Did you know that over 4.3 billion people check their inboxes at least once daily? Although emails don’t always get through spam filters, 77% to 80% of them do, making it a highly effective marketing strategy.
Here we will discuss the top eight reasons businesses generate leads, sales, and profits from email marketing strategies. First, let’s review a brief description of email marketing.
Email Marketing Definition and Evolution
Trivia fact: It was back in 1971 when someone sent the first email, although it was more of an experiment than a message. Fast forward to 2022, the value of email marketing has exploded to a $12.4 billion business, with a volume of approximately 333.2 billion emails a DAY!
Email marketing is a powerful digital marketing tool that enables businesses to directly reach their customers and prospects. It involves sending personalized emails to a targeted list of consumers and businesses that have given permission to the sender to do so. Email marketing promotes products and services, builds relationships, and drives sales. Marketers must stay up-to-date on the latest trends and best practices for email marketing and understand its evolving landscape.
Over the years, the use of email marketing has changed drastically. With the advent of new technologies, marketing automation, and consumer data, email marketers now have more tools than ever to craft highly effective campaigns customized to the individual. Today, email marketing is an essential component of any successful digital marketing strategy. With the right email marketing tools and strategies, marketers can create highly effective campaigns that target the right audience and drive conversions. Whether you are building relationships, promoting products and services, or driving sales, email marketing is an invaluable tool to help businesses reach their goals.
8 Benefits of Email Marketing
If you haven’t begun email marketing for your business, here are 8 reasons to start now.
1. Higher Conversion Rates
Email marketing strategies allow marketers to reach potential and current customers at any time and on any device. People read emails day or night on their computers, smartphone, or tablet. Because they read messages at their leisure, they are more receptive to new ideas or offers.
A 2017 survey of marketers revealed that email converted on average 4.29%, more than any other channel. For more current information, Campaign Monitor has a chart of benchmark conversion rates by industry.
2. Easy to Increase Leads
Need more leads? Send more emails. Most email campaigns tend to experience an average ratio of open rates, CTR, and CTOR. For example, eCommerce emails hover around the mid-40% level open rate with 15% CTR and 19.9% CTOR. Increasing the number of emails will naturally increase the number of leads and sales.
Email drip campaigns or lead nurturing help qualify leads and avoid wasting the sales team’s time. For example, if a prospect downloads a lead magnet, they receive drip emails that provide more information and incentives to convert the lead into a sale.
Cold emails can also generate new leads and interest in B2B offers and products. Companies that do lead scoring can track if those leads opened or clicked on the emails and follow up with more targeted messages for better results.
3. Improves Customer Loyalty
Growing a massive email list is a worthy goal for marketers and retailers. However, building a smaller but loyal customer base is more profitable. It can cost up to 5 times more to acquire new customers than to nurture existing ones.
It’s worth nurturing and incentivizing loyal customers with email campaigns because they spend an average of 67% more than new customers.
4. Segmentation Increases Engagement
No other marketing method can pinpoint customer habits like email. Businesses can slice and dice their lists to target various groups down to individual prospects. List segmentation enables marketers to personalize their messages based on a wide range of factors and behaviors, such as purchase and browsing history, geographic location, age, birthdate, and other anniversaries, gender and ethnicity, income and job title
Segmentation can increase engagement and sales. MailChimp recently discovered that segmented email campaigns received 14.31% higher open rates and a 100.95% higher click rate than non-segmented campaigns.
5. Cost-Effective and Profitable
Email marketing is one of the most cost-effective marketing strategies out there. In fact, according to a report by Forrester, email marketing can be up to five times more cost-effective than other forms of marketing, like print advertising and traditional telemarketing.
Marketing experts say that every $1 spent on email generates $36 to $40 in new revenue, depending on who is reporting. That is an incredibly high ROI and higher than any other form of marketing.
6. Automation Saves Time and Hassle
Email offers tremendous time savings and efficiency due to automation. A GetResponse survey of email marketers revealed the top 3 benefits of email marketing automation:
- Saved time
- Improved lead generation
- Increased revenue
Marketers can set up sales funnels and autoresponders to trigger for almost any reason, from where a visitor stops on a page to specific dates, times, or other events. Once set up, email automation can work around the clock delivering precise messaging to highly targeted customers.
7. Increased Reach
Email as a platform has evolved from a shotgun-like “spray and pray” approach to a highly targeted medium that delivers your message to the right person’s inbox at the perfect time that will read it.
Too often, people have every intention of reading your email but get distracted. It gets buried under hundreds of others until it’s out of sight.
The answer is to target people when they read most, typically in the evening or other down times. An online company, Easibib, tested resending messages to subscribers in the evening when they are most likely to read them. They were able to nurture 54.7% more leads using this time and targeting technique.
8. Measurable Results
Email marketing offers the most data to marketers of any medium. There are 15 KPIs (Key Performance Indicators), including open rates, unsubscribes, bounces, forwarding, revenue per subscriber, and more.
Each metric helps marketers to determine what works and how to improve the next campaign. Email marketing success requires continuous testing of every element because tastes and trends change quickly. Respond to new ideas and discover what works best for your products and target audience.
Effective Emails Help Establish A Presence In Your Market
Email marketing is the best way to reach a large audience with personalized messages and measure the success of campaigns. Marketers can segment their audience, track customer engagement, and measure ROI. Email marketing is an effective way to engage customers, build relationships, and drive sales. With the right strategy and an effective email marketing campaign, you can maximize your return on investment and drive more sales. If you’re looking to take your email marketing to the next level, hire Groverscopywriting to write your emails today!