How e-mail marketing can skyrocket your Sales

  • Sumo

Email marketing is a money maker, plain and simple. If you do this right, you can have your customers paying into your bank account the rest of your life. People, whether they admit it or not love to receive

emails (the right type that is)Think about it. Unless people are extremely disciplined, they check email multiple times throughout the day.(how many times do you check your email?)

If you can break free from the clutter (noise) of their inbox and

provide value and more importantly, entertainment, the reader

will actually begin to look forward to receiving your email.

Just as people listen to the radio every day or watch their favourite TV show…They can and will “tune in” to your email show.

They will get to know you and feel a part of your life. They will be a FAN!

This is why people watch TV and follow so closely to what Hollywood is up to. They want to get outside of their normal everyday life..they want excitement or at least the allure of it.

This is your job as a marketer…Provide Excitement and

Entertainment!!

This is why email is so important..it gives us the ability to

communicate on a mass level in a personal way, and we can do it

as much as we want.

This is Powerful! Here are just a few of the other reasons why email is so

important:

  • Emails are data driven (test, test, test)
  • They allow specific targeting
  • Provides you direct access to consumers
  • Its relationship building…creating trust and loyalty

I’m sure I’m missing some benefits, but you get the

point…Email Marketing is far from dead as some like to say.

Basic Metrics of e-mail marketing

One more thing I want to bring up here are metrics.

(statistics) The metrics are quite important and a major factor

and indicator of the success of our email marketing campaign.

The basic metrics of email marketing are listed below:

Open Rates

An open rate is when someone opens and views your email.

Many people argue that open rates are not so important, that

its conversions that really matter, and I can understand that,

ultimately its sales that count

Example:

If you send your email to 1000 people and 400 open it, giving

you a 40% open rate…but you get an amazing 10% click through

rate, then you have 40 people sitting on your landing page…or

wherever your link sent them.

Now out of those 40 people..lets say you convert 50% (20) with

an average cost per order (CPO) of $50. This, with the front end

offer and a couple upsells or downsells, You end up with $1000

Not bad..but could be better.

What if your open rate was only 20% and all other numbers held steady?

Then your profit would go down to $500 bucks.

It does matter how many people open your email…it means

your doing something right in your subject line, from line, and

you are segmenting properly.

Click through Rate (CTR)

Click through rate means when someone clicks on a link in your

email and goes to the destination you want them to go.

The higher the click through the better chance you have of

conversion…a high CTR is a good indication that your email copy

and list segmentation is well optimized.

It means you are sending the right message to the right people.

Good Job!

A high click through rate is not by itself a sign of success,

It can get skewed sometimes, for example.

Some people may just want to go to your blog so that they can

comment and get the SEO juice from the search engines. They

may have clicked on the link to go somewhere and when they got

there, realized it wasn’t where they thought they were going.

(It means you weren’t clear in your email)

That’s why I think balance is to be attained here. You have to

look all the data as one whole pie, with the sales being the

ultimate piece

Conversion Rate

Conversion rates are when somebody takes the action you wanted. A conversion can be considered a few different things,

such as:

  • a purchase
  • a free report
  • a simple click through for more information

Conversion rate translates into money, so you want yours to be

as high as possible.

I’ll take a 5% chance of purchase over a ZERO chance any day.

“Customers are the life blood of any business”

“If you do build a great experience, customers tell each other about that. Word of mouth is very powerful.”

Jeff Bezos, CEO Amazon

Realistic Conversion Rate?

Most marketers as well as recent studies seem to show that 1%

to 4% is a realistic conversion goal. Depending on the niche, 5%

is outstanding and very hard to achieve.

To consistently hit 3-5% or higher, you will need to have

extremely targeted traffic and a high converting sales page.

Know that your relationship with your list and the quality of

your sales copy will be the number one thing that increase this.

Email Metrics Summary

Understand that open rates and CTR and conversions are not an

end all, be all statistic. They only exist to HELP YOU ultimately

evaluate your ROI.

ROI or Return on investment is the key indicator of a profitable campaign(net profit) and is the most important metric

of them all.Now when it comes to open rates and click through rates and conversions and ROI..There is a lot going on here and the

numbers can get confusing.

There are many cases where you can get high open rates and

less sales or low open rates and more sales and this why you

need to test.

I know individuals who never test and base their results solely on

the sales for the day. I can’t argue that, especially if it works for

them.

It is ultimately about sales and the metrics can sometimes deceive you, but sales and bottom line figures never will.

Myself, I look at a blend of each. I look at open rates, click

throughs and conversions as three legs of a stool….take away one

and the other two legs suffer.

If you can’t get people to open your email, you have absolutely NO SHOT at converting them into buyers. Now, If you can get them to AT LEAST open the email you have a chance.

I’ll take a 5% chance of purchase over a ZERO chance any day.

“Customers are the life blood of any business”

“If you do build a great experience, customers tell each other about that. Word of mouth is very powerful.”

Jeff Bezos, CEO Amazon

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