Email Marketing is one of the oldest forms of internet marketing.
And if you don’t know, it has the highest ROI (return on investment) out of all online marketing strategies.
Think about it. How many times do you check your emails on average daily?
At least 2-3 times a day. If you work in corporate, it could be more than 10 times a day.
Many emails are transactional – meaning they involve updates, news and replies related to a purchase, offers from stores, or other online activities.
Email marketing is not dead. In fact, it will remain on top of all marketing channels for another decade.
Let’s discover why email marketing is worth your time and money.
1. Email Marketing is a Perfect Inbound Marketing Strategy
Email marketing is a form of inbound marketing strategy. No doubt about it.
Many marketers refer to it as both an inbound and outbound marketing channel, but at its core, it is completely inbound.
Inbound marketing means attracting potential customers by creating content. By creating helpful content to solve the problem and attract those who need your product.
Precisely, you publish content that is tailored for a specific audience pinpointing their needs and problems.
Instead of pushing your ads down their throat, you make them come to your business, at their will.
Nothing beats email marketing when tic omes to nurture leads and educate them about your business, service and products.
As you add and send personalized emails to your subscribers and leads, they’ll start trusting your business. They’ll also understand your product and services more deeply, which can result in a high purchase rate.
An email subscriber will read your emails almost daily. This will ensure they are actually reading your offer. And you’ll know if they did or did not because emails can be tracked.
You’ll know how many leads in your list open, read, click and buy your products using your email marketing software.
Unlike social media, emails reach directly to subscribers.
Many internet users have developed ad blindness. This makes it difficult to get a higher ROI on social media marketing advertisements because most people will never notice your ads in the first place.
Whereas emails with a good subject line will be opened and read frequently. Resulting in more brand awareness.
2. Higher Conversion Rate & ROI
What is the conversion rate?
When you present an offer to a potential customer, the number of people who actually buy is known as the conversion rate.
Let’s say you started an ad campaign. Out of 100 potential customers, 60 people buy your product. Your conversion rate would be 60% in this case.
The conversion goal could be anything – a purchase, lead generation, website visit, click on an ad and so on.
Email marketing delivers a very high conversion rate. Especially in industries such as:
- Personal development
Emails generate an ROI of $38 for every $1 spent. That’s the highest of any other marketing channel.
Social media ads don’t come close to the level of success email campaigns can have.
3. Your Email List is an Asset
The biggest threat to any business is losing a traffic channel.
Take SEO for example. SEO isn’t predictable.
You might be ranking #1 today and fall down to page 10 tomorrow. You have zero control over Google’s algorithm.
And when you start losing organic traffic, an email list can save you.
Even if you lose every other traffic source, you’ll still have a list of leads potential customers, your fans, and readers in your email list.
The email list is an asset. It helps you grow.
When you interact with your subscribers, you’ll turn casual readers into repeat visitors who will eventually become your buyers.
The best part, you can build your whole business using email marketing. Even if you have no social media following.
4. It is Cost Efficient
Email marketing requires far less capital than Social Media Marketing, Search Engine Marketing and Contextual Ads.
It’s cost-efficient because it is direct. You don’t have anything in the middle of your offering.
You own your email list. There is no cost to acquire customers.
Social media ads force you to spend more money by limiting your reach. Whereas in email, you have complete control over your audience and full reach.
On average, email marketing software costs $10/month to store 1,000 subscribers.
You don’t have to waste money on social media and PPC ads. Where most users won’t even notice your presence.
Instead, you can communicate with your audience directly, and pay only for storing emails of active subscribers.
5. It is Scalable
When it comes to scaling your marketing efforts to increase profit, email marketing is a perfect strategy.
There is no fixed level to which email campaigns can scale. You can be making a few hundred per month or built a multi-million dollar business using email marketing.
Take Michael Hyatt for example.
I have literally built a multi-million dollar business on the strength of my email list. Ninety percent of my income comes from it. Even today, my email list is still my number one business priority—and asset – Micahel Hyatt
He started as a blogger and turned his business to 8 figures annual revenue. Now Michael is a very aggressive marketer, but most of his leads in the early stage generated because of his blog.
Other marketing strategies such as lead pipeline, sales funnel and online course selling are feasible because of email marketing.
To turn leads into paying customers, you have to take these leads through a lot of stages. You have to educate these people about your product, Nurture them until they find their solution for your product.
This level of nurturing can only happen with emails.
Automation is another game-changer for businesses. Imagine automating your entire lead to the sale process.
Using autoresponders, drip campaigns, and email automation you can achieve auto-pilot mode. Although you’ll still have to be present to run your business. But you get the point.
In upcoming articles, we’ll learn about different elements of email marketing. You would also like to check out the best email marketing software for SMBs.
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