Feb 14, 2023 • 2 min read
How can email marketing help you increase your conversions?
Email marketing allows small businesses to reach their target audience directly, offers a high return on investment and is a simple way to automate some marketing actions, which also helps reduce costs. In addition, even those who have not used this tool before, can see results almost immediately.
What are the business benefits of email marketing?
For small businesses that don’t have large budgets to spend on advertising, email marketing can generate impressive results. Here are six of the most important benefits small businesses can reap through email marketing:
(01) High return on investment (ROI)
According to studies, email marketing has an average ROI of 122%. Four times more than any other digital marketing strategy. And if you implement techniques such as A/B testing, use a double opt-in and regularly send newsletters, you can even increase this number.
To track the ROI of your email campaigns, use the following formula:
Net Profit (Gross Email Marketing Profits – Email Marketing Costs) / Email Marketing Costs
For example, you earned €2,000 in sales thanks to an email campaign
(2 000 – 150) / 150 = 12.33
You have a ROI of 12.33. That means that for every Euro you spent in the campaign, you recovered 12.33.
(02) Attract different segments of your target audience
Email marketing allows you to create campaigns targeted to specific groups of contacts, or segments, that are grouped based on their data. Data that you collect automatically when they subscribe to your mailing list.
Creating custom content can seem overwhelming at first. However, it’s as simple as using a subscriber’s own name in every email, an easily automatable option that can increase email openings by up to 26%.
As your list grows and you become more comfortable with email marketing, you can segment your audience based on age, income level, gender, or how long they’ve been customers.
(03) Save time and money
One of the biggest concerns entrepreneurs have when it comes to marketing is money. In the case of email marketing, the results obtained are proportionally better with a much lower cost than using other types of strategies.
Once a new email campaign has been configured, sending to the chosen segment is automatic. You can interact with your audience and acquire new customers even while working on other aspects of running your business.
Of course, you need to track campaigns and adjust initial parameters from time to time, but email marketing is one of the most practical and simple strategies out there.
It is also relatively inexpensive, especially when compared to other methods, such as paid advertising. You can develop a professional email campaign that reaches thousands of subscribers for very little money.
(04) Stronger customer relationships
One of the goals of marketing is to show consumers the value of your brand. Another is to point out to them what is the next step they can take to work directly with you or buy your products. Once someone joins your mailing list, you have the opportunity to send them useful and relevant content.
Every email you send to your customers shouldn’t be about selling your products or services. You should also offer valuable content that shows them that you know what you are talking about and that what you offer will be useful to them. When you meet those two requirements, they will be looking forward to receiving your emails every week.
Also, your emails should contain your social media accounts and encourage subscribers to connect with you through them. Doing this helps build stronger relationships and enhances interaction. The famous engagement, which provides, among other things, new followers and, therefore, new conversion possibilities.
(05) Increased sales
Email marketing is one of the best ways to increase sales for any business. Although this is not something that happens homogeneously.
Some customers will make a purchase decision after receiving an offer that is irresistible to them. Adding urgency to your offers and offering free shipping are great ways to turn a subscriber into a customer.
Also, email marketing can be a great way to increase sales from existing customers or re-engage customers who haven’t bought in a long time. In this case, email marketing becomes remarketing.
(06) Email marketing allows you to monitor your audience
One of the disadvantages of social media marketing is that you don’t own your followers. Even on the best social networks for businesses, if your profile disappears unexpectedly (which isn’t uncommon), you’ll lose access to contacts you’ve been building for months or even years.
That’s why it’s important to create an email list. Because having a list of customers and a way to contact them is a safer method. Even if you switch email providers, you will own your contacts.
Bottom line: Email marketing is cost-effective, easy to use, and boasts a high return on investment, making it a great choice for small businesses looking to get the most out of their advertising budgets. If that is your case, contact us and we will be happy to find a way to help you with your marketing.
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