Email Marketing Definition
Email marketing is the process by which a business or organization advertises via email. Very different from so-called “spam email,” legitimate email marketing usually requires recipients to opt-in (i.e., the people receiving the emails have indicated that they want to receive them). Businesses in the United States who wish to engage in email marketing must comply with the CAN-SPAM Act of 2003.
Despite the meteoric rise of social media in recent times, email marketing is not only “still” effective, it’s often more effective—if anything just because people are more likely to check their email than to keep up with everything on social media.
While it’s impossible to pin down an exact number, experts almost always agree that the average ROI of an email marketing campaign is quite good, with some 2019 estimates as high as $38 per $1 spent.
Email Marketing Example
A company wants to not only acquire new customers, but keep their current customer base engaged and, if possible, bring them back for repeat business. The company decides to start doing email marketing. They begin building their email list by offering a free ebook on their website in exchange for an email sign up and asking customers who join their rewards program for their email address. There are a variety of other methods they could have used, too.
Once the company has a subscriber base, they start sending a mixture of informational and promotional emails, notifying their customers of sales, events, and other special opportunities.
Why is Email Marketing Important in Strategic Marketing?
- Customer Experience
- You’ll notice in the above example that the company sent out informational emails—not just promotional emails. Subscribers to your email marketing list can enjoy an enhanced customer experience by receiving exclusive and/or valuable content.
- Closing Sales
- Customers “on the fence” about making a purchase can often be pushed over the tipping point with a carefully designed email marketing sequence.