Email marketing metrics
Email marketing strategies have become the latest buzz in the field of digital marketing. The tactics are widely followed not just because easy and cost-effective, but it allows you to develop a better connection with your customers. But how do you use email marketing metrics to analyze the data?
There are many third-party organizations like Campaign Monitor who aid in powering your email marketing campaigns. The marketing strategy is known to be an efficient alternative. But to sustain the cutthroat competition, it is essential to quantify results.
Analyzing Email Marketing Metrics
Measuring the effectiveness of your email marketing campaigns is essential for an in-depth understanding of its performance. The email marketing analytics tools are of immense benefit for analyzing your campaign progress.
These tools allow you to choose metrics, measure and calculate data. Lastly, they also help you analyze and prepare performance reports. Here are some of the significant metrics that one should track to interpret performance.
- Open Rate: This determines the number of emails opened to the total number of recipients. It does not include emails that do not get delivered or bounce back. Writing compelling subjects will improve the open rates to a great extent.
- Click Through Rate: Email recipients Percentage who clicked links present in your emails determines the click-through rate. Higher the number of clicks the better is the CTR rate. The content has to be compelling enough for the customers to click on the links. The click-through rate is the total number of exclusive clicks divided by the delivered emails count multiplied by 100 gives.
- Conversion Rate: This is a measure of the number of goal completions like direct purchases, filling forms and downloads. The formula for calculating the conversion rate is the total number of people who completed the desired action divided by the delivered emails count multiplied by 100.
- Bounce Rate: Not all the emails that are sent as a part of the email marketing campaign get delivered as some bounce back. These are classified under two categories one soft bounce and the other hard bounces. The former includes emails that bounce back when the recipient email is full, or there is a technical glitch. Later category includes emails that bounce because the email address no longer exists. This is also calculated using the similar formula that is the number of bounces upon the number of emails sent multiplied by 100.
- List Growth Rate: This is another important metrics to determine the rate of email growth list. The formula to calculate the same is ([(new subscribers) minus (unsubscribes + email complaints)] ÷ Total number of email addresses on your list]) * 100. This is ideally measured on a month to month basis.
- Overall ROI: This is the most important metrics of email marketing as it determines the revenue generated by your email campaigns. The formula to calculate the same is profits minus the investment divided by the total investment in the campaign multiplied by 100. It helps in quantifying the overall effectiveness of the campaign.
Measuring or quantifying the performance of your campaign is significant to judge its effectiveness. Engaging a third party service provider like Campaign Monitor can do the job of analyzing email marketing metrics for you. They provide various tools and techniques that benefit in monitoring your campaign.