• Alyssa Williamson

How Email Marketing Strategies can Increase your Revenue

Despite the social media boom, email is still king. The industry is saturated with marketing noise but email is still consistently driving the highest ROI out of all B2B marketing strategies. On average, businesses can earn $44 for every dollar spent on email marketing.

You're a small business owner and it’s important to know how your email marketing results compare to your competitors and other businesses in your industry. This will help you determine, for instance, what kind of open rates or conversion rates businesses like yours should expect. The more you know, the better after all!

Let's talk Math (sorry)

Conversion rate refers to the percentage of subscribers who either complete the desired action or become customers, depending on your conversion goal.

To compute your conversion rate, divide the number of signups or purchases by the total number of successful email deliveries. Then, multiply it by 100.

Conversion Rate (%) = # of signups or purchases / # of Successfully Delivered Emails X 100

Once you know your conversion rate, you can now compare it with industry standards. If it’s below average, then you can implement various conversion rate optimization techniques and continue to calculate your conversion rates as you try each new technique to determine which ones are working best.

Major Factors that Affect Email Marketing Conversion Rates

  • Email Responsiveness A recent study by Return Path analyzed more than 27 billion email opens between May 2016 and April 2017. It revealed that more than 55% of emails were opened on a mobile device. On weekends, the rate rises to 60%.  If your emails aren’t responsive, then the effort you put on your email design and layout will need to be reevaluated, as 70% of email recipients will delete an email immediately if it’s not mobile friendly.

  • Segmentation and Personalization take advantage of segmentation and personalization tactics and technologies to reach their buyers and drive them towards conversion goals.  In fact, marketers report a 760% increase in email revenue from segmented campaigns. Furthermore, 96% of organizations believe that email personalization improves email marketing performance.

  • Email Subject Line Research reveals that 47% of users open an email based on the subject line. If they like what they see, then they’ll open your email. So, if you want to increase your email open rates, optimizing your subject line should be your first course of action.

  • List Health and Size Your campaign size may be big, but your conversion rate may be extremely small due to poor email list health. Research shows that open rates and conversion rates tend to fall as email marketing lists become bigger. You may also notice that your bounce rate is high, which means that a large portion of your email list is not getting your email at all. It may be due to network problems, full mailbox, or invalid email address. You can address this by doing a little list spring-cleaning every now and then.

  • Value Offer Your marketing email will always contain an offer, be it through educational or promotional content. The important thing is to communicate the value of your product or service offering. When you’re not achieving positive conversion rates, take a second look at your content. Are you highlighting the value of your offer? Are you thinking about your customers’ points of view? Is it clear how the recipient will benefit from taking action? Put yourself in your prospects’ shoes to help determine where they’ll derive the most value. This will help identify your unique selling proposition and direct the email copy strategy.

  • Landing Pages Most emails direct their subscribers to a landing page using a call-to-action (CTA) button. There may be times when you have a high click-through to landing page rate, but a relatively low conversion rate. When this happens, you need to revisit your landing page. It could be that your landing page doesn’t make it easy for users to sign up or purchase your product, or that you’re asking for too much information. These mistakes can create unnecessary barriers for your potential customers, which is never good. So, make sure you’re implementing landing page best practices for best results.

Want an in-depth analysis of what your e-marketing is really doing? Sign up and get a free 30-minute consultation.



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