Email marketing is deeply linked to certain numbers and metrics that are all part of its analytics. Without knowing the analytics and their importance, you can lose the purpose of your email marketing strategy.
You may encounter terms like email metrics and KPIs, and for sure, they are a bit confusing on your part, especially when you just got started on your campaign and are still in the process of getting to know the nitty-gritty.
But do not worry, because this blog will introduce some of the most important KPIs (Key Performance Indicators) in email marketing and explain each. We will also give email marketing tips on measuring your email marketing success using the metrics effectively.
What are Email Marketing Metrics and KPIs?
As the name indicates, KPIs can help you manage email campaign decisions based on the right goals. And to see the results of your email marketing efforts, you must track the right email marketing KPIs. With these metrics, you can easily measure the success of your campaigns, draw valuable insights, and strategize and optimize your email campaigns for better, greater performance.
Setting the KPIs and metrics is a tough task, and you must go through different iterations until you find the right formula for your construction brand.
What are the Email Marketing Metrics and KPIs You Need to Track?
1. Bounce rate
It refers to the percentage of emails that all failed to be delivered to the recipient’s inbox. Bounce rate can help you track the deliverability of your emails and the hygiene of your email lists. Knowing the different types of bounce rates is crucial so you can track them effectively. They are referred to as soft bounces and hard bounces.
Here is the formula for how calculating the bounce rate:
Bounce rate = (Total number of bounced emails/ numbers of sent emails) x 100
2. Delivery rate
Delivery rate tells whether the emails are getting delivered to the servers of the subscriber’s inbox providers. It can get delivered in any folder – promotions, spam, etc., and any email will be counted as delivered if it does not bounce.
Here’s how to get the delivery rate:
Delivery rate = (Number of emails delivered / Total Number of emails sent) x 100
3. Deliverability rate
If your email does not even land inside the inboxes of your target audience, the rest of the metrics, like opens and clicks, do not exist. So, this is where the deliverability rate comes in. It will tell you exactly how many emails you send land in the inbox vs. the spam/junk folder.
Here is the formula for the deliverability rate:
Deliverability rate = (Number of emails delivered sent / the number of emails sent) x 100
4. Spam rate
The spam/complaint rate refers to the number of emails labeled as spam by most of your email subs out of the total emails sent. Spam rate is considered one of the most important email analytic metrics, so do not overlook this.
Here is how you can calculate the spam rate:
Spam rate = (Number of spam complaints / total number of emails delivered) x 100
5. Open rate
The open rate typically indicates the number of delivered emails your main audience opens. With this metric, you can track the effectiveness of your user engagement and subject line. Here is the formula for getting the open rate:
Open rate = (Number of opened emails/ total number of emails delivered) x 100
6. Click-through rate (CTR)
CTR is the percentage of the total email recipients that click one or more links attached to the sent email. CTR will give you a holistic view of your email performance.
Here is how to calculate your CTR:
CTR = (Total clicks / The total number of delivered emails) x 100
7. Click to open-rate
Unlike the CTR, the click-to-open rate is the number of clicks out from the number of opens instead of the total number of delivered emails. Therefore, measuring CTOR will help determine if your email content resonates well with your recipients.
Here is the formula for the Click to Open rate:
Click-to-open rate = (Total clicks / total number of emails opened) x 100
8. Conversion rate
It measures the percentage of the recipients that carry out the action you want them to take. For instance, if you want somebody to register for a webinar, the conversion rate can measure the number of people who just registered as a percentage of those who received the emails.
It is one crucial metric as it refers to as a direct indicator of the success of your email marketing campaigns.
Here is the formula for the conversion rate:
Conversion rate= (Number of conversions / the number of total emails delivered) x 100
9. Unsubscribe rate
It shows the percentage of the recipients that opted out from your mailing list. It consists of both types of unsubscribing – people using your email footer link and those using the unsubscribe functionalities in the inbox.
Here is how you can get the unsubscribe rate:
The unsubscribe rate = (Unsubscribe number / total emails delivered) x 100
Pro Tip: If you want an easy way to reduce your unsubscribe rate, you can opt for email marketing automation for better brand engagement.
10. Churn rate
The churn rate is the total opposite of the email list. It typically measures how many people are being eliminated from your email list. It usually includes bounces, un-subscribers, manual removals, and unengaged subs. Knowing the churn rate is important since it helps you fully understand how much you have to grow your email list to have a more positive growth rate.
Here’s how you can calculate it:
Churn rate = (Monthly churned subs / current email list size at the start of the month) x 100
Six Ways to Measure Your Email Marketing Success
While email marketing metrics help you achieve your goals, you must also focus on deliverability and content performance. Take note of this all, and find out below six critical tips for measuring the success of your email marketing.
1. Learn about measurable metrics
As a business owner, you should learn about measurable metrics to help you learn new tactics for better-performing campaigns. Your major concern should be picking the right metrics you can utilize to assess the campaigns you are starting. Based on these metrics, you can solely focus on the USPs or unique selling propositions that may lead to purchase later.
2. Set up goals
Also, defining the metrics helps you set the right email marketing goals. How are you going to use these metrics? Are you considering using them for customer re-engagement purposes, targeting warm prospects, bulk newsletters, or others? Know that your email campaign and other campaigns you are building have unique goals that should be attainable.
3. Define Key Performance Indicators
Done setting up your goals? Great! You can now start defining the right KPIs. Defining your KPIs correctly, every single time is one of the top email marketing best practices you should always put into consideration. Overall, it helps you determine and rectify all your important KPIs to reach certain goals.
4. Track Metrics
When you do not track metrics, it may result in poor performance of your campaigns. Start tracking metrics the right way. You can do it with customer data platforms, and using this platform can help you keep track of your email-related actions.
In reality, evaluating and assessing the overall performance of your campaign is easier said than done. That is why performing assessments daily, weekly, or every month is way more helpful.
When you have successfully defined the right KPIs, they will help you decide the factors still up for improvement. Let’s say you are unhappy with the conversion rates but still beat benchmarks. Perhaps you must focus on other factors to enhance the respective concerns.
Understanding the way metrics understand others helps you create a better email marketing strategy. Once everything is determined and defined, you can achieve your email marketing goals and generate better results.
Worrying about Your Email Marketing Campaign? Work with ConstructionMarketing.io
By making it a priority to track all of the important email marketing metrics and KPIs, you will have a greater understanding of how your campaigns are performing. And overall, you are improving your email marketing strategy as a whole. Everything starts with being intentional and strategic with your approach when it comes to your email marketing strategy.
It is important to note that it is an ongoing process that will take time to explore fully and get the desired results. So, whether you want things done quickly and maximize the results of your email marketing efforts or are searching for an agency, come partner with us.
ConstructionMarketing.io is a full-service digital marketing agency ready to assist you every step of the way. Our data-driven approach helps shape all types of digital marketing; the same goes for your email strategy. Our team of dedicated content marketing strategists will be the point person for all your marketing campaigns. Trust that we will give you the results you need beyond what you expect.
Selecting our agency that provides top-tier email marketing services is the first step in defining a strategy that works for you and your construction business. There are so many reasons why ConstructionMarketing.io is the leading go-to agency in the market.