The Top 5 Benefits of Email Marketing
8th February 2017
Contrary to some rumours that have recently surfaced stating that email marketing is slowly dying, I actually think that it is more powerful and more important than it has ever been. Technology has changed the way consumers interact with businesses and has also changed the rules of email marketing. With so many different channels and ways to communicate with existing or potential customers, good email marketing is getting harder to do and consumers simply expect more from us marketers. So in response to the rumours I would simply say that great email marketing that gets your message across, engages and differentiates your brand will never die.
Here are the hard facts to give you some context: a recent study found that 72% of the surveyed consumers indicated email as their favourite channel to hear from brands. Year over year, email beats any other channels in both return on investment and customer acquisition: it generates $38 for every $1 spent and beats social by 40x times for customer acquisition.
However, email marketing has many more benefits besides its high ROI and customer acquisition rate which also deserve some special attention.
Related content: The Best Email Marketing Software of 2017
So what are the top benefits of email marketing over other channels and platforms?
Low cost and High ROI
One of the main benefits of email marketing is that the necessary tools come at a low price compared to other marketing channels. Many advanced solutions offer very affordable plans starting at about £10 per month or even have free plans available.
But do not confuse low cost with low quality; when designed, organised and executed properly, email marketing can be extremely efficient and actually brings the highest ROI of all the marketing tactics. As mentioned above, email has a return of $38 per each $1 spent!
Here is a graph that compares the ROI of different channels:An image showing the return on investment (ROI) of the different marketing channels
Easy to create and use
Email marketing used to require trained and HTML savvy professionals to craft good-looking and purpose-serving emails. Nowadays, most of the email marketing software solutions are quite advanced, providing plenty of easy-to-use tools such as ready-made or drag-and-drop templates to help you create professional-looking email.
This saves a lot of time since you don’t need to code a new campaign from scratch or update the code of an existing HTML email campaign in order to send your monthly eNewsletter.
Personalisation for better results
Email marketing enables you to personalise every message for each individual with their first name, last name, birthday, the company they work for etc. plus of course all the custom fields that are important to you and your audience. Personalisation is an easy way to make your emails more effective and relevant, which leads to big wins.
Segmentation for a better reach
Another key advantage that email marketing has is that it allows you to segment and target your audience in a much more precise way than the other channels.
For example, let’s consider social media: excluding paid social media advertising, it is not easy to target your audience on social media. Firstly, even though you can plan what you post and talk about on social media to attract the right audience, you don’t have full control over who follows you. Fake or dormant accounts are very common, which only makes your audience inactive. Even though there are many ways to help you target your audience such as hashtags or posting times, it is not a given that your message will get to the right people or that your audience will see it. For instance, #security is mainly used by the IT industry, but also used by home security businesses or recruiters. So there is no promise that the right message will be delivered to the right people.
Email marketing ensures that your message will be delivered to the right audience at the best time for them. Segmentation is a great tool which allows you to send emails only to those who meet certain criteria. It can help you upsell or cross-sell to existing customers, inform and encourage new customers to make a purchase, or re-engage inactive customers among many other segmentation strategies.
Additionally, since your subscribers have signed-up to receive those emails, they are already familiar with the brand and you know they are interested in it.
Easy to track
One of the best and most important advantages of email marketing is that it’s very easy to track so you can easily report on your email marketing efforts. Most solutions provide you with reports after each campaign on open rates, CTRs, CTORs, conversion rates and many more. This, in turn, allows you to determine what worked best and what didn’t work well so you can change your strategy and improve on the move.
With all the benefits mentioned above – it looks good, it’s more personal than social media, if segmented well it delivers the right information at the right time to the right people; plus it’s got the highest ROI and customer acquisition rate – email shouldn’t only be the customers’ favourite channel for brand communication, it should be yours too.
We hope this article has been of interest. If you understand the benefits of email marketing but struggle to do it yourself, please contact us and we will be happy to help you.