If you’re in charge of email marketing for a small business, it can be hard to know exactly what’s going on.
You send out a few emails every month, and while you know they generally perform well, you have no way of knowing for sure if each one was actually read by the person on the other end.
Fortunately, there are email marketing metrics tools that can help you monitor the performance of your emails and see exactly what’s going on.
Open Rates And Click-Through Rates Are Everything
Traditional email marketing metrics, such as open rates and click-through rates, can be a great way to determine the effectiveness of your email campaigns.
While it’s important to understand what these numbers mean, it’s also important to know how to interpret them correctly.
An open rate of 25% and a click-through rate of 10% means your email is performing well. If a prospect opens your email and clicks on a link or calls you back after reading your email, you’re doing your job.
These numbers aren’t enough by themselves, though. You also need to consider other factors, such as whether or not the email was delivered to the person who requested it, and whether or not it was opened by the person who received it.
It’s also important to compare apples to apples. When you’re looking at open rates and click-through rates, you need to compare apples to apples. One easy way to do this is to look at the open rates and click-through rates for similar emails you’ve sent out in the past. This will give you a general idea of how your emails are performing and allow you to gauge whether or not to continue with the campaign.
While it’s not always easy to get these numbers, they’re certainly worth it. The fact that you can get these numbers and know exactly what’s going on with your email marketing campaign makes it worth it.
Message Tracking Is Critical
It’s important to take the time to track the open and click-through rates for each individual email you send out. Doing this will make it easy to find out which ones are performing the best and determine whether or not you should continue with the campaign.
It’s also important to look at the performance of different segments of your audience. If you send out an email to everyone in your list, you won’t know if a part of your audience is performing better than the rest. By segmenting your audience based on important demographics or psychographics, you can determine which parts of your audience are responding best to your campaigns.
Take a look at our blog if you want to see exactly what I mean. We have a lot of content on our blog, but a lot of our readers only visit the site every few months. So it’s important to determine which segments of our audience are responding best to our content and which ones we should focus on for future campaigns.
Subject Line Analysis Can Help
The subject line of an email is often the most important part. Not only does it need to grab the attention of the recipient, but it also needs to make the recipient want to read the email.
One way to determine the effectiveness of your subject lines is to run a simple split testing. For this test, you’ll want to send out an email with a subject line that’s one condition of interest and another with a different subject line that’s the other condition. When you send out the two emails with different subject lines, you’ll be able to see which one drew more clicks and opens.
To test this, you’ll need to set up a simple autoresponder with an email marketing tool like MailChimp, and then you’ll want to send out two similar emails, one with a specific subject line and one with a different subject line. The only difference between the two emails is the subject line. Once you get a few responses, you’ll be able to see which one performed better.
While you can’t always tell from just the subject line, there are still several things you can determine from the content of the email. One thing you can do is determine whether or not the email drew any links to other pages on your website. If you have a retail store, you can also determine whether or not the email resulted in any purchases.
You can also look at the CTR for each individual link in the email to get an idea of how effective those links are. If you have a retail store, you can use a tool like Google Analytics to track the effectiveness of different marketing channels, including email.
Determining The ROI Of Email Marketing Is Very Challenging
Once you’ve determined the performance of your email marketing campaign, it’s important to look at the ROI (return on investment) to understand exactly how much money and effort you’re spending on these emails.
The first thing you should do is track the ROI of your email marketing efforts in general. If you have a marketing person on your staff, they can look at your ROI for emails sent out during the month and give you an idea of the total return on your investment.
However, this doesn’t take into account potential lost revenue from people who either didn’t open the email or who clicked on a link but didn’t purchase the product. Another way to look at is the cost of acquiring a new customer vs. the lifetime value of that customer. To find this number, you’ll need to look at the lifetime value of a customer and then multiply it by the odds of that customer becoming a repeat buyer.
For example, if a customer spends $100 with your business and you have an LVT (lifetime value) of $1000, you’ll want to know how much it costs you to acquire that customer. This number will vary based on different industries and whether or not you’ve had any past bad experiences with a particular customer. In some instances, you can lose a customer for life; in other cases, you can acquire a customer for $500 or more.
Once you have this number, you can calculate the ROI of your email marketing campaign specifically, by taking the cost of the email and dividing it by the number of clicks received. This gives you the cost per click.
To put this into perspective, if you receive 100 clicks for every $100 you spend on the email, then your return on investment is 100%. If you spend $500 on the email and receive 1,000 clicks, then your return on investment is 50%.
This is obviously not an exact science, but it’s a simple way of looking at the ROI of a specific email marketing campaign.
There are several different metrics you can use to evaluate the performance of your email marketing campaign, from open rates and click-through rates to conversion optimization and website traffic. Knowing that email marketing metrics can be a little complex, however, makes it easier to understand how each one can be used to identify problems and determine the effectiveness of your campaigns.
Make sure to track the performance of your email marketing campaigns and use the data to determine whether or not you should continue with the program.