The USP of email marketing is the high ROI. In a recent study, 91% of respondents said that email marketing was either very or extremely effective in driving sales. It's been found that when businesses use email marketing to generate their first sale, they're likely to see a 37% return on investment.
In this article, we will explore the increased ROI from email marketing to businesses and the continued investment in email marketing in 2017. We'll also take a look at different statistics that show email marketing's ROI and how it is still relevant for businesses.
Email marketing has been around for a long time, but it is still seen as the most effective strategy for small businesses looking to grow their customer base. Reasons why include being able to manage your own database of customers, having the ability to market your product or service directly to them, and it being an inexpensive way of reaching all demographics of people.
The Internet continues to be one of the most successful and lucrative ways for companies seeking to increase their brand awareness and recognition of their products. Email marketing continues to be one of the most popular methods of promoting a company online, and for good reason: it is cost-effective and easy to use.
It should come as no surprise that the vast majority of huge multinational corporations have said that they want to boost their email marketing efforts in the future. It should be noted, however, that this is not limited to just major corporations. Organizations of all sizes are employing this strategy and seeing significant success as a result. With such a high return on investment, it is essentially becoming a must for most firms.
When compared to conventional advertising tactics, which are meant to run on someone else's timetable, email marketing campaigns allow for the inclusion of multimedia and interactive features, as well as the ability for the marketer to run advertisements on their own schedule. It also enables marketers to test and monitor the effectiveness of their advertising strategies.
The capacity to customize and target email marketing campaigns is one of the factors that contribute to the high return on investment. Because it is such a personal and direct method of marketing, marketers are able to offer individualized messages to clients and even accept their responses via this channel. This two-way exchange of information is an excellent method of building a loyal and devoted customer base. Furthermore, since it is necessary for the subscriber to opt-in in order to get these communications, the emails should be reaching a responsive and focused audience.
A firm's email list grows in size, and they are able to use this list to send out corporate updates, new releases, industry news, special deals, and other information. In order to send different emails to various subscribers, they may partition their subscribers into distinct lists. Examples include sending follow-up or up-sell opportunity emails to prior clients, while sending emails that are more instructional in nature to prospective clients and customers.
Because their lists can be so specifically targeted, businesses have a better chance of seeing a positive return on their investment than they would if they used more conventional types of marketing. In addition, since the communications may be highly tailored without being obtrusive, prospects are more likely to check into what is being presented when they get them. With email marketing's cheap overhead, dependability, quickness, and general efficiency, it's easy to understand why it continues to deliver such a great return on investment.
However, despite the fact that it has been repeatedly shown as one of the most efficient methods of marketing a company online, many marketers maintain that its efficacy is diminishing. The average return has decreased marginally, however this is more likely attributable to the fact that general expenditure figures have decreased as a result of the present economic circumstances, rather than any other factor.
There is no question that email marketing is still a viable alternative and will continue to be a profitable revenue stream in the future. The techniques will continue to vary over time, but the fundamental concepts and profit margins will most likely stay the same or be somewhat higher.