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With recent social media platforms popping up every yr, many entrepreneurs wonder if they need to leave email behind and look for recent avenues. Did you know that email is still the second-largest marketing channel for startups, right after social media? That’s right! It’s all because of its low costs and incredible return on investment (ROI). According to Litmus testThis is still one of the best ROI metrics; businesses can expect to see a staggering $38 in profit for every dollar invested in email marketing.
As CEO of Builderall, a comprehensive digital marketing platform that has powered over 2,000,000 small businesses, I’m often asked if email marketing is still an effective strategy in this recent phase of our digital age. Will it die in 2024?
I’m here to debunk the biggest myths and set the record straight. Today I’m going to share my knowledge to show you how to see the light.
Email Marketing Definition
Before we bust these myths, let’s make sure we’re all in agreement on what email marketing really is. Many people have misconceptions about this way of digital marketing that may put them off — and result in missed opportunities.
Email marketing is a direct marketing strategy that sends promotional or informational messages to a specific audience via email. It goes far beyond sending out promotions or cold emails. When done well, it builds meaningful relationships between your brand and your subscribers. It’s a approach to keep them engaged and ultimately one other approach to increase sales.
Here are some examples:
- Newsletters
- Promotional offers
- Product updates
- Even personalized content based on subscriber interests.
Myth #1: Email Marketing Is Dead
Let’s address the problem first. No – email is not dead! In fact, it’s miles from dead and is still going strong.
According to data provided by Oberlo, 80% of firms rely on email as their primary customer retention channel. This means they use email to maintain current customers engaged and keep them coming back for more.
But it is not every thing. HubSpot found that 60% of consumers made a purchase as a results of a marketing email they received. This is a huge testament to the power of email marketing in increasing business revenues.
Myth #2: People don’t read emails
I can’t let you know how often I hear this myth. Sure, our inboxes have gotten pretty crowded over the years, with many of us receiving dozens, even tons of, of emails a day. It’s also true that a good portion of those emails can find yourself straight in your trash or spam folder.
However, in keeping with HubSpot, 46% of smartphone users still prefer to receive information from brands via email slightly than other channels.
If you build trust and send relevant content, subscribers will welcome your emails with open arms.
These statistics also underscore the importance of listening to detail in your campaigns, including using eye-catching email subject lines and other elements that may show you how to stand out in a crowded inbox.
Myth #3: Younger people don’t use email
Gen Z and millennials are the next generation that may have serious purchasing power. It makes sense that firms are looking for recent and progressive ways to achieve them, as they are often portrayed as glued to their screens and fascinated by social media platforms.
These stereotypes lead many to assume that Gen Z and millennials are too obsessed with TikTok and Instagram to make use of old-school strategies like email. Let me prove it to them once again. According to Confirm US Consumer Trends Report53% of Gen-Z enjoy weekly emails from their favorite brands. For millennials, the figure is 66%.
Sure, you’ll need to tailor your approach to each audience (throw in a little slang or a meme here and there), but don’t rule out email. These generation segments still use it and prefer it.
Myth #4: Emails have low open rates
The next myth I wanted to handle is more tangible. Some people say that email falls short in comparison with social media platforms like Facebook and Instagram. To do that, we want to look at open rates.
Open rate is a key performance indicator (KPI) in digital marketing because it tells you the way many people actually open and read your emails. MailChimp’s benchmarks tell us The average email open rate across all industries is 34.23%. While that won’t sound impressive, it’s actually not bad.
With optimization, this number can grow significantly and bring advantages. As we reported earlier, this is why so many businesses still rely on email as their primary customer retention channel.
Myth #5: Email Marketing Is Spam
Finally, let me come full circle and return to the definition of email marketing. Too many people confuse general email marketing with a somewhat shady practice: cold outreach.
Cold emails are unsolicited messages sent to individuals who have not expressed an interest in your brand or products. Essentially, you purchase or collect a list of email addresses (without the recipients knowing) and send out mass emails, hoping to grab a few leads. They are often used for customer acquisition and can come across as pushy if not done accurately. This is because no one has given you permission to contact them.
On the other hand, email marketing is all about building relationships with individuals who have already shown an interest in what you have to supply. They may have signed up for your newsletter via a lead magnet or opted in to receive your updates. That’s a big difference!
It is this last type of communication 81% of firms use email as their primary customer acquisition channel. It produces results without spam tactics.
Final thoughts
While many entrepreneurs may feel drawn to the latest shiny objects and technology, these myths are causing many to disregard email in 2024.
When done accurately, email marketing stays an indispensable growth engine for startups and established businesses alike. Now that you simply know the truth, leverage email marketing to spice up conversions and retention. With a strategic approach, you may see even higher open rates and ROI than the research shows.