Emails are an effective way to reach out to your existing and prospective clients. It is formal, regulatory, and responsive. However, you should measure the performance of your email marketing campaigns in terms of customer engagement and influx of new ones. In this article at Entrepreneur, Robert W. Bly shares six metrics that help you figure out ways to generate revenues from email marketing.
6 KPIs to Measure Your Efforts
A lot of efforts go into designing the language, format, and purpose of every email as per the client’s profile or portfolio. You then send out hundreds of these emails per day. The output of this effort seems disappointing when an email is bounced back or subscribers opt out. However, when users read through your emails and visit the landing page for more details, your conversation rate increases and so does your gross revenue.
Bouncing Is Not Always Better
Emails that do not get delivered because of invalid or inactive accounts, typos, change in ISP, or discontinuation of a server are called as bounces. If you are constantly updating the email list, the bounce rate should be 1% or lesser.
When Subscribers Opt Out
Subscribers opt out when they do not find any value in your emails or no longer want to use your services. This reduces your mailing list by 25% to 30%. Typically, your opt-out rate should be equal to or less than 0.1%.
Opening Rate Can Vary
When users click on your email to open it, your open rate increases. As per Constant Contact, this can vary from 5% to 20%. However, the average open rate dwindles between 10% to 15%.
Clicking on The Sales Email Link Matters
Business owners usually brush through emails. However, if your email content catches their attention and they click on your sales page links, be ready with your product or service presentations. As per Marketo, text emails score 17% more than HTML ones. Usually, CTRs range from 1% to 5%.
Conversion Is Your Goal
You know you are going to get busier when new clients register on your website to get a report or accept the offer to buy a product at a discounted price. Depending on what you are selling, the landing page conversion rate can shoot up from 1% to 80%.
It All Boils Down to Revenues
You need to take care of four factors to earn better revenues—your mailing list, the price of the product, CTR, and conversion rate. Keeping the price and the number in the email list fixed, you must increase the CTR or conversion rate or both to realize benefits.
To view the original article in full, click on the following link: https://www.entrepreneur.com/article/309848