Your ROI on Email May be Higher Than You Think
Jul 14 2009
Chad White wrote an eye-opening story about the real ROI in email. The raw return is not being measured in the traditional sense. Having a ROI of $43.52 is killer, but the fact that the real number may be closer to $103 is astounding. Devoting more budget towards email is the smart thing to do. It should put a smile on your face to know that when you are tracking your data the numbers are higher than they first appear.
Even online, where it’s easiest for email marketers to track the path of subscribers, we’re not getting credit for much of the action that our messages drive. That’s because 33% of permission-based email recipients say they usually visit sites directly, instead of clicking on an email link, according to Epsilon. This means conversions may be undercounted by 50%.
Taking into consideration the action that email drives offline and directly to Web sites, email marketing’s ROI is probably closer to $130 — about three times the DMA’s estimate. And that’s clearly ignoring email’s ability to drive interest and actions in other channels like catalogs and social networks.
Email Marketing’s ROI Probably Closer To $130 Than $43.52
By Chad White
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