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Email marketing has some of the best overall ROI when compared to other marketing channels.

In fact, it is nearly twice as effective as SEO efforts with a ~4,000% ROI per $1 spent:

But to begin seeing the profitability in your email marketing, there are a few things you must master first:

 

Things to know

  • Avoiding spam filters to reach the recipient’s the inbox
  • Getting opened and capture the recipient’s attention
  • Getting conversions by encouraging calls to action
  • Measuring results
  • Finding out what works by testing and making changes

 

How to maximize your email marketing ROI?

In this guide, we will teach you:

  • How to track your emails and measure ROI
  • The importance of A/B testing and how to run tests
  • Why your emails are going to the spam folder
  • Tips for increasing email marketing ROI

 

1. How to Track Your Emails and Measure ROI

If you are not currently tracking your emails, you are not able to monitor key metrics like open rates, click-through rates, and conversions. Without monitoring this data, you have no way to measure the success of your email marketing campaigns. One thing to keep in mind is that not all companies measure success in the same way. Some will track different metrics, so depending on your email marketing goals, you will have to look for certain things.

However, once you start tracking this information the data will practically tell you exactly what to do or what not to do. Some companies will measure the success of their email marketing by a variety of different factors such as:

  • The effectiveness of their subject field
  • From Name (e.g. no-reply@…, info@…, etc.)
  • Best time to send newsletters
  • The content of your campaigns
  • A general assessment

Read our article about Click-Through-Rate, Click-to-Open-Rate and Open Rate – and find out exactly what you should look for when measuring your campaigns.

eMailPlatform ensures analyzed campaign results in real time, lets you know who opened your email, allows you to schedule emails and save email templates. You will want an ESP that has access to robust reporting. Being able to track and measure opens, clicks, and your other goals will help you to better understand how to optimize your emails for conversions and test variables for improvements.

 

2. The Importance of A/B Testing – and How to Run Tests

A/B testing is a great method for figuring out the best online promotional and marketing strategies for your business. A/B testing allows you to try out different campaigns with a sample group from a contact list or segment, and then ensure the most-appropriate campaign (dependent upon the success criteria you decide) is sent out to the remainder. The goal here is to test for the most successful email version so we can maximize our ROI.

The goal here is the test for the most successful email version so we can maximize our ROI.

For example, did you know that email subject lines with a name have an average open rate that’s 29.3% higher?

You can test your emails yourself:

Based on this, you can test even further:

Now we can send the best subject line to the rest of our mailing list to maximize our opens.

By testing your own emails, you can get personal insights into your target audience to help you understand how to grab their attention intuitively.

By testing your own emails, you can get personal insights into your target audience to help you understand how to grab their attention intuitively.

 

3. Why Your Emails Are Going to the Spam Folder

By definition, SPAM is irrelevant mail sent to a pile of recipients who are not interested in receiving it. One such example could be if someone had purchased a list of email addresses and then starting sending out advertisements without their consent. So if you are not seeing very high open rates, there’s a good chance your emails are going straight to the spam folder.

There can be several reasons for this:

  • You are using flagged keywords and language in your emails.
  • Your email address looks spammy.
  • Your emails are not getting opens or clicks.
  • Recipients are reporting your emails as spam.

Flagged keywords in this case would be something like “Income from Home”, “Online Degree”, “Earn $$$”, “Meet Singles in Your Area”. A full list of flagged keywords can be found here.

Read our article SPAM to learn more about what it is and how you can avoid sending it out.

You can also use free tools like Mail-Tester to see if your emails get delivered correctly, or are marked as SPAM.

Once your email is flagged as spam, the recipient will have to manually unmark it as spam. For this reason, it’s best to avoid getting into the junk folder in the first place.

To prevent this, we need to segment our email list into different groups so that we only deliver relevant emails to our recipients.

 

4. Tips for Increasing Email Marketing ROI

Segmenting Your Email List into Groups

Think of contact fields as labels for your contacts that help you stay organized. If you’ve ever worked with a CRM (customer relationship manager) or even a blogging platform before, you might be familiar with contact field features to help categorizing people or content. In eMailPlatform, contact fields are a way for you to label, or categorize, contacts based on information only you have about them.

Below is an example of an action-oriented list that has been segmented based on your recipient’s behaviour:

Group 1: Subscribers who open most of your emails, but don’t click
Group 2: Subscribers who click, but don’t convert
Group 3: Subscribers who didn’t open the last email
Group 4: Subscribers who have consistently responded to or acted upon your emails

Examples

Here are some examples of contact fields you might create, depending on the type of business you have.

  • Age
  • Engagement Level
  • Gender
  • Geography
  • Industry
  • Organization
  • Past Purchases
  • Sales Cycle Stage
  • Seniority Level
  • Shopping Cart Abandonment
  • Etc…

Read our blog post – Getting Started with Contact Fields to maximize the value of your list by segmenting and tagging your audience accordingly.

Confirming Legitimate Email Subscribers

Sometimes spammers and bots can enter random email addresses to sign up for your mailing list. If you don’t have a double opt-in feature setup, your emails might accidentally be sent to people who never wanted to see your content.

4 out of 5 welcome emails are confirmation emails, and for good reason. Adding this extra step means you’ll have much less fake emails on your subscription list.

Read our blog post – The Ultimate Guide to Increasing Your Online Presence to learn how to set up a form and a good welcome mail in eMailPlatform.

Don’t Forget: Follow CAN-SPAM Act Compliance Law

Perhaps most importantly, you should familiarize yourself with the CAN-SPAM Act compliance law so you don’t rack up thousands of dollars in violation fines — up to $40,000 per separate email violation.

The CAN-SPAM Act applies to more than just bulk marketing emails — even B2B emails are required to comply with the law.

The CAN-SPAM Act applies to more than just bulk marketing emails — even B2B emails are required to comply with the law.

Among the rules in the CAM-SPAM Act were the following:

  • Do not use false or misleading information in the header information. That is, when using “from,” two “and” answer-to “, they should always reflect the correct sender.
  • Do not use misleading text in the subject field. The subject must clearly represent the contents of the mail and without false information.
  • If the mail contains advertisement, the recipient should never be unsure that it is.
  • Tell the recipient of the newsletter where you are physically located. For instance, the address of the company. This also helps to ensure the security of the recipient of the newsletter.
  • Make it visible and clear that if the recipient wishes to opt-out of the newsletter, there is an unsubscribe button.
  • If you wish to unsubscribe from the newsletter, it should be done immediately and no later than 10 days. When unsubscribed, you must not sell his or her email address, or provide further information.
  • Keep an eye on what others are doing on your behalf. That is, if you have an external company to handle your mailings, you are still legally responsible.

The above may seem obvious, but is nevertheless a very good summary of what SPAM is and how to avoid it.

 

Conclusion

With a clear plan and a strategic approach, you can avoid the most common pitfalls of blind email marketing efforts. Segmenting your email list to provide unique value through different email campaigns for your customers or leads will make them more likely to engage with your content. Tracking their actions will help you to learn about what resonates and what doesn’t. Before you know it, you’ll have mastered the art of maximizing your email marketing ROI.

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