Top 5 Email Marketing Benefits for Your New Online Service

Published on 27 November 17

Chris Follow

The internet, who would have thought a couple of decades ago that we would rely so much on it? I mean, twenty years ago you needed to dress up and walk three blocks for you to buy your groceries. That is 30 minutes, at least. Today, you can do all this from the comfort of your bed and your favorite pyjamas.

You just turn on your laptop, tablet or smartphone, surf the internet for a minute or just go straight to your favorite groceries online shop and place an order. The products will be at your doorstep in no time at all and you will be able to have other activities during the remaining 25 minutes.

These days, every respectable business it is a bricks and clicks one. The days of bricks and mortar companies are long gone. Even though most of their activity might be offline, the businesses still need an online presence. The internet is one of the most important communication channels. They need to be able to communicate properly with their audience and their business partners.

This abundance of companies on the internet has led to an increase in competition. This way, the online marketing techniques started to be perfected. Techniques such as online advertising, search engine optimization, content marketing, social media marketing, email marketing, and so on.

Today, we are going to talk about one of the most basic and effective online marketing approaches out there, email marketing. Here are the top 5 email marketing benefits every new online service should consider implementing.

1. Low Implementation Cost

Unlike other methods of marketing your business in the online world, the email marketing is one of the cheapest, if not the cheapest method. I tend to use this method a lot because it is easy to implement, easy to identify market trends and communicate with my customers.

In terms of costs, I will give you a simple example. The platform I use the most is MailChimp. It is user-friendly, that's why everyone can create a simple template for his email and launch the campaign. Also, new businesses are free of charge.
Right now, even though the clients I work for have medium-size companies, I still use the free plan. The limit for this plan is 12000 emails per month for up to 2000 clients and I think that it is more than enough for a small-to-medium size business. An exception to the rule would be the retail companies, they tend to have larger client databases.

2. Personalized Approach

Another benefit of the email marketing is that you can personalize your message for every customer. I have started giving MailChimp as an example and I will continue with this example because it is a tool a know quite well and I can offer you valuable information about it.

Personalized does not mean that you just write his name right after Hello. I mean, that is a personalization, but it is very 90s, do not you think? Nowadays, you can do a lot more. For example, if your new business it is an online retail shop, you can increase your revenues with these personalizations.

Product Recommendations - For example, if you added new shirt models to your shop, you can send emails to the customers who have searched or bought shirts from your shop.
Demographics - You have launched a new dress line destined for students. By using this feature you can send email only to those who are between 18 and 23 years old. This way, you will not send emails to customers that do not fit your criteria.
Location - North Carolina's National Day is on 28th of September. Do you want to offer a 10% discount for the clients who live in NC? No problem, you can send an email solely to those who live there.
Abandoned Cart - According to Barilliance, 77,24% of the clients abandon their cart. This means that less than one in four clients convert. You can remind them of the cart by sending them an automated email.

3. Increased Analytics Accuracy

For example, Google Analytics offers general and abstract information regarding your audience. It will not be able to offer you information in this format: Name, age, location, personal preferences. All this information, if you know how to collect and interpret the results of your email marketing campaigns can be collected very easy.

According to Ewan Long, EssayGeeks Email Marketer It is very easy to collect specific data when using email as a data collection tool. Whether you collect information about your customer's geolocation from the analytics you use or you just ask for your information using a form or a witty question, you can find out everything you need to know.

This data, if used and interpreted correctly, can lead to customized messages for every client or small groups of clients with the same preferences and behavior.

4. Better Segmentation of Your Audience

Like we said before, the analytics you get from an email campaign is far more accurate than Google Analytics or any other analytics tool. Why? Because you can find out what every customer likes, not just a large group of customers. Here is a great example of how you should segment your audience, the variables you should take into consideration.

This way, you can better segment your company's database and send emails only to the customers you consider most appropriate.

Take the previous example, the one with the clothes destined to students. The analytics you get will help you find out each customer's age and you will be able to send the email only to those who are between 18 and 23 years old or the ones who are in college right now.

5. Great ROI

Like we said before, email marketing is one of the cheapest online marketing techniques in use. This means that it will have a great ROI and your profits will increase.

According to The Balance, a well implemented and optimized email marketing campaign can have a return on investment of 4300%. That is 4300$ for every 100$ invested.

Other online marketing techniques, such as paid advertising do not come close to email marketing. According to Blue Corona, the average AdWords return on investment is 200%. That is 21,5 times less than an email campaign's ROI.

This being said, we can clearly see that the email marketing campaigns are one of the most effective online marketing methods. It is easily accessible, everyone can design an attractive email template, itÐ¢Â€ is very cheap, and it generates an outstanding return on investment.

Conclusion

The internet and the impact it had on our society has left its mark on the way we do business, as well. The classic bricks and mortar business model is outdated nowadays. All companies have turned their attention to the online community. It's a very straight-forward and accessible communication channel. It is the place where every customer of your business has been at least once.

The online marketing techniques have evolved according to the demand generated by businesses going online. In the right hands, the email marketing is a very powerful tool. Apart from using little to none resources, it can generate a great return on investment. This list contains only the top five benefits, but it can go up to 100 easily.