Metrics are tools to see how your organization is performing and to measure the success of your email marketing campaigns. You can use the data collected from these metrics to create more successful campaigns in the future. Once you know what to look for, they will serve as valuable indicators of where you need to make adjustments and how things are progressing. Depending on what type of business you’re in, some of these email marketing metrics may be more important than others. Email marketing is still a vital part of digital marketing and its popularity shows no sign of waning. Email marketing metrics remain valuable to marketers, who continue to find value in the analytical tools for email campaigns. The challenge comes from a lack of consistency on best practices when measuring message results. So, what should the perfect email marketing program consist of? At the very least, it should include buying a good ESP (email service provider), setting up an effective marketing automation to nurture your leads and track their actions, analyzing your email marketing metrics carefully to learn where you can improve and optimize your sales, create segmented campaigns based on each lead’s behavior in order to prevent false positive leads from your campaigns and get true qualified prospects for your sales team.
Email marketing is still the best way to get your message in front of the entire database in a single shot. But there’s more work to do than ever before. Email marketing metrics are the way by which email marketers gauge the performance of their email strategies. These metrics include all aspects of email marketing and are useful in devising strategies to improve one’s email marketing ROI and efforts. The important things to remember here are that metrics can guide you along your email marketing journey, but they shouldn’t be viewed as a number that you’re forced to hit. Rather, use them as indicators of how well blogging, content, and link building efforts are affecting your marketing metrics. If you’re following the numbers, then you should always be looking for ways to improve. That’s the only way for you to keep ramping up those vital email marketing metrics. Email marketing is old hat. They say it’s an outmoded way to communicate with customers, or that it yields no significant results for business. Despite the naysayers, email marketing metrics has proven itself again and again as a powerful tool for customer engagement. Whether from home or the office, email provides one of the most convenient ways to stay in touch with leads and customers. I guess at the end of the day, what’s important is to know what your own metrics are and where you can improve. It’s a conversation best had with the people who have a vested interest in your success – your email marketing manager or agency, and the rest of your marketing team.
Email marketing is one of the most effective ways to grow your business. And when used correctly, email can be a powerful tool that drives results like more sales and more traffic. But how do you know if you’re using it correctly? By tracking your email marketing metrics!
You’re probably familiar with deliverability, even if you don’t know it. Deliverability is the percentage of emails that are delivered to the inbox, and it’s critical for measuring your email marketing efforts. There are many factors that can affect deliverability – too many to list here – but improving your email marketing best practices is an efficient way to improve your overall performance.
If you’re a Google Analytics user like me, then you can track deliverability using their standard reporting metrics: click rate and session duration (both shown below). If not, there are plenty of other ways to measure how well your emails get through to subscribers’ inboxes without being marked as spam by ISPs or blocked by spam filters in client applications like Outlook and Gmail..
Open rate is the percentage of emails opened divided by the number of emails sent.
For example, if you send out 20,000 emails and 1,000 are opened, your open rate would be 5%. This means that for every 100 people who received your email marketing campaign, only five people clicked on it.
Open rates are a quality metric because they indicate how relevant your email campaigns are to subscribers and whether or not readers find them interesting enough to click through. Open rates also show engagement with your brand—if subscribers don’t open emails from time to time (or at all), then this could imply that they no longer find value in what you have to offer them.
Click-through rate, or CTR, is the number of clicks on a link divided by the number of impressions (the number of times your email was displayed). If you have 100 emails delivered and one person clicks on the link in his or her inbox, then your CTR is 1%. A high CTR means that people are engaging with links in your email marketing campaigns.
A high click-through rate doesn’t necessarily mean that every prospect who clicked through converted into a lead or customer—it’s not an exact measure of sales activity. Instead, think about it as an indicator showing that prospects are interested in what you’re selling and willing to engage further with your company by clicking through to learn more.
The click-to-open rate is the number of emails opened divided by the number of emails sent.
For instance, if you sent out 1,000 emails and 500 were opened, your click-to-open rate would be 50%.
Average order value
The average order value is the total amount of money that customers spend on your products or services in a given period of time. This metric can be used to determine how successful your email marketing campaign has been, and it’s also critical for understanding why some campaigns are more effective than others.
For example, if you have two email campaigns that generate similar open rates but you notice that one generates much more revenue than the other, it’s likely because of its higher average order value (AOV). A large portion of people who opened the first campaign may not have purchased anything from it since they only wanted information about new products or services available from your company at that time—but those who opened the second email were probably serious about buying something from you because they clicked through to an actual landing page where they could place an order!
Conversion rate is a key email marketing metric that measures how many customers take a specific action after receiving an email message. The conversion rate is calculated by dividing the number of conversions by the number of marketing messages sent.
There are three ways to calculate your conversion rate:
- Sending ratio / Sales revenue
- Open rate x 100 / Total contacts
- Unsubscribe rate x 100 / Total subscribers
When a user clicks on a link, opens an email and immediately leaves—that’s called a bounce. The percentage of bounces is called the bounce rate, which is calculated by dividing the number of bounces by total emails sent. If you have 100 emails sent and 20 of those are marked as spam or bounced back to you, that’s a 20% bounce rate for your email campaign.
The frequency with which people open and click on links within an email is referred to as “bounce frequency.” You can calculate it by counting how many times someone clicks on any link in one message, then divide that number by total emails sent in that message; if 10 people clicked on one link out of 100 emails sent (10/100 = 1%), then you would say that this particular piece of content had a 10% bounce frequency.
Unsubscribe or complaint rate
The unsubscribe rate is the percentage of people who clicked the “unsubscribe” link in your emails. The complaint rate, on the other hand, is the percentage of people who actually sent a complaint to you about something in your email.
To calculate this metric for both free and paid subscribers:
- Count how many times you receive complaints/unsubscribes during a set period (e.g., last week).
- Divide that number by all subscribers (paid/unpaid) who received at least one email during that time period.
Bounce frequency & complaint frequency
Bounce frequency and complaint frequency are the two metrics that you should be monitoring closely. Bounce frequency is the percentage of emails that bounced, while complaint frequency is the percentage of emails that received complaints.
Bounce rate is a measure of deliverability, which means it’s an indicator of how well your email marketing software was able to get through spam filters and land in inboxes. If your number of bounces goes up, it could mean one thing: You’re being flagged as spam by more people than before. This could happen for a variety of reasons; here are some common causes:
- You’ve sent too many irrelevant messages (e.g., if most recipients don’t care about what you’re offering).
- Your subject line isn’t enticing enough (e.g., “This weekend only!” doesn’t sound interesting).
- Your content isn’t great (e.g., boring articles rather than entertaining video).
The spam score is one way that email service providers (ESPs) judge the quality of your email campaigns. It’s based on factors such as the content and structure of your emails, as well as whether you collect addresses through opt-in methods or not.
The best way to improve your spam score? Include an unsubscribe link in every email, send only relevant content, avoid sending too many bulk emails at once and make sure that each message looks unique for every recipient. Keep these things in mind when you’re crafting your next marketing campaign!
While there isn’t a hard-and-fast number for what constitutes a good or bad spam score (it varies from ESP to ESP), here are some averages: 94% of marketers who use MailChimp have received a score between 6–10; 60% of Constant Contact users received scores between 7–10; and 81% of Campaign Monitor customers got scores between 7–10 (or 5–6).
These are the most important email marketing metrics to watch.
- Open rate: This is the number of people who opened your emails as a percentage of total subscribers. It’s important to note that an open rate doesn’t tell you how many people are actually reading your emails; it only tells you how many saw them and made the choice to view them.
- Click-through rate: This is the number of times a link was clicked in an email as a percentage of total recipients who received the email, excluding any unsubscribes or bounces.
- Click-to-open rate: This metric shows what percentage of users click on links in your newsletter after opening it (excludes spam and bounces).
- Average order value (AOV): This metric shows what average revenue per order was over some time period based on orders placed through email marketing campaigns.
- Conversion Rate: Conversion rates can be calculated by dividing total sales by the number of leads, signups, or submissions generated by an email campaign (excludes spam and bounces). To calculate this value accurately, however, you need to have defined goals for each campaign so you know exactly what constitutes success or failure!
These are the most important email marketing metrics to watch. If you want to optimize your email marketing campaign, you need to be monitoring these metrics. Your deliverability is going to depend on how well your emails perform in these areas and this can impact whether or not subscribers even see your message—so make sure it’s good!