Wednesday, 3 March 2010

Email Marketing - What's your ROI?

I came across an amazing statistic this morning about the ROI organisations are getting from their email marketing.

Although a year old now, the Adestra Email Marketing Census highlighted how few organisations actually know what their ROI is.According to this census,the majority of respondents being in the UK, a staggering 42% of organisations have no idea what their ROI is!!

And yet, 78% of these organisations believed that as a channel , email was 'excellent' or 'good' for ROI, and yet Direct Marketing was only regarded 'excellent' or 'good' by 6%. I find this confusing as I always thought email was a direct channel ?

I know that often email marketing is seen as being a pretty cheap channel, but that doesn't excuse organisations doing the fundamentals of getting a grip its effectiveness. I was once given these wise words: 'If emails cost as much as direct mail, a lot more thought would be put into how many are sent out'

This is very true in particular when you begin to look at the negative impact too many emails can have on open rates, and even on getting them into the recipients inbox now that the like of Hotmail monitor email open activity as part of their junk email filtering

I can only hope that the 1 in 3 organisations in the survey that say that Measurement & Evaluation is a focus are all in that group that say they have no idea what their ROI is!

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