What does ‘email marketing conversion rate’ mean?
Simply put, the term ‘email marketing conversion rate’ refers to the percentage of email recipients that take the desired action based on the goals of an email marketing campaign
If you want a more in-depth understanding of this topic, check out the FAQ section below:
Question #1: How do I measure my conversion rate?
To measure your rate you will need to divide the total number of successful conversions by the total number of delivered emails then multiply the result by 100.
So, for example, if you sent out a marketing email that is designed to get people to sign up to your upcoming webinar and you get 200 sign ups out of a total of 1,000 emails delivered, then your conversion rate would be 20%:
200 (successful conversions) / 1,000 (emails delivered) x 100 = 20%
You can use the exact same formula for any other conversion event you could think of (and number of successfully delivered emails).
If you successfully send out a marketing email promoting your latest book to 5,000 people, for example, and 500 people end up buying it, then your conversion rate would be 10%:
500 (successful conversions) / 5,000 (emails delivered) x 100 = 10%
Question #2: What is the ideal email marketing conversion rate to shoot for?
The ideal marketing conversion rate to shoot for would ultimately depend on your specific business, the industry you are operating in, the goal of the email marketing campaign you are running, and the offer you are pushing. This is exactly why different sources name a different ideal number.
Instead of simply going to Google and searching a random conversion rate to aim for, do research on your top competitors and use their conversion rate as a minimum number you have to beat. You are operating in the same industry and selling to the same market after all, so it should serve as a suitable starting point.
Question #3: How do I improve it?
There are many ways you can improve your conversion rate, including:
- Segmentation
- Personalisation
- Using better calls to action
- Using tailored offers
Let us take a look at each one in more detail:
First, segmentation means subdividing your email list into smaller groups based on things such as interests, demographic data, and position in the buyer’s journey. Doing so would allow you to more easily tailor your messaging to the specific audience you are selling to.
Second, you can also explore adding a touch of personalisation to your marketing emails. Something as simple as addressing each recipient by name—instead of something cold and generic such as ‘valued client’—can make a world of a difference.
Third, you can also take a look at your calls to action. Are they compelling enough? Do they give the recipient a clear idea of what would happen when they are clicked? Are they unique enough to catch the recipient’s eye?
Finally, you can also use more tailored offers instead of generic ones. For example, if you run a camera store, instead of offering a 20% discount on all items to everyone on your list, offering a 10% discount on the specific items each recipient is interested in may yield better results.
Question #4: What is the difference between email marketing conversion rate and open rate?
The main difference between email marketing conversion rate and open rate is what they measure.
As we have seen earlier, the former measures the percentage of successful conversions. In contrast, the latter measures how many out of all recipients actually open a specific marketing email. You can calculate it by dividing the total number of recipients who open a marketing email by the total number of recipients.