Email marketing is probably older than you think. The first email marketing blast was sent in 1978 by Digital Equipment Corp employee Gary Thuerk. Sent to about 400 recipients, the blast generated $13 million in computer sales for the company, which is roughly the equivalent of $79 million in today's value when adjusted for inflation.
Email has remained a mainstay of marketing communications ever since, but in a rapidly changing marketing world where new technologies, platforms and trends often take precedence, is email still relevant?
Yes, you're right. Trying new formats and approaches is important, but with a recorded 4.26 billion email users in 2022 and expected to grow to 4.73 billion by 2026, you can't ignore the power of email as a critical channel for any marketing strategy.
Realizing ROI
One of the biggest attractions of email marketing is the consistent return on investment it can deliver year after year, and why it's not going away anytime soon. According to the Direct Marketing Association, the average return on investment for email marketing in the UK is 42:1, which means in practical terms that you get £42 in return for every £1 spent. It's no wonder that 81% of small businesses use email marketing as their primary customer acquisition channel.
In the B2B space, email marketing reigns supreme, with 64% of B2B marketers reporting that their email strategy is a key component of reaching their business and sales goals. This isn't surprising, considering 86% of business professionals prioritize email communication.
But it's not just the B2B sector that benefits from email: With 361.6 billion emails sent and received per day by 2023, there's no doubt that B2C customers are using email, and using it a lot.
Getting your communications strategy right is key to building a successful relationship with new customers. Welcome emails have an 80% open rate, making it a great opportunity to build engagement and brand loyalty right from the start. But B2C email marketing also allows you to tailor your communications to specific customer behaviors, preferences, or points in the customer journey. Product recommendations, cart abandonment recovery emails, customized offers and content configuration options – there are plenty of ways to connect with your audience and keep them engaged with your brand.
Unmatched targeting
It's important to ensure that the right communication reaches the right audience segment. When posting on social media channels or placing ads in newspapers and magazines, you have much less control over who sees your post or ad compared to a targeted email campaign.
This extremely precise level of targeting allows you to precisely target emails to specific demographics, interests, sales funnel stages, and purchasing behaviors, increasing open and click-through rates by providing highly relevant content and communications to different audience segments.
When it comes to search engines and social media platforms, algorithms play a big role in what is shown to your audience. Email marketing, which is delivered directly to recipients, has no such limitations.
Email Marketing in 2024
Email has a long and varied history in marketing, but it has also undergone significant change. As trends and consumer expectations change, your email marketing strategy will need to adapt as well if it wants to remain relevant in 2024.
Personalization is a big theme in marketing, and customers are demanding that email communications be fully personalized through hyper-segmentation. Generic mass email sends are more likely to be deleted unopened, or users are more likely to unsubscribe altogether.
Related to personalization, another important trend in marketing is automation and artificial intelligence. Automation is already widely used in email marketing, enabling consistent and thoughtful communication between customers and brands, forming a key element of successful drip campaigns.
From cleaning up email lists to improving personalization and campaign effectiveness, AI tools are becoming a central component in making automation technology more effective and scaling successful, cost-effective email campaigns.
Email marketers also need to consider the fact that we live in a mobile-first world. 55% of emails are opened on mobile devices, so it's important to take this into consideration when designing your emails. If your email is difficult to view or interact with on mobile, you're likely missing out on clicks and engagement, and research backs this up: A MailChimp study found that mobile-friendly email design can increase unique clicks on mobile by 15%.
Final thoughts
Email marketing has evolved many times since the first email was sent in 1978, but judging by current trends, it doesn’t seem like it’s going away anytime soon.
Email is here to stay, but the way businesses are using it to build direct relationships with their customers is undergoing a major shift. With an increased focus on personalization, fueled by advances in AI and automation, email maintains its position as one of the most cost-effective acquisition channels for nearly every business.
Nicola Crossley: Climb online.
