When it comes to email marketing, there are a lot of techniques with regards to how to do email marketing well. We could speak for a considerable long time about the most basic elements of a well-optimized email, basic email marketing mistakes marketers make, and successful email marketing campaigns that will inspire you. But, by the day’s end, it doesn’t make a difference how optimized your emails are if you can’t see the fruitful results of all your efforts and if the email is helping you hit your objectives or not.
So before sending your next email, stop for a couple of minutes and ask yourself: What is the objective of my email marketing? Is it to develop my subscriber list? Produce more leads? To convert the existing leads into clients?
Whatever you choose your objective is (and you can have more than one), the important thing you have to do is to make sense of which metrics you’ll have to track – keeping in mind the end goal to decide how you’re progressing toward that objective.
How about we take a look at the metrics you should be focusing on to enhance your email marketing efforts?
6 Email Campaigns Metrics and KPIs
1. Click-Through Rate
Click-through rate (CTR) is likely the primary answer you’ll get when you ask an email marketing expert what metrics they track. It’s what I jump to call the “everyday” email marketing metric since it lets you effectively calculate performance for each single email you send. From that point, you can track how your CTR changes time after time.
CTR is likewise utilized for deciding the results of A/B tests, as these tests are regularly executed with the aim of discovering better ways to get more clicks in your emails. Click-through rate is an essential metric for all email marketers to track, as it gives you insight into what number of individuals on your list are interacting with your content and how much they are interested in your offers.
Here’s a simple way to calculate your click-through rate:
(Total clicks OR unique clicks ÷ Number of delivered emails) * 100
2. Conversion Rate
After an email recipient has clicked on your email, the next objective is to encourage them to convert on your offer – in other words, to make them take the action what your email was intended for. So in-case you’re sending an email to offer your subscribers the opportunity to download, for instance, a free ebook, you’d consider any individual who really downloads that ebook to be a conversion.
Since the conversion is specifically attached to the call-to-action in your email, and your call-to-action should be directly tied to the objective of your email marketing, the conversion rate is a standout amongst the most critical metrics for deciding the success of your email marketing objective.
Here’s how you can calculate your conversion rate:
(Number of individuals who completed the desired action ÷ Number of total emails delivered) * 100
3. Bounce Rate
There are two types of bounces to track: “hard” bounces and “soft” bounces.
Hard bounces are the result of an invalid, inactive, or non-existent email address, and these emails will never be effectively delivered. You should instantly expel hard bounce addresses from your email list since internet service providers (ISPs) utilize bounce rates as one of the key elements to decide an email sender’s reputation. Having an excessive number of hard bounces can make your business look like a spammer according to an ISP.
Soft bounces are the result of a temporary issue with an active and valid email address, for example, a full inbox or an issue with the recipient’s server. The recipient’s server may hold these emails for delivery once the issue clears up, or you may attempt re-sending your email message to soft bounces.
Here’s how to calculate bounce rate:
(Total number of bounced emails ÷ Number of emails sent) * 100
4. Subscriber List Growth Rate
Beside the call-to-action metrics like CTR and conversion rates, you’ll likewise need to monitor your list’s subscribe and unsubscribe rate. Obviously, you should plan to develop your list with a specific end goal to increase your reach, grow your audience, and position yourself as an industry thought leader.
But, there’s a natural way your email marketing list decreases, and it lapses by around 22.5% consistently every year – which means that it’s more imperative than any other time to focus on developing your subscriber list and keeping it at a solid size.
Here’s how to calculate it:
([(Number of new subscribers) minus (Number of unsubscribers + email/spam complaints)] ÷ Total number of email addresses on your list]) * 100
5. Email Forwarding Rate
The rate at which your email subscribers forward your email to others may not appear to be all that critical, but rather it’s significantly a standout amongst the most vital metrics you ought to track.
Why? Since this is how you generate new contacts. The people on your email list are as of now in your database. So while conversion is as yet an essential focus, this doesn’t help you attract new leads. Encourage your subscribers to go to your email and forward it to a friend if they found the content helpful, and begin tracking what number of new individuals you can add to your database thusly.
Watch out for your sharing rates to find which sorts of articles and offers have a tendency to get shared the most, and utilize that information when you create email campaigns later on.
Here’s how to calculate it:
(Number of clicks on a share and additionally forward button ÷ Number of aggregate delivered emails) * 100
6. Overall Return-on-Investment
Likewise, with each marketing channel, you should have the capacity to decide the overall ROI of your email marketing. If you haven’t yet, set up an SLA framework whereby you assign various values to different sorts of leads in view of their probability to generate revenue for your business.
What number of each of these sorts of leads did you generate by means of email marketing? How does this mean potential revenue? Real revenue? These are the sorts of metrics that will help you determine how profitable email marketing is a channel that drives real, tangible results.
Here’s how to calculate return-on-investment:
[($ in additional sales made minus $ invested in the campaign) ÷ $ invested into the campaign] * 100
Note: This is the most fundamental way to calculate ROI. Depending upon your kind of business, you may prefer an alternate one.
The objective of your email marketing might be altogether different from the objectives of another organization like yours, and may even fluctuate inside your own organization after some time. However, it’s essential that you decide precisely what you’re looking to achieve with your email marketing before you start (or proceed) to send and measure your emails.
You need to be savvy about which metrics you’re following, and ensure you’re ready to adequately measure your individual email execution, the soundness of your email list, and your progress toward your larger objectives. For whatever length of time that you’re ready to decide each of those, you’re destined for success for more viable email marketing.
Share with me in the comment section which ones are the most imperative email marketing metrics for your business and how you are planning to increase your ROI with your email marketing efforts.