How Email Marketing Can Boost Your ROI with Minimal Cost and Maximum Impact
There are many digital marketing tools to choose from in today’s market. While it may seem that social media marketing or smartphone app marketing are all the rage, email marketing still has a high return-on-investment (ROI).
ROI is calculated by adding your email marketing expenses, which include expenses for creating the email marketing campaign, building your mailing list, and the tools you use to organize and schedule emails, among others. You can then calculate your ROI after figuring out how much you earned as a result of your email campaign.
According to Forbes, the average ROI for email marketing across several industries is $45 for every $1 spent. This is the standard against which you can measure the effectiveness of your email marketing campaign.
Email Marketing Facts and Stats
According to Statista, there are 4 billion daily email users worldwide —with the number of email users projected to increase to 4.6 billion by 2025. This gives marketers access to a huge chunk of the market in whatever industry they operate.
Notably, statistics gathered by HubSpot shows smartphone users prefer to receive brand communications through email. More specifically, email is the preferred method of business communication for 73% of millennials.
Moreover, it has been reported that 77% of marketers have seen an increase in email engagement throughout 2022, and 41.5% of brands believe that email marketing is critical to their success.
What Makes Email Marketing So Effective?
Numbers show us that businesses are beginning to depend more and more on email marketing softwares in their digital marketing strategies because of its proven effectiveness.
5 Ways Email Marketing is Effective for Your Brokerage
Email marketing is effective in several ways. Below are five ways it can help your brokerage.
- Increases relevant traffic to your website.There are many tools you can use to increase traffic to your website, like social media, SEO, and paid SEM. Email marketing is one of the most powerful tools for generating traffic as it can achieve faster results than SEO and costs less to implement than paid SEM.
- Higher conversion rates.A professional, well-written email can bring users to your website and is effective with customers who have already had one touchpoint with your services or products, as they already know and trust your business and are more likely to convert again.
- Easy to track and monitor.Many email marketing management tools, like HubSpot, allow you to measure engagement and other metrics that indicate the extent of your email marketing campaign success. This makes it easy to test and optimize different features in your campaign.
- Automation saves time and money.There are several powerful tools you can utilize to manage your digital marketing campaign and email marketing. These tools help you automate, schedule, and monitor your email campaigns. Some of the most popular tools are HubSpot, MailChimp, Omnisend, Salesforce, and Drip.
- Improves content across different platforms.Brokerages can review valuable insights into what content and marketing strategies worked, by tracking and monitoring the performance of their email campaigns. This feedback can be helpful to optimize your content across different platforms.
How to Optimize Your Investment in Email Marketing
If you’re not achieving satisfactory results from your email marketing campaigns, it’s important to reevaluate them on a regular basis. There are several ways to optimize your ROI, including:
- Create mobile-friendly content. According to HubSpot, 41% of email views come from mobile phones. Using mobile-responsive email design templates and optimizing your website for mobile decreases your bounce rate and gives visitors a pleasant experience, creating an environment where they are more likely to convert.
- Personalize your emails.Research by HubSpot confirms that message personalization is among the most effective content strategies for email campaigns. Building rapport with your customers, based on demographics or other data, can help you market the right products to the right people in a way that enables them to see the benefit of the product from their point of view.
- Optimize your email content.It’s important to keep the content of your emails informative and purposeful without any filler words. It’s also key to have a subject line that grabs the attention of your audience and triggers their curiosity. Also, an effective call-to-action in your email helps to direct customers to your website.
- Segment Your Audience.Are you marketing the right product or service to the right audience? It can be helpful to segment your audience based on their previous purchases, which can indicate which products may be more interesting to certain groups of people, rather than promoting the same product or service to everyone.
Email marketing holds promising opportunities for your brokerage, and with the correct implementation, email marketing can boost your sales, provide valuable insights, and help you take your marketing efforts to the next level.