Email marketing has an average ROI of 4,400%, meaning you can make an astounding $44 for every dollar you spend on email marketing. In other words, this channel is one of the most profitable forms of digital marketing available today.
That said, you can only achieve that 4,400% return if you do your email marketing the right way. If you want to increase email marketing campaign ROI, you need to do these five things.
1. Segment your list.
Segmentation can increase your revenue by as much as 760%.
Based on this statistic, segmenting your list should be the first thing you do prior to running an email marketing campaign.
Create segments based on subscriber information you already have. Depending on your type of business and the products or services you offer, this can include (but is not limited to):
- Interests (which promotions or offers they clicked)
- Past purchases
- Content consumed (which email newsletters they opened)
When you segment your list into different categories, you’re able to send emails that correspond to the interests of your subscribers. This makes them more inclined to open your emails and (hopefully) purchase what you’re offering.
2. Personalize your offers.
Blasting generic emails to your subscribers is a thing of the past, or at least, it should be. In today’s marketing landscape, personalization is key in connecting with subscribers and increasing revenue. Personalization is no longer a preference—it’s a prerequisite for successful email campaigns.
Personalized emails allow you to boost your conversion rates by around 10%, and your click-through rates (CTR) by approximately 14%. What’s more, research shows that emails with personalization elements are 26% more likely to be opened.
Here are some elements of your email message that you can personalize
- Subject line: Always include the subscriber’s name in the subject line of your email.
- Email copy: Address the customer by their name in the body of your message (ex. Hi John! or Hello John!)
- Dynamic content: The product images should match the type of customer you’re emailing. For example, if you’re a fashion retailer messaging female subscribers, then the images should reflect your women’s line.
These are just a few examples, and in fact, there are several other aspects of email you can personalize. If you want to do personalization well, use an email marketing service that has easy-to-use personalization features.
3. Write better subject lines and preheader text.
It’s not enough to include your subscriber’s name: You also need to craft subject lines and preheader text that converts.
First, use words and phrases proven to increase open rates. This will increase the likelihood of subscribers making a purchase. These phrases include discounts and urgency words (e.g. 50% off, back in stock, on sale now, and limited time only).
Another tactic is the insertion of an emoji into your subject lines. According to research, brands that use emojis in their emails experienced a 56% increase in unique open rates.
When writing subject lines and preheader text, you also have to consider the fact that approximately 53% of all emails are opened on some type of mobile device.
Keep subject lines between three and five words and 17 to 24 characters in length, and limit preheader text to 40-50 characters. This way, the subject line and preheader text of your email are fully displayed across all devices.
4. Welcome new subscribers.
You can never go wrong with a welcome series. They’re an indispensable part of your entire email campaign.
Encourage new subscribers to make their first purchase immediately after subscribing by including an exclusive offer in your welcome message. You can offer a significant discount (some brands give as much as 30% off), free shipping, or free complementary items on certain purchases.
This will not only boost your revenue but also make your subscribers feel important and appreciated. This goes a long way in building loyalty and a good relationship between you and your customers.
5. Take advantage of automation.
To maximize your welcome emails, harness the power of email marketing automation. Automate your welcome series so that new subscribers receive a welcome email the moment they sign up.
With email marketing automation, you can increase your conversion rates by as much as 50% and increase your revenue by up to 320%
Taking advantage of automation enables you to send thousands of emails in seconds and send them at just the right time. In addition to welcome emails, you can also automate:
- Product recommendations: Send customers automatic recommendations based on transaction history, and trigger these messages to send after a purchase.
- Abandoned cart: Send an automated email to a customer who never went through the checkout process on your website.
Keep these tips in mind the next time you brainstorm an email marketing campaign with your team. The strategies outlined here may seem simple, but try them out and you’ll definitely see an increase in your email marketing ROI.