Email marketing is one Channel which can’t be missed out when taking your business online. Firstly Its cost effective than print or television marketing. Secondly More personalization can be brought into your campaigns. Third it has a direct reach than social media. Lastly if you aren’t using email marketing, someone else will. Once you Launch a beautiful marketing campaign you must be able to answer some question on email marketing KPIs.
.How to know whether your campaign is doing justice to your efforts or not?
What are the Email marketing KPIs which will let you track the campaign and take corrective action?
What are KPI’s?
KPI’s stands For Key performance Indicators.
These are the metrics which help you build the strong foundation for campaign.
Once foundation is build you can make your campaigns more successful and more effective.
Why measuring Email marketing KPI’s is Important?
Measuring email marketing KPIs is a vital part of your Campaign as it helps you
- Compare your campaigns with competitors.
- Let you know how you are doing.
- Prove and improve worth of your Campaign.
Well, with all this in mind here are those
10 crucial KPI’s for your email Marketing Campaign:
- Delivery Rate – Email delivery is must to engage targeted customers. The numbers of email that are successfully delivered to recipient is known as delivery. Delivery rate is measured by dividing the number of email delivered to total number of email sent.
- Click Rates – Measuring the percentage of recipient who clicked on the provided link in mail is click rate. Higher click rate increase conversion chances. It’s calculated by dividing number of clicks to number of mail delivered. For instance you sent 500 mails with 300 open and 70 clicks, your click rate would be 23%.
- Conversion Funnel – An email marketing KPIs Every Email marketer is most interested in, is conversion Funnel. It shows how successful a campaign is. You can track what number of recipient took desired action. For Example – Campaign was launched to 1000 users. From where you get 7000 leads from which there are 5000 probable opportunities and you successfully makes 3000 recipient take desired action.
- Open Rate – Illustrates the percentage of number of email opened by recipient. For instance You send out 1000 emails, 800 delivered while 200 bounced back. To find Open rates once you get the number of mail opened (say 400) your open rate would be 400/800 and then multiply by 100,open rate for this example would be 40%.
- Return on Investment (ROI) – Being a performance measure used to appraise the profitability of an investment therefore ROI stands among email marketing KPIs list. ROI measure the returns in relation to the expenses on investment made on your marketing campaign. ROI will let you know how long it will take to your campaign to return its investment and make benefit from investment.
- Customer Retention Ratio – last but not the least among email marketing KPIs stands customer retention. Loyal customers are always welcomed. This KPI measures the percentage of customers a company managed to hold during a certain time-period. CRR is calculated by dividing number of customers at the beginning of a period by the number of customers remaining by the end of period.
- List Growth Rate – Rate at which subscriber list is growing. For successfull campaign new subscriber is must. So one should know with what rate subscribers are growing. For instance you have 500 total subscriber, 15 of them unsubscribe and there are 50 new subscriber list growth for this would be (50-15)/500multiply by 100 which is 7%.
- Bounce Rates – Bounce rate is key determinent of senders reputation. You can calculate it by dividing Total number of Emails not delivered to total email sent. Bounce may be Hard or soft.
- Hard Bounce – When a Invalid email address, wrong domain name, rejection by spam filter its hard bounce.
- Soft Bounce – Temporary problem caused due to big size of mail, server down or end recipient mailbox full then its soft bounce.
- Spam complain rate– Being low on Spam complaint boost reputation. Spam Button is also used as shortcut to unsubscribe by many users. To avoid this, email must have compelling subject lines.It’s calculated by dividing total number of mail marked as spam to total number of mails delivered.
- Unsubscribe Rate – Unsubscribe rate shows where campaign is heading. High unsubscribe rate raises alarm for corrective action. Its the rate at which target audience is loosing intrest in campaign.
There is saying that Rome was not built in a day. So as your email marketing Campaigns. Success can only be achieved by clear understanding of goals, measuring the right metrics and consistently acting upon the information received. A right information at the right time with the right action taken on it will count nothing less than a blessing for your email campaign. So its very essential For an Email marketer to succeed by tracking the email marketing KPIs.
Photo Credits:- Digital Vidya