The arrival of the latest digital marketing solutions like social media marketing and content marketing does not seem to have undermined the relevancy of email marketing. Although many digital marketing experts have raised their eyebrows about the future of email marketing, but the technique is not only still relevant but also provides better results than many other strategies.
The future of email marketing has long been the buzz of the town. Every once in awhile, there is a new phenomenon claiming to supersede the authority of email marketing. However, the truth of the matter is that email marketing still provides amazing results, if not the best ones. The latest such phenomenon that exhibited the potential to whelm email marketing as the top lead generation tool was social media. However, there is no denying the fact that email marketing is not only alive but it is here to stay for the years to come.
The industry-generated data not only confirms the relevance for email marketing but also predicts a positive future for this digital marketing technique. Let’s have a look at the following facts that prove that email marketing is here to stay in 2020 and beyond.
More than Half American Companies Derive Sales through Email Marketing
Yes, you read it right. American companies are fond of email marketing because it gives them the right results. According to a report, around 55% of the American enterprises derive over 10% of their total sales from email marketing. It only goes on to show how much US businesses are dependant on email marketing.
Digital marketers are fond of using this tool for more than sales generation. They believe that email marketing not only helps increase sales but also helps businesses in spreading the word about their products, acquire new customers, turning digital interactions into sales, and retaining customers for the long term. Believe it or not, around 82% of the US-based enterprises prefer email marketing for marketing their business, which is more than any other marketing strategy. And the growth is not slowing down in the coming years as according to an estimation, the share of email marketing in global market was calculated at $7.5 billion this year. The market share for email marketing is estimated at $17.9 billion by the end of 2027. Even the global outbreak of the novel coronavirus has failed to deter the growth for email marketing, which is seen growing at a CAGR of 13.3% in the seven-year period mentioned above. In the United States alone, email marketing is estimated to have a market share worth $2 billion in 2020.
Email Marketing Growth Not Slowing Down
A research conducted by Forrester Researcher identified that the growth in spending on email marketing has shown consistent improvement. The research revealed that the email marketing spending grew from $2.07 billion in 2014 to $3.07 billion by 2019. Digital marketing experts believe that email marketing and linkbuilding are the two most sought after areas in digital marketing in today’s world.
According to a study conducted by Marketing Sherpa in 2015, almost third-fourth (72%) of all consumers preferred to be contacted through emails by businesses. No other marketing strategy or tool comes close to this number. The study also revealved that 61% of consumers were ok with receiving promotional emails weekly whereas 28% favored receiving promotional emails rather frequently.
Expect Better Engagement with Email Marketing
As per a DMA study, consumers are more likely to open an email rather than other marketing tools. The study found out about 76% of marketers reported consistent growth in their email subscribers. According to another research, a huge majority of American online adults (92%) use email in their daily life whereas 61% regularly check their emails. It has been believed that millennials are more interested in social media and are not that active on emails. However, it is far from reality because numbers mentioned above report a completely different trend.
Social media is quite a popular option among young generation but they mostly use these platforms to stay in touch with their friends. Adestra discovered in one of its studies that around 73% of the young generation group actually loves getting contacted via emails by businesses.
Expect Higher Conversion Rate with Email Marketing
Email marketing beats any other digital marketing strategy on conversion rate as well. Around 88% of digital marketers believe that email marketing brings them positive return on investment (ROI). They say that every dollar spent on email marketing generates $38 revenue. It translates into an ROI of 3800%, which is unmatched by any other tool or strategy. Despite all the above-mentioned numbers, it has been witnessed that global enterprises are heavily spending on social media marketing than ever. We would like to have a look at the following facts and figures before you start spending your precious money on anything but email marketing.
- Top enterprises spend a healthy amount on Facebook marketing. However, the studies show that organic Facebook posts from these brands manage to reach only 2% of their followers. What’s more, the number is falling further.
- The Click-Through-Rate on email is around 3% whereas it is in the range of 5% or lower on tweets.
- When we compared email marketing with social media marketing, we notice that the conversion rate for email is around three times higher than that of social media. Moreover, the value of email conversion is 17% higher than social media conversion.
- Around 24 of 100 email marketing recipients end up buyers. The percentage of buyers stays at 2.49% for search engines users and 0.59% for social media posts recipients.
- Today is the age of smartphones and around 75% of Gmail’s 900 million users access their emails on smartphones and tablets.
- A vast majority of consumers (91%) check their emails at least once a day on their smartphones and other gadgets.
The Concluding Remarks
We hope you have reached the same conclusion as we have. The truth of the matter is that email marketing is not only here to stay but it is indeed the future of marketing. If your brand isn’t spending enough on email marketing, today is the day to amend your marketing plans and focus more on reaching your potential customers through their emails. If you have further queries about what are the protocols of reaching customers out with emails, contact us today.