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Advantages and Disadvantages of Email Marketing

The
concept of email marketing is simple. You use email to promote
products or services. In addition, email marketing is a digital
marketing strategy for developing relations with current customers,
and for reaching out to potential ones.

How
effective is Email Marketing?

According
to a 2018 Statista report, there were 3.7 billion email users in
2017. This is estimated to grow to 4.3 billion in 2022. In other
words, marketing by email has the potential to reach half of the
world’s population.

Some
may think that email marketing is ancient compared to more modern
marketing methods like SEO and social media marketing. However, the
269 billion daily emails sent/received in 2017 is projected to become
333 billion by 2020. Moreover, for every $1 spent on email marketing,
an average return of $32 can be expected, states the UK’s Data and
Marketing Association 2018 marketer email tracker report.

Who uses Email Marketing?

Most
companies, in one form or another, use email marketing, simply
because it helps grow business. In particular, small and midsize
businesses use it as their main tool for keeping customers and
acquiring new ones, 80-81% of the time. From fund raising specialists
to therapeutic spas, from pet rescuers to gym and fitness centers,
from realtors to event coordinators, and for everybody else, email
marketing remains to be very effective.

Email
Marketing stats and trends

Research
shows that email marketing still comes out on top when compared to
organic search, paid search, or social media in terms of keeping
customers and getting new ones. In a 2017 benchmark by
GetResponse.com, the average open rate of a welcome email is 82%, a
very high rate and a great opportunity. Still, people have become
more cautious in opening emails for security concerns, and that can
affect email marketing.

Advantages
of Email Marketing

Here
are some of the advantages email marketing can bring to your
business:

1. Brand awareness

If
you are consistent in your email marketing efforts, as well as its
design, tone, and content, your audience can start recognizing your
brand. They can remember it and even differentiate it from other
brands. When your brand is already recognizable and memorable, people
can feel a connection with it and remember it when they are already
deciding to purchase.

2. Industry expertise

With
email marketing, you can easily share industry information with a
great number of audience in a short amount of time. This is a way to
establish and promote yourself as a thought leader in your specific
business domain. A business that is considered an industry expert
automatically gets high brand credibility and reputation. It becomes
a reliable source of information, products or services that are
recognized to be effective solutions.

3. Quick and cost-effective

It does not take much time and resources to perform email marketing, as compared to other marketing strategies and campaigns. Email is comparatively cheaper than paying ads. Auto-responder software can be around $15 per month, and some basic ones are even offered for free. In the UK, the average cost can be about 50 pounds per month for a small business. And sending email can take only seconds, which gets directly to the audience. Furthermore, you can schedule what to send, to who, and by when.

4. Regularly checked by the audience

Email
marketing is an effective way to stay in contact with your customers.
About 2 out of 3 persons will check their email account several times
a day. Therefore, you can be sure that your audience will see your
email in their inbox within a day. There is even a greater chance it
will be opened and read by recipients with their mobile phone as soon
as they receive a notification.

5. Traceability and reporting

Most
email management and auto-responder software comes with tracking and
reporting functions. So, you can get statistics as well as insight in
how successful your campaign was. Some of the data you can analyze
are the number of emails sent successfully, how many were opened, how
many clicked, and how many led to sales, among others. Furthermore,
you can get valuable information on your market to know who are the
audience that responds to you. As a result, you can even refine and
improve your brand identity to closely match your audience.

Disadvantages
of Email Marketing

Along
with advantages comes disadvantages, and here are some of them:

1. Stiff competition

With
just email marketing, it can be difficult to stand out from the
competition. Most probably, they are also doing their own email
marketing. So, your email gets to compete with other emails from
legit competition, as well as with spam and junk emails. People who
do not use spam filters or segregate emails may likely just never
open commercial emails at all.

2. Delivery issues

Over
time, some of the email addresses in your list may get inactive. You
may be sending emails to no one. Unmaintained inboxes get filled up,
and it will reject any new mail sent to it. And for those who use
spam filters, your email subject may appear to be spammy and get
caught, never to be seen by the recipient.

3. Design problems

Today,
people are using multiple devices with varying screen sizes. You
should be careful to design your email such that it will appear
readable no matter what device or screen size is being used. Emails
with images can cause inconsistency with smaller screens. They may
also be bigger in size, and therefore slower to download. On the
other hand, some may find text-only emails as monotonous and dull.

4. Mailing list build-up

If
you are new to email marketing, you may not have a mailing list yet.
Building a list means getting subscribers, and that takes time. You
may have to set up your website, create signup forms, and attract
enough visitors who may sign up. Time and resources are needed to
build up your email address database.

5. Resources and skills

Email
marketing can be effective, but it has to be done right. It is easier
if you have experience and expertise in your industry and market. If
this is not the case, then you might have to outsource email
marketing in order to have the right list, design, copy or content.
It is also essential to have basic knowledge of the legal aspects
such as privacy laws, data protection regulations, and other
information as well as security regulations.

Conclusion

While
email marketing statistics are impressive compared to other digital
marketing methods, it is important to remember that it is still one
option among many to build brand awareness, to keep existing
customers, and to acquire potential ones. Knowing the pros and cons
can help you make an informed decision as to how you can take
advantage of email marketing while avoiding the potential pitfalls
that come with it.

The post Advantages and Disadvantages of Email Marketing appeared first on ArticlesBase.com.


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