 
Email marketing is one of the most cost effective methods of reaching your audience. One of the reasons that email marketing has gained in popularity so much is that there is no quicker way of generating new business leads or maintaining relationships with customers and prospects.
The major benefits of email marketing include:
Substantially lower cost than sending printed media
100% Track-able – You will know exactly who opened the email and what they clicked on
Emails will be immediately delivered to your sender
Instant traffic will be sent to your website
You will have advanced segmentation meaning the right communications go to the right people
Email marketing can help you achieve a range of online marketing objectives, ranging from tangible revenue increases through new and repeat sales, to other benefits such as improved branding.
Here are some good reasons why you need to include Email in your marketing strategy.
Email can help you achieve your business goals.
Want more customers? More leads? More sales? E-commerce is booming and a well-planned email marketing campaign can generate high response rates, allow you to get the word out about offers and discounts, and create opportunities to cross-sell and upsell. The measurability of the medium means that those benefits can be demonstrated in tangible terms.
It’s more cost-effective... Email is much cheaper, more measurable and can be better targeted than traditional direct marketing. Sending out the right messages at the right time can also help you retain customers – retention is much cheaper than acquisition.
Customer intelligence Email marketing is highly measurable and each campaign gives you the chance to analyse customer feedback to see which offers and products individual customers are interested in.
Improved overall online marketing Data gleaned from email campaigns can help you improve the effectiveness of your other online marketing activities. Email marketing is also a good chance to develop and update your in-house customer database.
Stats from the research, conducted by PwC and the World Markets Research Centre, show:
The total ad market grew 3.1% in the six months to £9.1bn, but would have fallen if it weren’t for online’s contribution.
Classified advertising online was the star performer - it increased by 72% to £277.7m and now accounts for over a fifth of the internet ad market.
Display advertising grew 33% to £287m.
Paid search was up 44% to £762.3m - 57.1% of total online ad spending.
Recruitment was still the top category with 24.7% share, followed by automotive, which overtook finance to take second spot with 12.5%.
Finance had 11.7%; telecoms had 6.7%; and property had 5.7%.
Interestingly, the business and industrial category more than doubled to 3.1%.
The true ROI of email marketing: Actual case study:
Company ABC sent about 90,000 direct mail pieces and about 93,000 email messages.
On every metric, email outperformed direct mail:
The total cost of the direct mail program, including production, postage and lists, was over a quarter of direct mail's cost.
The initial response rate for direct mail was 1.25 percent. The initial CTR for email was 3.72 percent.
The direct mail piece received 1913 total responses. Two percent converted to leads. In other words, Company ABC received 38 total leads from direct mail. The email campaign had 3,476 clickthroughs, with 23 percent converting to leads. Email delivered 800 leads.
The most important result: cost-per-client for direct mail was £2,194.51 versus £24.41 for email. An 890% difference! |
Traditional printed mail campaigns are expensive. Imagine this scenario…. You have 1000 contacts you wish to send a mail campaign to regarding an offer. The cost of each piece of marketing collateral is 70p and the cost to send it out is 30p. 70p + 30p = £1 1000 x £1 - £1000 your offline campaign has just cost you £1000 minus staff costs. Now imagine that you are sending out one of these campaigns per month, this would mean that your cost will be £12000 per year. Imagine what you could do with that £12000 instead? Email marketing provides you with a method of reducing these costs substantially and allowing you to spend it elsewhere. |
