The email marketing campaign is one of the traditional online promo tools that still deliver great results.
To figure out whether you are reaching your target audience and accomplishing your marketing goals, you will have to learn more about measuring the effectiveness of email marketing.
Return of investment (ROI) is one of the most important factors in the world of internet marketing. ROI is measured by comparing the investment in marketing to the revenue generated through the campaign.
Here are some suggestions you can use to assess your campaign and introduce changes, in case such are needed.
Email Marketing Campaign Goals
To assess the effectiveness of your email marketing campaign, you need to come up with a list of promo goals in advance. Through the use of email marketing, you can accomplish one or more of the following goals:
- Increase traffic to your website
- Gain new subscribers
- Increase the number of ecommerce sales
- Increase event attendance
- Increase brand recognition
- Generate email orders
- Lower your marketing costs
- Increase repeat business
- Stay ahead of the competition
Being very precise about email marketing goals will provide you with the framework necessary to evaluate ROI and the outcome of your campaign.
The Most Important Email Marketing Metrics
To evaluate the success of your email marketing campaign, you will have to track a range of metrics. Here are the most important ones for assessing the ROI of your campaign:
- Delivery rate – number of emails delivered to inboxes
- Email open rate
- Click-through rate
- Subscriber’s list growth rate
- Email sharing and forwarding rate
- Bounce rate
- Unsubscribe rate
The click-through rate or CTR is an important measure of email marketing success. The CTR represents the number of people who followed a link included in your newsletter or promo mail message and visited your website.
According to a 2013 Silverpop report, the median CTR of email newsletters across industries is 2.3 percent. Some industries and companies see a much higher success rate and the CTR reaches up to 12 percent. A poor score can be the result of several key mistakes:
- Sending too many mails or newsletters on a weekly basis
- A poorly written subject line
- The lack of interesting content
- The lack of a clear call to action
- The lack of unique offers/product previews in the newsletter
Number of New Subscribers
The number of new subscribers you get on a weekly basis is also indicative of email newsletter effectiveness.
The number of new subscribers is known as list growth rate and it is indicative of the campaign’s “healthiness.” Building a large subscriber list will increase your rich and ultimately – bring up the ROI of the campaign. If the number remains small, you are probably targeting the wrong audience or your call to action is to blame.
A Few Additional Tips and Suggestions
Keep on analyzing the results of your email marketing campaign. Try to understand what works and what seems to be leaving the audience indifferent. Seeing where your leads are coming from will enable you to assess the performance of each marketing channel.
The audience should be given options to unsubscribe from the newsletters. You can have a brief survey, asking people about the reason for their decision. Knowing why people lose interest will help you make the newsletter more appealing.
You have an opportunity to make changes on the go, which is a tremendous online marketing benefit. Customizing the content and the manner in which you get subscribers can quickly bring up your email marketing ROI.