Survey Highlights Email Marketing Effectiveness and ROI

May 24, 2012

email-marketing-industry-census-2012A recent research survey, Email Marketing Industry Census 2012, conducted by eConsultancy and sponsored by Adestra sheds some light into how email marketing is being used and trends facing email marketing as an industry. The research was for UK based email marketers only, but the results are enlightening and can be transferred to any country, especially when it comes to best practices and ROI.

Why is email still a major force in the marketer’s arsenal? According to the census, “55% of all company respondents could attribute more than 10% of their total sales to the email marketing channel, with 17% of respondents stating that email marketing attributed for over 30%”. ROI for email marketing is still there, despite many talking about the demise of email as social channels become more prominent.

“70% of company respondents rating email as “excellent” or “good” in terms of ROI”

Problem is, email is not being used to its fullest. Most companies are not taking advantage of advanced email marketing features, or even basic segmentation strategies, as the survey points out.

“Only 40% of responding companies use their email service provider (ESP) for anything more than the basic broadcast of email”

When asked about which practices are part of their email marketing efforts, the answers showed that:

  • Only 67% of respondents do basic segmentation
  • 52% engage in regular list cleaning
  • 48% encourage the sharing of content in their email messages
  • 26% use content personalization
  • 25% use video content in their emails
  • 15% are using behavioral targeting.

The ROI of Email

It seems most companies have a “setup and forget” attitude when it comes to their email marketing. Once the system is configured, the templates are setup, and everything is ready to go they simply let it run without constantly refining their tactics.

“Those simply performing “batch and blast” techniques are less likely to see ROI benefits.”

According to the research, only 31% of companies surveyed regularly test their email marketing campaigns. The companies that do test their email marketing campaigns report their ROI from email is excellent or good, compared to those who don’t test regularly or don’t test at all.

But testing is only part of the ROI equation. Research results point to segmentation being another big factor for ROI reporting that “companies who are practicing basic segmentation are 95% more likely to rate email ROI as excellent or good compared to those who do not use even basic segmentation, nor have plans to do so”.

The Missing ROI Components

According to the census, the following key themes have been identified as having a big role in determining whether a company will see positive ROI from their email marketing efforts:

  • Adaptation to priority inbox features
  • Awareness around data security issues
  • Low hanging fruits of triggers and testing
  • Integrating email with other business areas
  • Greater understanding of social media and email as complementary channels
  • Addressing the challenges of mobile

The report goes into detail for each area above. It also discusses the barriers to effective use of email, citing that:

  • 53% of companies cite quality of email database as the most widespread barrier to effective email marketing
  • 49% of client-side respondents feel lack of strategy is a significant problem
  • 45% of companies say lack of segmentation is holding them back
  • 32% complain about lack of skills and training
  • 36% state poor measurement and analytics keep them from becoming more effective

For an in-depth analysis of each of those barriers and detailed analysis of the census results, download the email Marketing Industry Census 2012.

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It’s All About the Landing Page

September 12, 2011

Surprising results from eConsultancy’s recent survey on the use of QR Codes showed that:

  • 64% of consumers don’t know what QR Codes are
  • Of the consumers that know what QR codes are, only 11% have used them
  • Of those that have used QR codes, 20% think they don’t really offer any advantages and don’t expect to use them in future

Yikes!

The survey goes on to point out that marketers have to be innovative and think outside the box when it comes to using QR Codes:

“Don’t rely on QR codes alone. To avoid excluding people without smartphones or those without a reader app, then provide other ways for them to respond to ads, or find out more about products. ” – eConsultancy

But the not so surprising result from the survey was that when using QR codes, it really comes down to the Landing Page.

How Good is Your Landing Page?

It’s typical, really. You scan the QR code and the landing page you then see is a) not formatted for mobile devices; b) not interesting enough; or c) doesn’t exist. Next time you see a QR code you won’t even try to scan the thing because you have already been disappointed once.

Landing pages can determine the success not only of a QR code campaign, but of any campaign that takes the user to your website. Email marketing, online surveys, PPC and more. That might explain why, according to MarketingSherpa, the number of people that work full time in Landing Page Optimization projects has grown steadily over the past couple years.

So where do you go from here? Check out this blog post from Marketing Experiments, “36 articles and resources to help you complete your next LPO project“, is a great starting point.

After all, remember that it’s all about the landing page!


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