E-mail marketing has proven to be one of the most effective digital marketing channels. When well executed, e-mail marketing can benefit many types of businesses for many different purposes. Through e-mail marketing, a company is able to keep in touch with customers and prospective customers easily and efficiently. It is a cost-effective way to transmit valuable information relevant to a customer’s interests.
The major benefits of e-mail marketing are as follows:
E-mail is a relatively inexpensive direct marketing channel compared to direct mail or telemarketing, which typically involves a great deal of resources in terms of both money and time. With direct mail or telemarketing, there is a cost for every contact. While e-mail marketing generally has set-up costs, the cost of sending each e-mail is very low, making it a desirable way to communicate to a large audience.
Speed of Execution and Fast, Robust Tracking
Organizations may need to distribute critical information to customers in response to an event or a company crisis. There may not be time to produce and send something through regular postal services, nor would direct mail necessarily be appropriate for the situation.
Ease of Creation
E-mail marketing campaigns can be relatively easy to create. Effective e-mail campaigns have engaging content presented in a short and digestible manner with visually appealing, strategically chosen graphics or photos.
Call to Action Responsiveness
One of the greatest advantages of e-mail marketing is that it allows customers to respond to a call to action immediately. Offline marketing channels do not enable customers to transition from seeing an offer to purchasing the item with little more than a couple clicks of a button. By linking a persuasive call to action to the right landing page for the product, e-mail marketing can drive engagement and sales like no other channel.
Ease of Tracking
E-mail marketing can provide critical insights and enables easy tracking of performance metrics. E-mail marketing software enables a business to track open and click-through rates on both e-mails and links within them. As a result, companies can quickly and easily analyze the effectiveness of the messages and campaigns, and immediately identify opportunities for improvements, including adjustments to mailing lists, changes in the timing or frequency of messages, and revisions to copy or graphics.
Segmentation, Personalization, and Testing of Offers
E-mail marketing allows a company to send personalized messages to its customers. If a company can gather information about its customers or subscribers, it can easily segment the e-mail list based on any number of factors, including demographics, interests, past history, and more. It can then send targeted personalized messages and offers based on this information.
Ease of Sharing
When subscribers like deals and offers, they can easily forward them to their friends; oftentimes, this takes little more than a click of a button. Few other types of marketing can be shared this easily. Attractive offers can encourage subscribers to become brand ambassadors, helping a business expand its reach into potentially new markets.
Return on Investment
E-mail marketing can provide a very good return on investment—in many cases better than that of other channels. While the ROI can be high for e-mail marketing, marketers must still consider their targets and ensure e-mail marketing campaigns are delivering the right results and revenue to justify the costs.
E-mail’s speed gives a company the ability to respond to issues in a matter of hours or even minutees. In other direct marketing channels, there can be a response lag time of several weeks, or even months. Businesses often wait weeks before seeing changes in sales revenue as a result of print or broadcast campaigns. Because e-mail is so rapid, a business can see results within minutes of e-mails being sent, and it is an effective way to inform customers about limited-time offers. These campaigns can create a sense of urgency, prompting subscribers to act immediately. Due to the short average response time, the effectiveness of these campaigns can be accurately measured.