There are so many things to do when it comes to running an email marketing campaign. All the email marketing metrics and email marketing KPIs are the most important part of any email marketing campaign to run successfully. We can discuss all the important things about email marketing, mistakes, and examples but nothing would matter if we are unable to see the desired results. It is important to understand your email marketing goals, is it to grow an email list? generate leads?, or boost ROI? No matter what your goal is, tracking your email marketing metrics to identify the effectiveness of your campaigns should be on top of your priority list of email marketing practices.
Let’s have a look at the top metrics that need to be incorporated in your email marketing efforts and how to measure the success of the marketing campaign.
Table of Content
1. Click-Through Rate (CTR):
Click-through rate is the percentage of people who clicked on links that were provided in your emails.
The formula for counting CTR is:
{(Total clicks / Unique clicks ÷ Number of Delivered emails) * 100}
CTR is tracked by every marketer as it allows you to calculate the performance of every email sent. By tracking CTR you can easily identify your audience’s interest as well as how your email was engaging to your audience. From there, you can then make major changes to your email campaigns according to that. CTR can also be used for checking the A/B test results. HubSpot can help you check the CTR of your websites.
2. Conversion Rate:
Conversion rate is the percentage of people who have received your email and have completed a required action such as making a purchase or filling a subscription form.
The formula for counting conversion rate is:
{(Number of people who completed a desired action ÷ Number of total emails delivered) * 100}
As soon as a person clicks on a link, the next step is to convert them, meaning to offer them to take the required actions. Depending on your marketing goal, you can offer your reader to download a free e-book, a coupon code, etc. Conversion rate is directly linked to CTAs (call to action), which makes CTA the most important metrics to measure the effectiveness of your campaign.
3. Bounce Rate
The bounce rate is equally an important metric after the CTR and conversion rate. The bounce rate is the percentage of emails that were not successfully delivered to the recipient.
The formula for counting bounce rate is:
{(Total number of bounced emails ÷ Number of emails sent) * 100}
There are two types of bounce rates that can be tracked. Soft bounce and hard bounce. A soft bounce is a temporary problem such as an issue with the recipient’s server. A hard bounce is a permanent problem mainly associated with a closed or invalid email address. Hard-bounced emails can never be delivered again. If your email is hard bounced, make sure you are removing that email address from your list as the Internet Service Providers (IPS) will use the bounce rate as the main reason to decide your reputation.
4. List Growth Rate
As the name suggests, the list growth rate is the number of email subscribers that have increased.
The formula for list growth rate is:
{({Number of New Subscribers} – {Number of Unsubscribes + email/spam complaints}) ÷ Total number of Email Addresses} * 100
Make sure you are also keeping a track of the growth and loss too along with expanding the audience and your business reach.
Email marketing base can naturally decrease by 22.5% every year. Surprisingly, it is very true. This only means that yup should pay more attention to make your subscriber list grow and nature it at a healthy size.
5. Email Sharing/Forwarding Rate
Email sharing/forwarding rate is the percentage of email recipients who clicked on the “share this” icon or who clicked on the “Forward to a friend” icon.
The formula for counting email sharing/forwarding rate is:
{(Number of clicks on a Share and/or forward button ÷ Number of Total Delivered Emails) * 100}
This metric might not seem to be significant, but is one of the most important metrics. This metric can help you generate new contacts and potentially increase conversion rates. Any marketing strategy is worthless without you promoting it. So, encourage your users to share your emails if they found them informative and useful.
6. Overall ROI
ROI ( return on investment ) is the percentage of the overall return you have earned as compared to the overall money you have invested.
The formula for counting email sharing/forwarding rate is:
{($ in additional sales made – $ invested in the campaign ÷ $ invested in the campaign)} * 100
Depending on the type of business, ROI can be calculated in several ways. Determining ROI is the key metric as it will determine how successful your email marketing campaign is as generating revenue is always the priority of the majority of the email marketers.
7. Open Rate
The open rate is the percentage of emails opened by the recipients.
A good open rate highly depends on how personalized your email content. The better the subject line higher the open rate. Although the open rate is a positive metric, you should focus more on the click-through rate.
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Conclusion
These are the top 7 metrics that will help you measure the effectiveness of your email campaigns regardless of your marketing goal. It is important that all the metrics mentioned above are thoroughly tracked and optimized. It will also help you to understand your audience, drive traffic, and generate qualified leads.
If you would like to know more about how to measure email marketing results and how to improve campaign performance, our team is the best possible answer to your queries. Contact us to learn more.