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What Entrepreneurs Need to Know About Email Marketing
Email marketing for entrepreneurs is becoming a hot topic, as more and more individuals are choosing to take a leap of faith and start their own business ventures.
Digital marketing, email marketing, content marketing—there are so many different aspects that both new and experienced entrepreneurs need to consider when they are building their marketing strategies.
This can quickly become overwhelming for anyone.
Digital marketing vs. email marketing
While digital marketing and email marketing may seem one and the same, they are actually very different.
The easiest way to think of the two is: digital marketing is the puzzle box containing several different pieces, and email marketing is one of those pieces.
Digital marketing
Digital marketing is the act of promoting either products, services, or brands over one or more digital channels. These channels could include:
- The internet
- Mobile devices
- Electronic billboards
- Social media
- Emails
- Videos
Email marketing
Email marketing is simply a form of digital marketing that makes use of email to deliver marketing messages to the brand’s email subscriber list. These emails can be single-send messages or they can be a part of a more extensive email campaign.
They also deliver quality, relevant, and personalized information and messages to subscribers.
Email marketing is one of the best ways to connect with consumers. Here’s why:
Email marketing may only be one part of the larger puzzle but, for entrepreneurs, it is one of the most vital.
With so many digital channels available to entrepreneurs, email remains most effective when it comes to seeing a return on their investment (ROI). Moreover, consumers have blatantly stated that they prefer to communicate with brands through email rather than any other channel.
With that being said, there are essential facts that all entrepreneurs need to know in order to make the most out of your email marketing—and ultimately your digital marketing—efforts.
Email marketing tops other marketing efforts In ROI
Email ROI beats out direct mail with 28% ROI for emails, compared to 7% ROI for direct mail. With an astounding 92% of online adults using email, 61% of them state that they use their email daily.
How does receiving information from emails compare to finding it in your Facebook News Feed? 90% of emails will actually be delivered to the recipient’s inbox, as compared to only 2% of a brand’s Facebook fans seeing a post in their News Feeds.
Permission marketing
While email marketing has been around for some time now, the rules of the game have changed quite drastically, and permission marketing is a phrase that entrepreneurs should know.
Thanks to the introduction of the GDPR in the European Union, it is now law that any company or brand must get a user’s express permission to send them promotional materials.
The GDPR—or the General Data Protection Regulation—was a joint proposal by the Council of the EU, European Commission, and European Parliament to give citizens greater control over the collection and use of their personal data.
Many entrepreneurs feared this new regulation because they believed that it would change the face of email marketing altogether. Once the GDPR went into effect in 2018, marketing teams quickly learned that the email marketing game wasn’t changing nearly as much as they had thought.
What is permission marketing
Permission marketing comes into play here. Permission, when it comes to email marketing, is the act of getting consent from a subscriber to send them commercial email marketing messages. There are two types of permission that need to be clarified for those researching email marketing for entrepreneurs:
- Implied permission – if you had a business relationship before the implementation of the GDPR. It is assumed that you have permission to continue working with them. However, it is still imperative to get their updated express permission to keep sending them content.
- Express permission – As of 2018, any new subscribers need to give you their express permission to use their information to send you commercial marketing messages. This is typically done by having them complete an opt-in form of some sort.
Having express permission to send users your content will help entrepreneurs get a better ROI.
Benefits of permission marketing
If you don’t have permission to be sending emails to certain people on your list, chances are that your email isn’t being opened, and has probably been marked as spam. What this means is that it won’t be seen, and users won’t be completing the intended action that is needed to see a return on investment for that email campaign.
Also, this affects email deliverability; if you are ending up in the spam or junk folder, then big email providers are more likely to bounce your emails back or send them straight to the spam folder. Severe repercussions can occur because of this.
Finally, if users have permitted you to send them email campaigns, that means they want to see what you have to offer. These are the consumers you want on your list. They are more likely to not only open the messages you send them, but click through and follow through on any calls to action you may have requested for them.
These numbers are vital for measuring email marketing efforts for entrepreneurs, so make sure you are abiding by the law and getting permission to send out your content.
Consumers prefer email to social media
While social media may seem like the hot place to be, email still is the preferred method of communicating with consumers.
When researching email marketing for entrepreneurs, this is especially important. Since many just starting their work are going to flock to social media, they may get discouraged when they don’t see much activity.
Starting with building a social media presence is excellent. However, it is vital to keep in mind that 72% of people prefer to receive promotional content through email. So, instead of investing in promotional material on your social media platforms at first, focus on providing value to your audience, and then guide them to subscribe to your email list for more.
Once you’ve started building your subscriber list, statistics show that your subscribers are 3x more likely to share your content and offers with their followers on social media.
Email marketing for entrepreneurs: Why analytics matter
A massive part of understanding email marketing for entrepreneurs is understanding that analytics matter.
Analytics are sets of data that allow marketing teams to see if their email campaigns are paying off. There are a few key performance indicators (KPIs) that every entrepreneur will want to monitor as they begin or continue working on their various email campaigns.
Open rate
The open rate of your email or email campaign is essential because it informs you of how many individuals took the time to at least click and open your message. This number is typically found by taking the complete number of emails opened and dividing that by the total number of emails sent, and subtracting any that bounced back.
Click-through rate
The click-through rate is the measurement of how many people clicked on one of your links or calls to action and ended up on a given landing page. This number is crucial because not only does it show that your message was opened, but your content was enticing enough for the reader to want more and follow through with an action.
Conversion rates
The conversion rate is the percentage of subscribers who not only clicked through to your desired landing page but completed a specific action, such as making a purchase or downloading a freemium. These individuals typically get moved from subscriber to full-fledged customer.
Bounce rates
The bounce rate is the number of emails that were sent back, due to either a soft or hard bounce. Soft bounces typically resolve themselves, while hard bounces mean that the domain isn’t real or the server may have blocked delivery.
Wrap up
As an entrepreneur, Email marketing for entrepreneurs can seem a bit intimidating, especially once they realize that it is only one small piece of a larger puzzle.
However, by keeping these tips in mind, email marketing won’t be nearly as difficult as it may seem. So always keep in mind the following:
- Consumers prefer email marketing over all other channels
- Always get express permission to send them information
- Carefully track your marketing efforts
Ready to take on email marketing for yourself? Our team at Campaign Monitor can make the entire process simple—from setting up your initial email campaign through reviewing your analytics. Let us help guide you through the process.
