How to measure the success of your email marketing campaigns
An email marketing campaign is only as good as the stats that it produces - so any marketer not tracking their emails is missing an opportunity to gauge their effectiveness (and secure future budget for it).
In any area of business it pays to always be improving and email marketing is no different; by measuring how successful your emails have been at persuading consumers to check out your website or sign up for product, you give yourself a frame of reference - a platform from which to improve your ROI.
But how do you measure the success of your campaign? This will differ slightly depending on the overall aim of the organisation and the narrower objective of your email marketing communications. Not all campaigns are intent on getting people to purchase something, others are about persuading people to visit websites as part of a bid to spread information (many government initiatives do this).
Seeing the bigger picture
There is a wealth of performance metrics available yet it is surprising how marketers limit themselves to using the more basic ones such as opens and click rates. Whilst both of these are excellent measures for how engaged your distribution list is with your brand and copy, the bigger picture of ROI is not going to be addressed with those alone. Ask yourself if you know how much revenue each of your email campaigns makes or even how much email marketing as a channel makes. Without this information how can you justify the expenditure and ask for further budget to get more from, most probably, one of your best channels?
It’s all about the money
Regardless of industry, your email campaigns will be driving pounds or dollars, perhaps that’s not as easy to track without an ecommerce platform but you can use a CRM or attribution software to find the link. You can also use attribution to see if email is impacting your other channels. Google Analytics has the capability to show you which channels contributed to an end goal, whether that is a purchase or request for information. You are likely to see that your email campaigns are not only directly driving revenue but are also working with other channels to get that end goal.
Getting to the point
My point is that as a core channel that has been around for quite a while now, email should be measured by the ROI that it gives your business. As a marketer it is your responsibility to start reporting on the measure that shows this.
Tips for measuring effectively
- Be clear before you start campaign on what you’re trying to achieve, email is not just a gap filler, it has a purpose and all those involved (including your designer) should be clear on what it is.
- Make sure you have email as a lead source in your web forms, CRM, ecommerce or attribution software – that way you can easily track the campaign through to revenue.
- Tie your email activity into wider campaigns so you don’t just measure it in silo. Email is a channel that often compliments other activity so you should look at it as a contributor not just a direct lead source.
- When you look at your revenue generated by email, if it’s recurring revenue then allocate a lifetime value to it. If you only track the initial revenue it generates then you could be skimping on your ROI.
- For most businesses, 80% of their revenue comes from the same set of people and email resonates with increasing loyalty and multiple purchases, Bear that in mind when setting your KPIs and targets.
Head of Marketing
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