Is Email Marketing Dead?
Email marketing is a powerful way to nurture leads and influence the consumer at various stages of the conversion funnel. When done correctly, email marketing can also boost customer engagement and retention.
Other tools including social media, SEO and SMS (text message) are new channels that marketers user in their strategic campaigns. Businesses and decision makers invest a significant amount of time and resources into harnessing the potential of these channels.
This has led many to wonder about the future of email marketing. “Is email marketing dead?” It is one question that brands and marketers are asking.
Before we can answer this question, we need to dive deeper into how email marketing works.
The 101 of Email Marketing
What is email marketing? We can tell you what it is not – and that’s bulk mailing. i.e. If you are creating one email and sending that email to all of your recipients, then you are bulk mailing. Spamming people with promotional emails is not what email marketing is all about.
Email marketing is the technique of sending personalized and targeted emails to your potential and existing customers.
You can use email marketing to send information about your latest discounts, new products and offers. You can also send valuable content in the form of insightful articles, newsletters and other content.
A successful email marketing strategy requires proper planning and a deep understanding of your subscriber base. For example, how many are repeat purchases? How many have not yet purchased? What percent opens your emails on a routine basis and which ones are you having trouble communicating with?
It is equally crucial to send your emails at the right time of the day and at the optimal frequency. Depending on your vertical, sending an email 3x per week may be suitable. In other verticals however, you may be able to send only 1 email per month.
When executed properly, email marketing can help you develop long-term relationships with your audience. This is especially true if you can analyze the effectiveness of each email through open rates, click thru rates and conversions.
Now that we have a refresher on what email marketing is all about, let’s answer the question: “Is email marketing dead?”
Email Marketing Statistics You Should Know
Today, you may find that some marketers believe that email marketing is lost it’s influence while others may believe in this tried-and true channel. Here are some statistics (with a little help from our awesome mentor Shane Barker) on email marketing statistics.
Reach (Taken from ShaneBarker.com)
According to Statista, the total number of email users in the world crossed 3.8 billion in 2018. This is higher than the total number of social media users worldwide (2.62 billion in 2018). Moreover, the figure is expected to reach 4.4 billion by 2023.
In addition, a total number of emails sent and received was more than 280 billion emails per day in 2018. This number is set to grow to 347 billion by 2023. These figures clearly indicate that email marketing has the potential to reach an extremely wide audience.
It is also important to note that 99% of email users check their inbox on a daily basis. Another survey revealed that more than 50% of the respondents in the U.S. check their emails more than 10 times a day. They also agreed that emails are their preferred medium for receiving updates from brands.
Moreover, despite the rise of social messaging apps, emails are still preferred as a communication tool by most millennials. In fact, 91% of U.S. internet users in the age group of 15 to 24-year-olds used emails in 2017.
Email is still a very relevant channel for marketing. You must remember that marketing today is all about hitting the right consumer, at the right time, with the right message, on the right device.
Brands use a variety of ways to engage with their consumers and potential audience. This could be a coco-cola-sponsored artist stage at Lollapalooza or a direct mail brochure from your local car dealership.
Engagement is a big word when it comes to social media, probably due to the fact that it can be tracked. Social media analytics provide the number of impressions, views, likes and shares on a given post or tweet. Here is an important takeaway from this post… According to Rival IQ, the average engagement rate per post on Facebook was just 0.16% in 2018. Twitter was not much better with an average rate of engagement of 1.73% This is disappointing for businesses who are spending a lot of time, money and effort on curated social media content.
The low engagement rates are not because you have boring content or not enough followers. Many social media platforms have updated (and skewed) their algorithms to limit the organic reach of your posts. Why? Because they’re revenue (and profit) numbers for paid advertising is at an all-time high and they want businesses to keep advertising to push their brand messages.
Compare that less than 2% social media engagement rate with the worldwide average open rate of 22.86% and CTR (Click-thru-Rate) of 3.71%.
This clearly indicates that emails have a far better chance of grabbing the attention of your audience.
My job as a consultant or marketing agency is to ensure that my clients know and track the ROI of their overall marketing plan. Therefore, we track the ROI of every marketing channel – social media, email, text, etc.
Here’s my favorite stat from this longer-than-usual blog post. A recent study revealed that email marketing delivers an ROI of 4400%. This means you can get $44 in return for every $1 you spend. This is far higher than the ROI of other digital marketing techniques such as influencer marketing.
This clearly reveals that email marketing is far from gone. With such a huge ROI potential, it has the ability to grow your business by increasing sales. The key is to fine tune your message so that it hits the right chord with your audience.
Is Email Marketing Dead? The Verdict
The continued use of emails combined with the latest studies clearly shows that email marketing is valid, it’s working and, more importantly, it’s not going anywhere.
In addition, it delivers a remarkable ROI of 4400%. Therefore, when executed correctly, an email marketing campaign is extremely cost-effective. It can help you win new customers as well as retain existing ones.
“Is email marketing dead?” This isn’t the question that marketers and brands should be worried about. Instead, they should focus on renewing their strategies to improve the performance of their email marketing campaigns.
Ready to create a strategic email marketing plan? Contact us today! We will walk you through curating your list, user segmentation, analytics, subject lines, timing and frequency.