What is email marketing?
Email marketing is a powerful and cost-effective way to reach and engage your customers and prospects. By sending targeted, personalized messages to your email list, you can build relationships, drive conversions and grow your business.
In 2020, global email marketing revenue stood at $7.5B, and, by 2023, that number is projected to go beyond 10 billion. Email marketing’s average return on investment (ROI) is far higher than other channels. With companies making about $45 for every ad dollar spent, there’s no question about its potential as a revenue driver.
Email marketing revenue worldwide: 2020-2027
Advantages of email marketing
There are several advantages to using email marketing as part of your overall marketing strategy:
Cost-effective: email marketing is one of the most cost-effective marketing tools available. It's generally way more affordable than paid media and messaging channels.
Targeted: you can target specific segments of your audience, making it easier to send personalized and relevant messages.
Measurable: email marketing provides a wealth of data that can help you understand your audience and track the success of your campaigns. You can see how many people opened your emails, clicked on links and made purchases, too.
Flexible: It’s also flexible and can be used for a variety of purposes, such as building relationships, driving traffic to your website or promoting products and services.
Timely: You can even reach your audience quickly and easily with it. For example, you can schedule emails to be sent at a specific time or trigger them to be sent based on a specific action, such as making a purchase.
Overall, email marketing is a super-effective tool that can reach, engage and impact your audience in all the right ways. And this is an all-important part of any modern marketing strategy.
Disadvantages of email marketing
There are also a few potential disadvantages to using email marketing:
Spam filters: some email messages may not reach their intended recipients because they’re caught by spam filters. This can be frustrating for marketers and lead to a lower ROI.
Time-consuming: creating and managing an email marketing campaign can be time-consuming. It requires planning, writing and design work, as well as the testing and analyzing of results.
List decay: over time, email addresses on your list may become inactive or invalid. This can lead to a decline in the overall effectiveness of your email marketing.
Privacy concerns: some people may be concerned about the privacy implications of receiving marketing emails. So, it’s important to be transparent about how you collect and use email addresses and to give people the option to opt out of receiving emails.
Competition: there’s a lot of competition in the inbox, so it can be challenging to get your audience to notice your emails.
Despite these potential disadvantages, email marketing can still be very successful at connecting with your audience. You just need to carefully consider the pros and cons before deciding whether it’s right for your business.
How email marketing works
Email marketing is a form of digital marketing that involves sending emails to potential and current customers. Businesses use email marketing to promote their products or services, build brand awareness, and establish relationships.
To start an email marketing campaign, a business will typically gather a list of email addresses of people who have expressed interest in its products or services. This list can be compiled through various means, such as opt-in forms on the business's website, sign-up sheets at events or stores or by purchasing a list from a third party.
Once the business has a list of email addresses, it can come up with email campaigns to engage its subscribers. These campaigns can include newsletters, promotional emails and targeted marketing messages. Generally, thebusiness will create and send these emails by using email marketing software, which allows them to track the campaign’s success and make any necessary adjustments.
To measure the effectiveness of an email marketing campaign, businesses can track how many emails were opened, how many links were clicked and how many purchases were made as a result of the campaign. This information can help businesses optimize their email-marketing efforts and improve their ROI.
How to create an email marketing strategy
Build your email list: the first step in any email marketing campaign is to build a list of email addresses. There are a few ways to do this:
Offer something of value in exchange for email addresses, such as an e-book or webinar.
Use opt-in forms on your website or blog so visitors can sign up for your emails.
Segment your list: once you have a list of email addresses, it's important to segment it based on common characteristics, such as location, interests or purchase history. This way, you can send more targeted and personalized messages, which tend to have higher open and click-through rates.
Write compelling subject lines: the subject line is the first thing your subscribers see when they receive an email from you. So, write a subject line that will grab their attention and encourage them to open the email.
Personalize your emails: personalization can make a big difference in the effectiveness of your email marketing. Use your subscribers' first names, locations or other personal details to create a more custom experience.
Use a clear call to action: it's important to tell your subscribers what you want them to do next. Whether you want them to visit your website, make a purchase or download a piece of content, make sure your call to action is clear and easy to follow.
Test and optimize: Finally, don’t forget to test and optimize your email marketing campaigns. This includes A/B testing different subject lines, calls to action and email content to see what works best with your audience.
Email marketing types and examples
Businesses can use many types of email marketing to interact with their audiences. Here are a few examples:
Newsletters: newsletters are regularly scheduled emails that provide updates on your business or industry news. They can also give valuable tips and resources.
Promotional emails: these emails are used to promote products or special offers to audiences.
Transactional emails: transactional emails are triggered by a specific action, such as making a purchase or signing up for a service. They might include receipts, confirmation emails or password reset emails.
Event invitations: email marketing can be used to promote and manage events, such as webinars, conferences or workshops.
Customer-retention emails: these emails are designed to keep customers engaged and build loyalty. They might include personalized recommendations, special offers or updates on new products or services.
Welcome emails: welcome emails introduce new subscribers to your business while giving them useful information.
By using a variety of email marketing types, you can reach and engage your audience in a more targeted and personalized way.
Tips for building your email marketing list
Here are a few pointers on how you can set up your email list:
Offer something of value: one of the best ways to build your email list is to offer something of value in exchange for email addresses. This could be a free e-book, webinar or another valuable resource.
Use opt-in forms: Allow visitors to sign up for your emails by placing opt-in forms on your website or blog. And remember to display the form prominently so it’s easy to find.
Collect emails at in-person events: if you attend conferences or other events, make it a rule of thumb to collect email addresses from the attendees. You can use a sign-up sheet or offer a free resource in exchange for an email address.
Encourage referrals: ask your current subscribers to refer their friends and colleagues to your email list. You can offer an incentive, such as a discount or free resource, to promote referrals.
By following these tips, you can start building a large yet targeted email list that can help your business bloom.
How Sprinklr can take your email marketing up a notch
Sprinklr’s unified marketing solution and unique capabilities can turn email marketing into a revenue driver. Sprinklr is the only solution in the market that allows you to:
Plan, produce, execute, and analyze from a unified platform: right from the point of ideation, planning email campaigns, briefing, asset production, copywriting, templating, approvals and collaboration, segmentation and targeting to deployment and analytics, Sprinklr provides a unified platform to eliminate multiple point solutions.
Reuse engaging content with a unified social and email content strategy: convert your leads quickly with content that actually works, and increase your content efficiency by reusing it across channels.
Omnichannel journeys: reach your audience where they are by leveraging journeys across email and messaging channels, like SMS and Whatsapp.
AI-powered asset management: unify asset management to find the top-performing assets with smart tagging, and use them in your emails.
Email marketing FAQs
1. What are the 3 types of email marketing?
The three types of email marketing that businesses frequently rely on to reach and engage audiences are newsletters, promotional emails and transactional emails.
2. What are the 5 Ts of email marketing?
The "5 Ts" of email marketing refer to five key considerations that can make your email marketing campaigns successful. They are: targeting, testing, timing, triggers and tracking. By following the "5 Ts" of email marketing, you can create more effective campaigns that drive results for your business.
3. What tools are used for email marketing?
There are many tools available for email marketing, each with its own unique set of features and capabilities. Some popular email marketing tools can help with marketing automation, bulk email deployment and email template design. The best choice for your business will depend on your specific needs and goals. It's important to carefully research and compare the different options to find the tool that’s right for you.
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