Email, originating in the 2970s for the first time, has not only opened a new era of communication but also evolved into a core digital marketing platform for startups and running businesses throughout the world. Email marketing revenue stood at 7.5 billion US dollars in 2020 and is expected to cross the 10 billion US dollars bar by 2023 with the continued increase in active email users. (source)
With such a high return on investment, there is no question why you shouldn’t invest in email marketing campaigns in 2022 and keep a check on their success.
WHAT IS AN EMAIL MARKETING CAMPAIGN?
Broadly, every email sent to potential or current customers comes under the banner of email marketing. However, there are several categories these emails can be divided into. The most common ones include:
Promotional emails: The art of informing your email list about the product or service you offer. The purpose of this communication is to increase brand awareness, improve the loyalty of your customers and generate more significant revenue. Survey says that 49% of people like to receive promotional emails on a weekly basis from their favorite brands. (source)
Retention emails: They are triggered messages targeted at existing customers and intended to increase their loyalty and satisfaction. They can include feedback emails, appreciation for showing interest in you, email newsletters, or reminder prompts about deals and offers. Over 80% of retail professionals think that email is their best channel for customer retention. (source)
Acquisition emails: As necessary as the retention of an existing customer is, the acquisition of new potential buyers can take your business off the roof if appropriately administered. Targeting email subscribers in a custom manner, categorically according to their demographic information, can produce far more engagement than expected.
WHAT ARE THE KEY PERFORMANCE INDICATORS FOR AN EMAIL MARKETING CAMPAIGN?
How your email marketing campaign is doing is difficult to determine, but the following metrics studied together can give an idea of the progress.
Open rate: The total number of people who opened an email to read its text is the open rate. It can be studied for the entire email list, or you can track the number of emails opened by each person on a weekly basis
Click-through rate: The ratio of the number of email respondents who clicked on at least one of the links contained in an email copy to the total delivered emails make up the click-through rate.
Conversion rate: It is the number of email recipients out of the total delivered emails who took the desired action you asked for in the email
Bounce rate: The emails that could not reach the desired recipient from a complete list or are ‘bounced’ off are not capable of producing any results. A bounce rate of 2% or less is accepted as okay.
Engagement time: The amount of time your email subscribers spend reading your emails often gives a clear indication of how hooked they are to what you have to offer. Engagement time is related directly to the quality of email content; the more captivating the content is, the better engagement response it brings.
Email list growth rate: Determined through the number of new subscribers per month, the growth of your email list defines the effectiveness of your email campaign. An increasing trend in the list growth rate indicates that you’re reaching new audiences.
Unsubscribes and complaints: People who report your emails as spam or unsubscribe from your regular email list are those who are no longer interested in your offers. Collect their demographics and capture their interests through a different strategy.
The overall return on investment: The most fundamental indicator to measure is the return on investment seen through email marketing campaigns. The revenue generated through public targeted via email campaign and calculated as profit earned over each dollar spent on the drive. According to a 2020 survey, email marketers worldwide made 36 US dollars for each dollar invested. (source)
HOW TO MONITOR YOUR EMAIL MARKETING CAMPAIGN?
Now that you have the engagement metrics of your campaign in hand, the final and most vital step is to make the most out of this information. The following ways can help you monitor the demographics of your campaign effectively.
- Create graphs and charts to display your metrics in an easy to comprehend manner
- Calculate the averages of these metrics every quarter
- Define your audience in segments according to their demographics
- Look for any patterns and insights and try to find what suits you and what doesn’t
- Check if there are any anomalies in these analytics, identify what might cause them, and rectify the mistakes
- Set a baseline for your key performance indicators for each month, and make sure they don’t fall beneath it
- Set realistic goals to accomplish via email marketing campaigns
- The better you measure the success of your email marketing campaign, the better results it brings on both a short-term and long-term basis.