It allows you to reach a large audience with your message and promote your brand or product.
But with so many different metrics and Key Performance Indicators(KPIs) to track, it can be difficult to know which ones are the most important.
In this blog post, we will explore the most essential email marketing KPIs and how you can use them to improve your email campaign.
Email marketing KPIs (key performance indicators) and key email marketing metrics are ways to measure the success of your email marketing campaigns. By tracking email marketing KPIs and metrics, you can see what's working and what's not, and make changes to improve the results of your email marketing campaigns.
To get started with tracking marketing email metrics, we will help you decide which ones are most important to you and then find some email marketing tools that provide reports on them.
So, make sure to read this article till the end.
Here are the top 10 KPIs and metrics used in email marketing analytics.
Open rate is one of the most important metrics and KPIs because it tells you how many people are actually opening and reading your marketing emails. This number can be a great indicator of the health of your email list and your overall email marketing efforts.
If your open rate is low, it could mean that people are not finding your emails valuable or relevant, which could lead to them unsubscribing from your list.
Conversely, a high open rate could indicate that people are engaged with your emails and find them useful.
There are a few different ways to calculate the open rate, but the most common method is to divide the number of people who opened your email by the total number of people who received it.
For example, if you sent an email to 100 people and 20 of the email recipients opened it, your open rate would be 20%.
Open rates can vary greatly depending on factors like the type of email (e.g., marketing vs. transactional emails), the subject line, the sender's name, and the time of day it was sent.
That's why it's important to compare your open rate against other similar emails that you've sent in order to get an accurate idea of its performance.
How to improve Open Rates?
If you're looking to improve your open rates, there are a few things you can try:
1. Segment your list so that you're only sending relevant emails to specific groups of people.
2. Personalize your emails with each recipient's name or other information.
3. Testing different subject lines and sending times to see what performs best.
Click-to-open rate (CTOR) is a metric used in email marketing that measures the effectiveness of an email campaign by calculating the percentage of recipients who clicked on a link in the email out of the total number of people who opened the email.
It is calculated by dividing the number of clicks by the number of opens and then multiplying the result by 100 to express it as a percentage.
For example, if an email campaign had a total of 1000 opens and 200 clicks, the CTOR would be calculated as follows:
CTOR = (200 clicks / 1000 opens) x 100 = 20%
CTOR is a useful metric because it helps marketers understand how well their emails are performing and how engaged their audience is with the email marketing content they created.
A high CTOR indicates that the email campaign was effective in getting recipients to take action, while a low CTOR may indicate that the email was not compelling or relevant enough to the recipient.
How to improve Click-to-Open rate?
1. Use a clear and compelling subject line. A subject line that is clear, concise, and relevant to the recipient is more likely to get them to open the email.
2. Personalize the email. Using the recipient's name in the subject line or body of the email can increase the likelihood that they will open it.
3. Make the email visually appealing. Using images and other visual elements can make the email more engaging and encourage recipients to click on links.
4. Use clear and actionable call-to-actions (CTAs). Including a clear and compelling call-to-action in the email can encourage recipients to click on a link.
5. Segment your email list. Sending targeted emails to specific segments of your email list can improve the relevance of the email and increase the CTOR.
6. Test and optimize your emails. A/B testing different elements of your emails, such as the subject line, body copy, and CTAs, can help you identify what works best and optimize your emails for better performance.
7. Ensure that the email is mobile-friendly. Many people access their emails on their smartphones, so it is important to ensure that your emails are optimized for mobile viewing.
The click-through rate (CTR) is another one of the most important email KPIs. It measures how many times your recipients click on a link in your email.
A high CTR indicates that your recipients are interested in the content of your email and are more likely to take action.
How To Improve Click-through rate (CTR)?
Here are a number of ways to improve click-through rates.
1. Use compelling subject lines.
Your subject line is the first thing your subscribers see, so make sure it's catchy and entices them to open the email.
2. Keep your emails short and sweet.
No one wants to read a long email, so keep your content concise and to the point.
3. Use images and videos.
Visuals are always helpful in getting your message across, especially if you're promoting something like a product or service.
Make it easy for subscribers to take action by including calls to action throughout your email. For example, if you want them to click through to your website, include a button or link that says "Click here."
Conversion rate is one of the most essential KPIs because it measures how effective your email campaigns are at converting leads into customers.
A high conversion rate means that your emails are doing a good job of persuading people to buy your product or sign up for your service. A low conversion rate indicates that your emails need improvement.
There are a few different ways to calculate conversion rate, but the most common is to take the number of people who completed a desired action divided by the total number of emails delivered.
For example, if you sent an email campaign to 100 people and 10 of the email recipients signed up for your service, your conversion rate would be 10%.
How To Increase Conversion rate?
To increase your email conversion rates, start by segmenting your list so that you're only sending relevant emails to people who are likely to be interested in what you have to offer.
Then, craft compelling subject lines and content that speaks to their needs and convinces them to take the next step.
Finally, make it easy for people to convert by including a clear call-to-action and linking directly to your landing page or checkout page.
The revenue per email metric is another important KPI to track. This metric measures the average amount of revenue generated from each email that is sent.
To calculate this metric, simply divide the total revenue generated by the number of emails sent.
This metric is important because it allows you to track your return on investment (ROI) for your email marketing campaign. If you know how much revenue each email generates, you can easily compare that to your costs to see if your email marketing campaign is profitable.
Additionally, this metric can help you identify which types of emails generate the most revenue. This information can be used to improve future email campaigns and target your messages more effectively.
How to improve revenue per email?
Here's how you can improve revenue per email.
1. Make sure your emails are mobile-friendly
With over half of all emails being opened on a mobile device, it’s important to make sure your messages are optimized for small screens. Use a responsive email marketing template or use email marketing tools to test how your message will look on different devices.
2. Use engaging videos/images:
According to the campaign monitor, videos boost open rates by 19% and click rates by 65%. It also helps reduce unsubscribe rates by 26%.
Use images or videos sparingly and make sure they add value to your message.
3. Use compelling call-to-actions:
Your call to action is what you want your subscribers to do after reading your email, so make it clear and easy to understand. Use actionable language and create a sense of urgency to encourage clicks.
Still curious? Check out our other article for more actionable email marketing tips.
When it comes to email marketing, your unsubscribe rate is one of the most important KPIs to track. This metric tells you how many people have opted out of your email list, and it can give you insights into the effectiveness of your email campaigns.
There are a few things that can affect your unsubscribe rates, such as the quality of your content, the frequency of your emails, and the relevance of your messages.
If you find that your unsubscribe rate is high, it's important to take a look at these factors and make adjustments accordingly.
In general, you want to keep your unsubscribe rate as low as possible. A good email marketing metrics benchmark for unsubscribe rate would be to aim for less than 1%. If you're consistently seeing an unsubscribe rate above 1%, it's time to reevaluate your email marketing strategy.
How to improve the unsubscribe rate?
1. Offer an incentive to stay subscribed
Give people a reason to stay subscribed, such as exclusive discounts or early access to new products or content.
2. Keep your emails relevant and interesting
Make sure your emails are providing the value that your subscribers want and expect. If they start feeling like they're wasting their time with your emails, they'll be more likely to unsubscribe.
Inbox placement rates are a measure of how many of your emails are actually making it into people's inboxes. To calculate it, you simply take the number of emails delivered to the inbox and divide it by the total number of emails sent.
For example, let's say you sent out 1,000 emails and only 500 of them made it into people's inboxes. Your placement rate would be 50%.
How to improve inbox placement rates?
Ideally, you want your placement rate to be as close to 100% as possible. If it's not, there are a few things you can do to try and improve it:
1. Make sure you're using a reputable email service provider - they should have good deliverability rates.
2. Clean up your email list - remove any inactive or dead addresses.
3. Monitor your sending reputation - if it starts to dip, adjust your sending habits accordingly.
By keeping an eye on your inbox placement rate and taking steps to improve it, you can make sure that more of your emails are getting seen by your subscribers.
Bounce rate is the percentage of emails that are opened and then immediately deleted without being read. A high bounce rate indicates that your email list is not engaged and/or interested in your content.
How to improve Bounce Rate?
There are a few things you can do to reduce your bounce rate:
1. Send relevant and targeted content to your list. Make sure each email has a purpose and is not just a general update.
2. Test different subject lines and send times to see what gets the best open rate.
3. Regularly clean your email list to remove inactive subscribers to reduce bounced emails.
Revenue per subscriber is another important KPI to closely monitor because it tells you how much revenue your email list is generating. To calculate your revenue per subscriber, simply divide your total email marketing revenue by the number of subscribers on your list.
It is an essential KPI when it comes to e-commerce email marketing. You can keep a track of how many products you're selling from your e-commerce via email marketing
For example, if you sold products worth $1,000 in revenue from your email list last month and you have 1,000 subscribers on your list, then your revenue per subscriber would be $1.00.
How to Increase Revenue Per Subscriber?
If you want to increase your revenue per subscriber, there are a few things you can do:
1) Increase the overall price of your products or services.
2) Offer more expensive products or services to your list.
3) Create and sell info products or other digital products that complement your existing offerings.
4) Run targeted promotions and discount codes to encourage higher spending from your subscribers.
5) Provide value-packed content that inspires subscribers to take action and make purchases.
6) Cross-sell related products in your emails.
If you're not monitoring your spam complaints, you're missing out on one of the most important email marketing KPIs.
Spam complaints are a measure of how many people mark your emails as spam. This is important because it's a direct indication of how well your emails are being received by your subscribers.
If you have a high spam complaint rate, it means that people are not happy with the content of your emails and they're taking action to let you know.
This is something you need to address immediately, as it could lead to your emails being blocked by Internet service providers(ISPs) and never reaching your recipient's inbox.
How to improve the spam complaint rate?
To avoid a higher spam complaint rate:
1. Make sure you're only sending relevant, engaging content to your list.
2. If people unsubscribe or mark your emails as spam, take them off your list so you don't continue to annoy them.
3. And finally, always monitor your spam complaint rate so you can catch any problems early on.
To calculate your list growth rate, simply take the number of new subscribers you acquired in a given period of time and divide it by the total number of subscribers you had at the start of that period.
For example, if you had 1,000 subscribers at the beginning of the month and added 200 new subscribers during that month, your subscriber list growth rate would be 20%.
The list growth rate is a good metric to track because it can give you an idea of how well your acquisition efforts are doing.
If your subscriber list growth rate is low, it could be an indication that you need to work on attracting more leads. On the other hand, if your list growth rate is high, it could mean that you're doing a good job of converting leads into subscribers.
Either way, this metric can give you valuable insights into the effectiveness of your email marketing program.
How to improve the list growth rate?
There are a number of ways to improve the list growth rate.
The most obvious is to simply add more content to your site on a regular basis. This will give visitors more reasons to subscribe to your email subscriber lists. You can also add downloadable resources to increase the subscription number.
You can also promote your email list more aggressively, using social media, banner ads, or other marketing channels. And, of course, offering an incentive for subscribing (such as a discount, free shipping, or a downloadable resource) can also be effective.
Finally, it's worth considering whether your sign-up process is as streamlined and user-friendly as it could be. If it's not, you may be losing potential subscribers who simply give up before completing the process.
The forward rate (sometimes called the share rate) measures how often recipients forward their emails to others. A high forward rate indicates that your emails are valuable and worth sharing, while a low forward rate may indicate that your content is not resonating with your audience.
To calculate your email's forward rate, simply divide the number of forwards by the number of contacts who received the email. For example, if 50 people received your email and 10 of them forwarded it to others, your forward rate would be 20%.
Email sharing and forwarding rates are one of the most important KPIs for email marketing.
1. They indicate engagement.
The more people who share or forward your email, the more engaged they are with your content. This is a good indicator of effective marketing strategies.
2. They help you reach new audiences.
Every time someone shares or forwards your email, you have the potential to reach new readers. This can help you expand your reach and grow your audience.
3. They can lead to more conversions.
If people are sharing and forwarding your emails, it means they're finding them valuable. And if they find them valuable, they're more likely to take action on your call-to-action (whether that's subscribing to your list, buying a product, or something else).
How to improve the forward rate/share rate?
There are a few ways to improve your forward rate:
1. Make sure your emails are interesting and valuable. If your recipients find your emails helpful or informative, they're more likely to share them with others.
2. Use an attention-grabbing subject line. Your subject line is the first thing recipients see when they receive your email, so make sure it's interesting and makes them want to read and share more.
3. Keep your messages short and to the point. Recipients are more likely to read and forward shorter emails than long ones.
4. Use engaging visuals in your emails. Again, people are more likely to remember and share emails that contain images, videos, or other visuals.
There are a number of tools available to help you track email marketing metrics and KPIs. Some of the most popular include:
Google analytics for email marketing is a free email marketing tool that can be used to track analytics for email marketing. It tracks a variety of email marketing key metrics, including open rates, click-through rates, and conversion rates.
This is a popular email marketing analytics software that offers a range of features, including detailed reports on email marketing metrics.
Another popular email marketing service that provides users with comprehensive reports on their email marketing performance.
Another widely used email marketing software that offers robust reporting on email marketing key metrics.
In conclusion, email marketing can be a great way to connect with customers and promote your business.
However, it's important to track the right KPIs for email marketing to ensure that your campaigns are successful and you reap all the benefits of email marketing for your business.
In this article, we've shared some of the most important email marketing KPIs that you should be tracking.
By keeping an eye on above mentioned email marketing key metrics, you'll be able to fine-tune your campaigns and produce better results.