allows you to reach many consumers without wasting too much money.
For small business owners, email marketing is the best choice over traditional marketing strategies, where they charge you unreasonably.
For every 1$ spent, you can expect an average return of 32$-42$. (campaignmonitor)
(will highlight email marketing ROI in the next section)
3.More effective than social media
Social media is an important component of any marketing strategy. It’s a great channel for interacting with your audience and establishing personal relationships.
But is social media the best option? Considering the cost which is higher than email marketing and the click rates which are lower than email marketing.
Keeping aside our point of view, let us consider some following facts from (emailout).
- 59% of marketers state that email marketing is their main strategy for revenue generation.
- 74% of people prefer emails for B2C interactions.
- Email marketing has 50 times greater click-through rates than Facebook and Twitter combined.
- 9% of people prefer brands to contact them via social media.
- Email marketing cost is 10 times cheaper than social media ads.
- 60% of consumers like to receive promo through email.
Again, it’s not possible to judge which strategy is more effective in actually trying them out.
4.easy to launch and track
All you need is an email list to blast your emails, it’s that simple.
You don’t have to think much about the technical stuff like keyword research, type of advertisement and all google adds complex functions.
You just need to get familiar with some necessary tools and software and make sure you can create and add email lists, start your campaign, and track it.
Some of the best email marketing software are:
- Constant Contact
With most of the platforms, you can track your campaign after sending your email to email lists.
You can track:
- Delivery rates
- Bounce rates
- Unsubscribe rates
- Click-through rates
- Open rates
5.Increases brand awareness
Increasing brand awareness is always challenging for new startups.
But email marketing has solved this big problem, as you can send your brand email to thousands of customers at no cost.
Sending newsletters through email can let your customer know about your brand, your services, and upcoming events, and it can effectively promote your brand.
Until now, we have talked about the importance of email marketing with some statistical proves.
Now let us talk about the most important one, email marketing ROI, in the sect section.
Email marketing ROI (return on investment)
So, we are finally here, Email marketing ROI.
Email marketing ROI is a matrix that helps you figure out how effective your marketing campaign has been.
To calculate your email marketing ROI, use this formula.
(Money gained – money spent) / Money spent x 100 = ROI (as a percentage)
You can also find your ROI using an online email marketing ROI calculator.
If you are kind of lazy……
In general, the email marketing ROI is like 32$-42$ for every 1$ you spend.
Image from Neil Patel’s show
Statistics of email marketing ROI: (lyfemarketing)
- 25% of digital marketing revenue for companies is driven by email marketing campaigns.
- Email marketing ROI increases 2 times if a coupon is applied.
- 64% of consumers will proceed to buy the product if some sort of video is embedded in the email.
- ROI of email marketing is 3 times greater than any other digital platform.
The above statistics show that email marketing is the most effective strategy to drive relevant traffic and to generate great revenue.
But, for your campaign to be successful, you must take some mandatory actions to boost your ROI.
How to boost your email marketing ROI?
here are a few suggestions on how to improve email marketing ROI.
- Grow your email list
- Use triggered emails
- Do right segmentation
- Optimize email for mobile
- Keep tracking and testing your ROI
The ROI chapter ends here, but few things are still unspoken.
I mean, why not compare email marketing with other digital platforms really quick. Let us unhide some better truths in the next short section.
Email marketing vs other digital marketing platforms
To keep this article short and to the point, I am just highlighting the statistics below.
Social media vs email marketing
- Email users grow 3% each year until 2021. (Radicati)
- 49% of US-based Facebook users are not confident that Facebook will protect their data (Hub Entertainment Research & Statista)
- 37% of US-based consumers don’t trust Facebook companies. (Hub Entertainment Research & Statista)
- 75% of consumers share their data with the brand they trust. (GroundTruth)
- 2.34 billion social media users are there in the world. (Statista)
- 4.03 billion email users are there in the world. (Statista)
- 52% of social media marketers have faced challenges when reviewing ROI (Curata)
Social media vs email marketing
- ROI of google adds is 2$ for every 1$ spent.(ROI of email marketing is 32$-40$ per 1$ spent) (Economic Impact & Google Ads)
- 64% of consumers say that google ads are annoying. (SmallBizTrends)
- 73% of millennials believe that email is their preferred business communication strategy. (ProCurious)
- 92% of online ads aren’t noticed. (LinkedIn).
- 70% of individuals love to learn about products through content. (Inc.)
Email marketing is still the most effective and cheap way of online marketing to promote businesses and products.
The rise of social media and other online digital marketing platforms did not quash email marketing.
According to all the statistics mentioned in this article, email marketing has just risen above all of them in terms of efficiency.
The Roi of email marketing is 32$-42$ per 1$ spent, and that is my friend a big value.
Email marketing only fails if it is not properly launched, and that’s why well planning and the right audience segmentation is very important.
If you are short on budget and still want a great way of marketing, then blast your emails right now.
I am concluding this article here.